Perstima expects to regain local market share following anti-dumping duty

Perstima expects to regain local market share following anti-dumping duty
Business & Markets 2013
Written by Bernama
Thursday, 25 July 2013 16:24

KUALA LUMPUR, (July 25): Perusahaan Sadur Timah Malaysia (Perstima) Bhd expects to regain its market share in the local tinplate market, once the government imposes an anti-dumping duty on tinplate imports.

Perstima's share has dropped from 70 per cent to 50 per cent over the last three years.

The company said the steep drop in market share was due to dumping activities by electrolytic tinplate exporters from China and South Korea.

Executive Director Ab Patah Mohd said the anti-dumping duty would create a fair trade environment, and given the group's good position in the country, it could potentially increase market share.

"We noticed increased dumping activities in Malaysia, which is considered an unfair trade practice by the World Trade Organisation.

"It is also not our intention to increase the price of tinplates because of this anti-dumping duty. It has never occurred to us to do so," he told reporters after Perstima's annual general meeting here today.

The Ministry of International Trade and Industry (Miti) had on July 20 imposed a provisional anti-dumping duty ranging from nil to 25 per cent on electrolytic tinplates imported from China and South Korea.

Ab Patah said according to Miti's gazette, it will announce the final determination on the permanent duty for anti-dumping on Nov 15.

On production capacity, Managing Director Koichi Sawada said the company produced 200,000 tonnes of tinplates annually, while total demand from the Malaysian market was at 160,000 tonnes.

"We have an excess capacity to cater to the country's demand and 20 per cent of the group revenue comes from our exports segment," he said, adding, Perstima also exported its products to Australia, Indonesia, Middle East and India.