THE STEEL NOTICEBOARD
September 2022
Trade Performance
Malaysia’s Trade Performance, January-September 2022
Malaysia’s Iron and Steel total trade value in September 2022 declined by 3.6 percent to RM5.2 billion comparedto RM5.4 billion in September 2021. Trade surplus also reduces to RM337.2 million from trade surplus ofRM696.8 million for the same comparison period.
Malaysia’s iron & steel exports in September 2022 decreased by 9.1 percent to RM2.8 billion from RM3.1 billion
in September 2021. Three main export destinations in September 2022 were Hong Kong, Singapore andIndonesia accounting for 22.2, 8.3 and 6.8 percent of the total export value respectively.
Malaysia’s iron & steel imports in September 2022 rose by 3.4 percent from RM2.4 billion in September 2021 toRM2.5 billion in September 2022. Imports from China, Korea and Taiwan accounted for the top three (3) spots
representing 26.8, 13.7 and 13.1 percent of the total import value, respectively.
From January to September 2022, the total trade value of the Iron and Steel products stood at RM52.2 billion
compared to RM44.3 billion for the same period in 2021, an increase by 17.7 percent. Further, the trade deficitof RM3.5 billion in 2021 improved to a lower trade deficit of RM1.1 billion in 2022 for the same period ofcomparison.

Malaysia Trade Performance of Iron & Steel Industry
September 2022: RM5.2billion

Month Trade Value
3.6 % M-o-M change

September 2021: RM5.4billion

September 2022: RM337.2million
Trade Surplus

Month Balance ofTrade51.6 % M-o-M change

September 2021: RM696.8million
Trade Surplus
Month ExportSeptember 2022: RM2.8billion

9.1 % M-o-M change

September 2021: RM3.1billion

Month Import
September 2022: RM2.5billion
3.4 % M-o-M change

September 2021: RM2.4billion

YTD Trade Value
Jan-September 2022:RM52.2billion
17.7 % Y-o-Y change

Jan-September 2021:RM44.3billion

Jan-September 2022: (RM1.1billion)
Trade Deficit
Jan-September 2021: (RM3.5billion)
Trade Deficit

YTD Balance of Trade
69.0 % Y-o-Y change[AUTHOR NAME]

2MSI WITH YOU
MALAYSIA INTERNATIONAL HALAL SHOWCASE (MIHAS)
On 7th – 10th September 2022, the 18th Malaysia International Halal Showcase (MIHAS) organized by the Malaysia
External Trade Development Corporation (MATRADE) washosted by the Minister of International Trade and Industry(MITI) inaugurated by YAB Dato’ Sri Ismail Sabri bin Yaakob, thePrime Minister of Malaysia. The event aims to gain people's
trust in driving the development and innovation of the halalindustry in Malaysia and internationally. In the MIHAS 2022
hybrid edition, exhibitors and trade visitors were allowed tp
participate in MIHAS physically or virtually, regardless ofgeographical or time zones.

JEMPUTAN SEBAGAI PANEL PEMBANGUN UNTUK PEMBANGUNAN KERANGKA
PEKERJAAN (OF) BAGU JABATAN PEMBANGUNAN KEMAHIRAN (JPK)On 17th – 18th September 2022, Malaysia Steel Institute (MSI) participated as an expert panel member in thedevelopment of Occupational Framework (OF) on Basic Meta. The OF once developed is expected to contributeto the development of competitive skilled workers to meet the current and future needs of the industries, whichis also in line with the 12th Malaysia Plan (RMK-12) covering 2021 to 2025. The OF outlines a comprehensive jobstructure, includes work fields and job titles according to the level for an industry in Malaysia based on theclassification of economic activities according to the Malaysian Industry Classification Standard (MSIC) 2008. ThisOF document will became one of the references in development of the National Occupational Skills Standard(NOSS) for related industries[AUTHOR NAME]

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VISIT TO ALLIED FOAM INSULATION SDN BHD
On 19th September 2022, MSI visited Allied Foam Insulation Sdn. Bhd. at Seri Kembangan. This visit is part ofMSI’s membership drive objective. Mr. Lai Leong Chon also explained to the top management of Allied Foam
Insulation Sdn. Bhd. the role of MSI as an agency under the Ministry of International Trade and Industry (MITI)
to the Iron and Steel Industry. He also introduced the board of directors, MSI management and MSI’s staff andshared latest developments in the Malaysian iron and steel industry.

[AUTHOR NAME]

4VISIT TO SIRIM QAS INTERNATIONAL SDN BHD
On 20th September 2022, MSI had a meeting with SIRIM QAS International Sdn Bhd. to discuss conduct of market
surveillance among the iron and steel Industry players who had imported iron & steel products using COA issued
by SIRIM QAS. As this is the first time market surveillance will be implemented by MSI in collaboration with SIRIM
QAS and MSI, the discussion on covered plan and implementation of the market surveillance.

VISIT TO AMSTEEL MILLS SDN BHD
On 28th September 2022, Mr. Mohamad Syafiq Daniel,
MSI’s new staff, visited Amsteel Mills Sdn Bhd. aimed
at getting a firsthand understanding of production in asteel mill. Mr. Puah, QA at Amsteel Mills Sdn Bhd.,
provided guided tour and explanation on the workingsof the steel mill.

[AUTHOR NAME]

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MSI BRIDGING GAPSTESTING IZA PRESENTATIONOn 13th September 2022, Malaysia Steel Institute (MSI)
presented “Malaysian Iron and Steel Industry Capacity &Competitiveness” at the 1st Zinc Roundtable Asia Pacificwhich took place in Westin Desaru, Johor, at the invitationby the International Zinc Association. The conference
brought together participants from zinc related industries
from Europe, US, Middle East, and Asia Pacific to provide
an update on key global & regional zinc market trends,
technical and regulatory issues, sustainability standards,
new market segment developments and developments atthe London Metal Exchange (LME).

