KUALA LUMPUR: The government will soon announce the findings of a study on the impact of China's iron and steel overcapacity on the country.
Deputy Minister of Investment, Trade and Industry Liew Chin Tong said the report was being prepared by an independent committee established by the ministry.
He said the economic slowdown in China and the oversupply of Chinese-made products had become a global concern.
"The capacity for iron and steel production in Southeast Asia will increase over the next five to six years.
"In 2021, the total capacity in Southeast Asia was 75 million metric tonnes per year and the capacity could potentially reach 150 million metric tonnes by 2027.
"We are concerned about the iron and steel prodcution capacity in Southeast Asia, especially in the context of China's economic slowdown in the construction and real estate industries. This is a concern for the government.
"Hence, (the report from) this committee will provide direction for the country to address the overcapacity issues in the iron and steel industry," he said during minister's question time in the Dewan Rakyat today.
Liew said this in response to a supplementary question from Datuk Seri Saifuddin Abdullah (PN-Indera Mahkota) who enquired about the plans to address the China's overcapacity in iron and still manufacturing.
Liew said the government had enforced nine anti-dumping measures and three protective actions on products imported from China, including iron, steel, plastics and building materials, which had harmed Malaysia's domestic industry.
"The government is also conducting anti-dumping investigations on four iron and steel products, as well as plastics, which may be linked to overcapacity in China's manufacturing sector.
"These investigations are being carried out in line with domestic laws and regulations, as well as agreements under the World Trade Organisation."
He added that the ministry was also reviewing the Countervailing and Anti-Dumping Duties Act 1993 and the Countervailing and Anti-Dumping Duties Regulations 1994.
"This is to align with international trade practices, ensuring a more conducive regulatory ecosystem for Malaysia to become a sustainable business hub."