THE STEELNOTICEBOARD
October 2022

Average Domestic Price (per MT)
BILLETREBARSTEEL WIRE ROD

RM2,498 – RM2,584

RM2,600 – RM2,810

RM2,720 – RM2,868

Average International Price (per MT)
SCRAP

IRON ORE

RM1,581 – RM1,708

RM394 – RM463

Trade Performance
Malaysia’s Trade Performance, January-October 2022
Malaysia’s Iron and Steel total trade value in October 2022 declined by 15.8 percent to RM4.8 billion comparedto RM5.7 billion in October 2021. Trade surplus improved to RM686.5 million from trade deficit of RM85.6
million for the same comparison period.
Malaysia’s iron & steel exports in October 2022 down by 3.6 percent to RM2.7 billion from RM2.8 billion inOctober 2021. Three main export destinations in October 2022 were Hong Kong, Singapore and the UnitedStates accounting for 19.2, 10.7 and 8.7 percent of the total export value respectively.
Malaysia’s iron & steel imports in October 2022 declined by 31.0 percent from RM2.9 billion in October 2021 toRM2.0 billion in October 2022. Imports from China, Japan and Taiwan accounted for the top three (3) spots
representing 26.6, 16.5 and 13.7 percent of the total import value respectively.
From January to October 2022, the total trade value of the Iron and Steel products stood at RM56.9 billion
compared to RM50.0 billion for the same period in 2021, an increase by 13.8 percent. Further, the trade deficitof RM3.6 billion in 2021 improved to a lower trade deficit of RM398.1 million in 2022 for the same period ofcomparison.

Malaysia Trade Performance of Iron & Steel Industry
October 2022: RM4.8billionOctober Month
Trade Value
15.8 % M-o-M change

October 2021: RM5.7billion

October 2022: RM686.5million
Trade Surplus

October Month
Balance of Trade902.0 % M-o-M change

October 2021: (RM85.6million)
Trade Deficit

October Month
ExportOctober 2022: RM2.7billion

3.6 % M-o-M change

October 2021: RM2.8billion

October 2022: RM2.0billion

OctoberMonth Import
31.0 % M-o-M change

October 2021: RM2.9billion

October YTD
Trade Value
Jan - Oct 2022: RM56.9billion

13.8 % Y-o-Y change

Jan - Oct 2021: RM50.0billion

Jan – Oct 2022: (RM398.1million)
Trade Deficit
Jan - Oct 2021: (RM3.6billion)
Trade Deficit

October YTD
Balance of Trade
88.9 % Y-o-Y change

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MSI WITH YOU
THE LAUNCHING OF THE NEW INVESTMENT POLICY BASED ON NATIONALINVESTMENT ASPIRATIONS (NIA)
On 6 October 2022, the Ministry of International Trade and Industry (MITI) organized the New Investment Policy
Launch Ceremony Based on Nationals Investment Aspirations (NIA). The launch of this new investment policy
was inaugurated by YB Dato' Seri Mohamed Azmin bin Ali, Senior Minister of International Trade and Industry.
A key priority for the New Investment Policy involves
introducing initiatives targeted at strengthening
Malaysia’s foundations in adopting enhanced ESG
standards in line with global megatrends. This includes
ensuring that clear actions plans are created to cascade
National-level targets, such as achieving Net Zeroearliest by 2050. Also, to provide actionable milestones
for the rest of ecosystem which will be closely
monitoredthroughawhole-of-ecosystem
accountability mechanism. Further, to explore
mechanisms to ensure companies are incentivised to‘buy in’ ESG disclosure reporting practices to embed
ESG mitigations within their business.

