KUALA LUMPUR: The Steel Wire Association of Malaysia (SWAM) is “disappointed and perplexed” over the imposition of provisional safeguard duties of 13.9% on imported steel wire rods and deformed bar in coil products from Sept 27.

“It must be emphasised that anti-dumping duties have already been imposed on steel wire rod imports for a five-year period from February 2013,” said SWAM in a statement. “Any further protection for petitioning companies would be an overkill.”

The association urged the investigation authority to consider the disastrous effect of the imposition of any safeguard measures on downstream manufacturers that are already operating in a very challenging market.

To recap, the international trade and industry ministry (Miti) initiated a safeguard investigation on imports of steel wire rods and deformed bar in coil products based on a petition lodged by the Malaysia Steel Association (MSA) on behalf of Amsteel Mills Sdn Bhd, Ann Joo Steel Bhd, Southern Steel Rod Sdn Bhd.

A public hearing was held on Aug 1 where interested parties and stakeholders including SWAM voiced their opposition to any propose safeguard measures requested by MSA.

SWAM, in its statement, reiterated that MSA’s request for safeguard duties is unsustainable when the latter admitted during the public hearing that the petitioning companies themselves imported at least 118,000 tonnes of steel wire rods during the period of investigation.