Malaysia may cut exports for domestic supply

Malaysia may cut exports for domestic supply

In view of the local supply shortage lately reported in Malaysia, the Ministry of Domestic Trade and Consumer Affairs state that with the concern of protecting construction projects, they would not hesitate to cancel export permits that they allowed in 2001. Exporting of excess production in Malaysia was permitted at that date, due to low demand in the local market. However today, if the complained shortage is as serious, then the Ministry believes that exports would better be limited and the domestic market be supplied. In addition, if such export ban would not be satisfactory, imports could also be allowed from other supplying countries that have excess availability such as Indonesia, Singapore and Thailand. The countries four major steel producers namely Amsteel Mills Sdn bhd, Southern Steel Bhd, Malaysia Steel Works and Malayawata Steel have been checked by the ministry and their supplies to the domestic market have been found sufficient. Therefore, the Ministry believes that the supply shortage is not artificial. The Ministry will further check on the distributors and wholesalers' side to make sure that there is no attempt of jeopardising the local steel market supply network chain from any party.