ANNOUNCEMENT 29 May 2016

In May 2016, the government of Malaysia initiated a new safeguard investigation. In April 2017 a definitive safeguard duty was imposed.

NUMBER OF INTERVENTIONS

1

  • 1 harmful
  • 0 neutral
  • 0 liberalising

SOURCE



Malaysian Federal Government Gazette, 27.05.2016, P.U. (B) 264/2016:
http://www.federalgazette.agc.gov.my/outputp/pub_20160527_PUB264.pdf

WTO, Committee on Safeguards - Notification under article 12.4 of the Agreement on Safeguards before taking a provisional safeguard measure, Malaysia, 29.09.2016 (Document: G/SG/N/7/MYS/3 ; G/SG/N/11/MYS/3): https://docs.wto.org/dol2fe/Pages/FE_Search/FE_S_S009-DP.aspx?language=E&CatalogueIdList=231481,231482,229063,229064,226282,134356,133292,132989,129231,126596&CurrentCatalogueIdIndex=1&FullTextHash=


Malaysian Federal Government Gazette, Customs (Definitive Safeguard Duties (No. 2) Order 2017), P.U.(A)123 of 14 April 2017: http://www.federalgazette.agc.gov.my/outputp/pua_20170414_P.U.(A)1232017.pdf

Inception date: 27 Sep 2016 | Removal date: open ended
Still in force

Safeguard

On 29 May 2016, the Malaysian authorities initiated a safeguard investigation on imports of steel wire rods of hot-rolled alloy or non-alloy and deformed bar in coils (P.U. (B) No. 264/2016, 27.05.2016). Products with a carbon content not below 0.60% or with a diameter of 16.0 mm are excluded from the investigation. The products subject to investigation are classified under the following HS code subheadings: 7213.10.000, 7213.91.000 and 7227.90.000. This follows the request lodged by the Malaysia Steel Association.
Affected trading partners are identified based on UN Comtrade's import data from 2014.
 
On 27 September 2016, the Malaysian authorities imposed a provisional safeguard duty on imports of the above-mentioned products. The rate of the duty is 13.90% of CIF price. The Malaysian authorities, however, noted that: "products imported for the purpose of automotive, electrical & electronic, oil & gas and earthquake resilience construction industry end usage of all grades and specifications are exempted from the provisional safeguard duty". Additionally, developing countries, with the exception of China, Singapore and the Republic of Korea, are not subjected to the above measure. This duty is in force for a period of 200 days.

On 14 April 2017, the Malaysian authorities imposed a definitive safeguard duty on imports of the subject good. The rate of the duty is 13.90% between 15 April 2017 and 14 April 2018, 12.90% between 15 April 2018 and 14 April 2019, and 11.90 between 15 April 2019 and 14 April 2020. Certain goods falling under the product description; goods imported for a certain purpose and a number of developing countries are exempt from safeguard duties.

AFFECTED SECTORS

 

AFFECTED PRODUCTS