3SAMBUTAN HARI SUKAN NEGARA MITI BERSAMA AGENSI
On 6 October 2022, the Ministry of International Trade and Industry (MITI) organised the National Sports Day
celebration at MITI Tower. This celebration was attended by 500 MITI staff and agency and family members.
Events held included fun walk, fun run, health screening, indoor games, e-sports, futsal, children's sports, luckydraw, busker performances, and sales booths. KSU MITI, Datuk Lokman Hakim Ali, who also participated in theFun Run with MITI members added more colour to the event. Also present was Datuk Bahria Mohd Tamil, Deputy
Secretary General (Investment).
This is one of the many sporting events MITI holds in line with MITI’s slogan, "Rakyat Sihat, Ekonomi Makmur".
These are carried out in support of the Healthy Malaysia National Agenda in fostering a culture of healthy living
and improving people's health literacy.

PELANTIKAN SEBAGAI PANEL PEMBANGUN BAGI MESYUARAT JAWATANKUASA TEKNIKALPENILAIAN OCCUPATIONAL FRAMEWORK (JTPOF) UNTUK PENILAIAN DOKUMEN(OCCUPATIONAL FRAMEWORK (OF)) UNTUK SEKTOR (C24) – MANUFACTURE OF BASIC
METALS.
MSI has been appointed as a panel member of the Occupational Framework Development (Manufacturing ofBasic Metal) to assist in the Occupational Framework presentation process during the Technical Committee onEvaluation Meeting 1 (JTPOF 1) on 11 October 2022.

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YBMK SPECIAL SESSION
On 14 October 2022, the Ministry of International Trade and Industry (MITI) held a special session between theYB Dato’ Seri Mohamed Azmin Ali, Senior Minister and Minister of MITI, MITI staff, and agencies under MITI. This
event was also attended by the Senior Management of MITI, Datuk Lokman Hakim Ali, Secretary General, Dato'Sri Norazman Ayob, Deputy Secretary General (Industry), Mr Hairil Yahri Yaacob, Deputy Secretary General(Trade), and Datuk Bahria Mohd Tamil, Deputy Secretary General (Quality Investment), and Heads of Agencies.
During the session, YBMK expressed appreciation to all those involved in driving the growth of trade andinvestment.

MITI DAY 2022
On 16 October 2022, the Ministry of International
Trade and Industry (MITI) together with its agenciesorganised a MITI Day celebration held at Tapak PasarTani, Melawati and was inaugurated by YB Dato’ Seri
Mohamed Azmin Ali, Senior Minister and Minister ofInternational Trade and Industry (MITI).
The event saw visitors thronging to MITI where
various interesting activities were held. Malaysia
Steel Institute (MSI) contribute to the MITI Day
celebration by operating a booth at the MITI pavilion.
MSI booth received encouraging number of visitors
showing interest on MSI’s activities.

5MSI TRURMK12 IRON & STEEL TRAINING PROGRAMME (BATCH 12)
On 5th October 2022, MSI conducted the 12th batch of training to 38 participants under the RMK-12 Iron andSteel Industry Training Programme – Extensive. An experienced instructor conducted the course via virtually aswell as in classroom over the course of 15 days.

RMK12 IRON & STEEL TRAINING PROGRAMME (BATCH 13)
The 13th batch of the RMK-12 Iron and Steel Industry Training Programme – Extensive was held from 25 October
2022. After completing the course, the 30 participants in this programme will be hired by 2 steel manufacturing
companies. The training consists of 15 training days of instructions over a digital platform by a qualified
instructor.

6UPSKILLING OF SPECIFIC TECHNICAL KNOWLEDGE TRAINING (BATCH 2)
On 16 October 2022, the second batch of participants under the RMK-12 Iron and Steel Industry Training
Programme - Upskilling of Specific Technical Knowledge Training was held at Eastern Steel Sdn. Bhd. inKemaman, Terengganu. Ten existing employees of the company participated in the training to learn about thesteelmaking process and product quality. The 10-day course was led by an experienced international foreign
trainer with assistance from a local expert.

