Malaysia launches antidumping duty probe on coated steel from China, India, Japan, South Korea

Malaysia has initiated an antidumping duty investigation into coated iron or non-alloy steel flat-rolled products from China, India, Japan and South Korea, the Ministry of Investment, Trade and Industry said in a note released Aug. 14, following a petition from the domestic industry.

The Malaysian government received the petition from Perusahaan Sadur Timah Malaysia (Perstima), which is representing domestic coated steel producers, alleging that imports of the product "are being dumped in Malaysia causing material injury to the domestic industry ...," according to MITI.

The probe also comes amid market concerns that high levels of steel exports from China could put downward pressure on global steel markets in 2024.

Perstima said the domestic "industry faces increasing competition, particularly from China and South Korea, which are expanding their supply to our markets. The expiration of antidumping protections in FY2019 has posed challenges in maintaining our market position locally and globally."

Antidumping duties of between nil and 9.78% of the export price were imposed on coated steel imported from China and South Korea from Nov. 16, 2013, to Nov. 15, 2018, according to MITI.

Perstima operates a 200,000 metric tons per year tinplate plant at Pasir Gudang Industrial Estate, Johor, Malaysia. It also runs a 120,000 t/y plant in Vietnam and a 200,000 t/y plant in the Philippines.

This probe follows another Malaysian review of existing antidumping duties imposed on stranded steel wires for prestressing concrete (PC strand) originating or exported from China, which began on Aug. 8.

Under the latest investigation, the specifications are flat steel product with a width of 600 mm or more, clad, plated or coated with tin (electrolytic tinplate or tinplate), and is classified under HS codes and ASEAN Harmonized Tariff Nomenclature (AHTN) 7210119000 and 7210129000.

According to S&P Global Trade Analytics Suite, China exported 45,004 metric tons of flat products in the aforementioned HS codes in 2023, taking up 55.9% of Malaysian imports, a year-on-year increase of 46% from 2022.

China, South Korea, Japan and India were the top four suppliers to Malaysia in 2023, tallying 76,319 metric tons, or 94.8% of the country's total coated steel imports.

Malaysia's import volumes continue to grow in 2024, with the first five months seeing a total inflow of 28,042 metric tons of coated steel , 15% higher over the same period in 2023.

Elsewhere in ASEAN, Thailand has also expanded and extended antidumping duties on flat steel imported from China.