COURTESY VISIT FROM UNIVERSITI KEBANGSAAN MALAYSIA(UKM)-TGRS
On 26th September 2022, MSI had a courtesy visit from Universiti Kebangsaan Malaysia (UKM) researchers.
Exchange of views included on the way forward of Environmental, Social and Governance (ESG) adoption
in the Malaysian Iron and Steel industry. This visit is part of the UKM researchers’ study in fulfilling theTransdisciplinary Research Grant Scheme (TRGS) study on green hydrogen technology to reduce coalconsumption in steelmaking.

[AUTHOR NAME]

6SIGNING OF MOU WITH PENJANA EKO SDN BHD & RAM SUBSTAINABILITY ON
ESG COLLABORATION
On 30th September 2022, Malaysia Steel Institute (MSI) signed a memorandum of understanding (MOU)
with RAM Sustainability Sdn Bhd and Penjana Eko Sdn Bhd. The MOU aims to facilitate the adoption ofEnvironmental, Social and Governance (ESG) best practices to improve the Malaysian steel industry’s
compliance with international standards.

[AUTHOR NAME]

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MSI TRU
RMK-12 UPSKILLING TRAINING (BATCH 1)
On 26th September 2022, MSI conducted training for the first batch of participants under the RMK-12 Iron andSteel Industry Training Programme - Upskilling of Specific Technical Knowledge Training. The training was heldat Amsteel Mills Sdn Bhd, Klang. The 10-day training was attended by 10 existing workers from the company.
The training was conducted by an experienced International foreign trainer and supported by a local tutor.

[AUTHOR NAME]

8STEEL FACTS[AUTHOR NAME]

9STEEL NEWS
1. Steelmakers Plan to Raise Prices Amid Surging Costs
Date: 20 September 2022
Source:https://www.bangkokpost.com/business/2395658/steelmakers-plan-to-raise-prices-amidsurging-costs
Thai steel manufacturers are planning to increase their domestic prices following a rise in operationalcosts, from raw material prices and electricity bills to the higher daily minimum wage. The fuel tariffincrease has caused steel producers' power bills to rise by about 50%, said Pravit Horrungruang,adviser to the EAF Long Product Steel Producers Association.
In Thailand, prices of steel products, especially steel bars which are used in construction, are regulatedby the Ministry of Commerce. According to the association, the price of steel rebars in Thailand
currently stands at $699 per tonne, which is lower than $738 per tonne in Singapore, $740 per tonne
in Turkey, and $852 per tonne in China.
The association said the price of steel scrap in the global market is around $658 per tonne this year,
an increase of 42% from $464 per tonne in 2021. Thailand's capacity utilisation in steel manufacturing
is currently lower than 30%.
Earlier this year, the Iron and Steel Institute of Thailand, under the Ministry of Industry, said it expected
domestic steel consumption to grow by 3-4% to around 19.5 million tonnes in 2022.
Demand for steel products will mainly come from the government's infrastructure development
projects, including the Thai-Chinese high-speed rail system and initiatives related to the Eastern
Economic Corridor scheme. In addition, recovery of the construction sector is also expected to drive
the demand.
2. Steel Makers Fear Deepening Crisis from Energy Crunch as Output Halted
Date: 24 September 2022
Source: https://www.euronews.com/next/2022/09/24/ukraine-crisis-europe-steel
GENK, Belgium – Spiralling energy costs have forced steel makers to cut output across Europe,
threatening mass plant shutdowns some warn could be permanent in a sector that employs more than
300,000 and contributes tens of billions of euros to the region’s economy.
Even with four wind turbines and over 50,000 solar panels at its site in eastern Belgium, stainless steel
maker Aperam has been forced to halt production as surging energy prices bite.
[AUTHOR NAME]

10The company is now paying for energy in a month what it used to pay in a year and has idled a facility
that would normally be melting stainless steel scrap and converting it into giant slabs, employing about
300 workers.
Summer maintenance would normally cap production at about 80% of capacity, but Hallemans says
the figure is around 50% since late June, after Russia sharply cut gas supplies to Europe, sending
already inflated prices to new records.
Imports into Europe, largely from Asia where energy prices are far lower but the carbon footprint
higher, have risen from 20-25% in 2020 and 2021 to 40% this year, peaking at around 50% in the pastweeks.
Hallemans says Europe must come up with answers. According to a McKinsey report last year, steel
contributes about 83 billion euros ($80.97 billion) in direct value added to the region’s economy,directly employing 330,000 people.
The European Commission says EU trade defence measures protected 195,000 jobs in the steel
industry in 2021, although critics say the energy cost gap is now so high that imports can be cheaper
even with additional protective tariffs.
On energy, the European Union has failed to agree a gas price cap, but backed a plan to distributeexcess revenues from power producers to users.

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ABOUT MSI
Malaysia Steel Institute (MSI) is an industry driven enterprise supported and funded by the Ministry of International Trade &Industry (MITI) on shared responsibility basis with the industry. The main objectives of MSI are to promote and develop thecompetitiveness, resilience and sustainability of the Malaysian Iron and steel industry; to provide advisory services and to carryout commission or promote the study of scientific, technology and economic aspects of iron and steel industry development inMalaysia; and to promote iron and steel product standardization and utilization within Malaysia. For more information, please
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Level 26, Menara MITINo. 7, Jalan Sultan Haji Ahmad Shah50480 Kuala Lumpur

ADVERTISEMENTFor Inquiries:
T: 03-6207 1030 E: daniel@malaysiasteelinstitute.com[AUTHOR NAME]

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