Malaysia's steel sector growth to slow

Malaysia’s steel sector growth to slow

Malaysia's steel industry's growth is expected to slow from 20-30 percent in 1990s to 10 percent annually for the next six years due to the weak domestic steel consumption. Malaysian Iron and Steel Industries Federation (MISIF) indicate that the moderate growth of the manufacturing sector and a slowdown in construction industry will cause slump in domestic steel consumption this year. Steel consumption is expected to improve next year in line with the implementation infrastructure development under the 9th Malaysia Plan and industrial activities under the 3rd Industrial Master Plan. Malaysia steel consumption was better in 2004, by rising 16.7 percent from 6.6 million tons in 2003 to 7.7 million tons.