Vietnam introduced a duty on Malaysian and Kazakh procurement

Vietnam has introduced protective measures for harvesting from Malaysia and Kazakhstan. The 17.3% duty comes into effect from June 13 to March 21, 2020 and thereafter will expire to 0% unless renewed.

Billet imports from these two countries were previously exempted from protective duties when Vietnamese protective measures for billets and long products were introduced in July 2016. However, in a mid-term review of the measures, the Vietnamese Ministry of Industry and Trade determined that imports from Malaysia and Kazakhstan exceeded the threshold of 3% of total billet imports.

Therefore, the ministry has removed two countries from the list of countries exempted from the use of protective measures for harvesting, and will enter into force 15 days after the decision of May 29. The list of country exemptions from safeguards for long products remains the same as in 2016.

According to a local trader, the new regulation will prevent the export of Malaysian billets to Vietnam. A billet for July shipment from Malaysia was offered at $ 460 /t in Vietnam during the week of May 20. The trader said there were no deals. According to another Vietnamese trader, the guarantee will hold back any orders.