7STEEL FACTS8STEEL NEWS1. Visualizing the World’s Largest Iron Ore Producers
Date: 05 October 2022
Source: https://elements.visualcapitalist.com/visualizing-the-worlds-largest-iron-ore-producers/
Iron ore comprised roughly 93% of the 2.7 billion tonnes of metals mined in 2021. It is used primarily(98%) to make steel, with the remaining 2% becoming magnets, auto parts, and catalysts. Using datafrom the U.S. Geological Survey, the above infographic lists the world’s largest iron ore producers in2021.
Pilbara and Carajás Iron Ore
Iron is the fourth most abundant element on the planet after oxygen, silicon, and aluminum,
constituting about 5% of the Earth’s crust.
Australia produced 35% of the global iron ore mined last year. Almost 90% of identified iron ore
resources in the country occur in Western Australia, especially in the Pilbara region.
The large and dry region is known for its Aboriginal peoples and also for its red earth as a result of achemical reaction of iron exposed to air and water. The three major Pilbara iron ore producers arealso among the top mining companies in the world: BHP Group, Rio Tinto Ltd, and Fortescue Metals.

9After Australia, Brazil is the second biggest producer, with iron ore accounting for 80% of the country’smining exports.
Brazil’s biggest public company, Vale, is the world’s largest producer of iron ore and nickel. Thecompany runs the Carajás mine, the largest iron ore mine in the world. Located in the state of Pará, inthe northern region of the country. The mine is operated as an open-pit mine and is estimated tocontain roughly 7.2 billion metric tons of iron ore.
Together, Australia and Brazil dominate the world’s iron ore exports, each having about one-third of
total global exports.
China is the largest consumer of iron ore, mainly used to feed its steel industry.
Despite being the third largest producer, China still imports around 80% of the iron ore it uses eachyear. The country brought in 1.12 billion tonnes of the commodity last year.
Iron Ore’s Role in the Green Economy
Iron ore demand is expected to rise in the coming years as steel plays a crucial role in producing anddistributing energy.
Steel is used extensively in agriculture, solar and wind power, and also in infrastructure forhydroelectric power generation.
Furthermore, steel is used for the production of transformers, generators, and electric motors, alongwith ships, trucks, and trains.

102. S.Korea's POSCO Holdings sees steel demand remaining weak; Q3 profit tumbles
Date: 24 October 2022
Source:https://www.reuters.com/markets/asia/skoreas-posco-holdings-sees-steel-demandremaining-weak-q3-profit-tumbles-2022-10-24/
South Korea's POSCO Holdings (005490.KS) on Monday forecast weak steel demand would persist into
the first half of next year after a price slump and a production halt at its second-biggest plant led to a
71% fall in third-quarter operating profit. The holding company of South Korea's biggest steelmakersaid its consolidated operating profit fell to 900 billion won ($625.29 million) in the July-September
quarter, in line with guidance issued last week.
Steelmaking unit POSCO's operating profit margin plunged to 3.6% in the quarter from 20.3% a year
because of price drops in key products as well as one-off losses from flood damage at its Pohang, SouthKorea plant following a typhoon last month.
The plant has not yet returned to full production, but POSCO said it planned to resume supplying allof the downstream products it makes by the end of the year.
The fall in earnings comes as global steel demand is weakening amid surging inflation, interest rates
and a property market slump in China, the world's biggest steel market.
China this month stood by its strict zero-COVID policy, dashing hopes that Beijing could begin exiting
an approach that has caused economic damage.
Global steel demand is expected to grow by about 1% next year, while demand in South Korea isexpected to remain flat, POSCO said.
The company's head of marketing strategy, Eom Gichen, said steel demand was expected to remain
weak in the first half of next year because of economic factors like austerity measures.
"Supply expansion will also be limited as steelmakers focus on reducing carbon emissions instead ofquantitative growth," he said on an earnings call. "Demand is expected to improve from the secondhalf of next year when austerity policies are somewhat eased."
POSCO has been expanding into new businesses for diversification, including minerals used in electricvehicles such as lithium.
The company's third-quarter sales rose 3% to 21.2 trillion won because of an increase in prices at its
energy and chemical units.

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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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