Malaysia reviews anti-dumping measures against China

Malaysia begins a balancing act: Malaysia’s Trade Ministry is reviewing its anti-dumping measures against Chinese exporters of cheap products to bolster local SMEs access to supply chains, Bloomberg reports, citing statements by Deputy Trade Minister Liew Chin Tong. The legislation — which will be presented to parliament next year — follows recent moves by Indonesia’s Trade Ministry to regulate a surge in imports, including from China, that threaten local industries.

It’s been a struggle for Malaysia: Malaysia’s Trade Ministry has enforced nine anti-dumping measures against Chinese exporters to protect its local industry. However, Beijing is Kuala Lumpur's largest trading partner, and “cooperation between China and Malaysia could benefit local entrepreneurs through the supply chain and business opportunities,” Liew noted, explaining that Malaysia needs to play a balancing act to ensure domestic producers remain competitive.

And it isn’t the only one hurting: China’s trading allies are concerned that excess capacity in sectors related to housing might result in the surplus materials being unloaded onto global markets. Last year saw the start of a backlash, marked by unprecedented levels of anti-subsidy and anti-dumping actions taken against Chinese products. The majority of these measures were initiated by developed countries within the G7.