News & Opinions Home
Market Place
Business Wire
Research and Markets: Latest Report Examining the Malaysian Metals Industry
Wednesday October 21, 03:00 PM
Research and Markets (http://www.researchandmarkets.com/research/098530/malaysia_metals_re)
has announced the addition of the "Malaysia
Metals Report Q4 2009" report to their offering.
Malaysia's Metals Report provides industry professionals and
strategists, corporate analysts, metals associations, government
departments and regulatory bodies with independent forecasts and
competitive intelligence on Malaysia metals industry.
While the outlook for the Malaysian steel industry was poor in 2009,
tentative signs of recovery in demand in Q2 have created a sense of
optimism and BMI's latest Malaysia Metals Report forecasts a strong
recovery from 2010 as state-financed infrastructural projects begin to
have a positive impact on the industry.
In H109, many steel plants were running at 35-50% of nameplate capacity,
according to the Malaysian Iron and Steel Industry Federation.
Nevertheless, steelmakers reported that demand for steel bar picked up
in Q2, boosted by the government's first MYR7bn stimulus package which
had by August been mostly disbursed. However, statistical sources showed
that the situation was far from good. In June 2009, Malaysia's
manufacturing sales fell 25.5% y-o-y, led by a large fall in the iron
and steel sector. This followed a similar decline in the previous month.
The Ninth Malaysia Plan is likely to have a positive impact on demand in
H209, particularly following the awarding of the contract for the Penang
bridge project. The construction sector is vital to the recovery of the
Malaysian steel market as it represents 71% of the country's steel
consumption. Longs prices were expected to rise over H209 as steel mills
track the rising international market, although in Q209 they were still
much lower than the MYR2,850-3,000 per tonne recorded in October. There
is still a great deal of uncertainty in the domestic longs market, with
producers warning that an increase in sales could be attributed to
restocking to avoid the cost of future price rises rather than an
increase in actual demand. Despite the signs that the domestic longs
market may have passed its low point, BMI believes that for 2009 as a
whole Malaysian demand will be well down on 2008. Sales are still likely
to be down by 19% by the year-end, with major infrastructural projects
likely to take time to plan and implement, with finished steel
consumption falling to 8.64mn tonnes, crude output down 24% to 5.15mn
tonnes and hot rolled production down 27% to 4.17mn tonnes.
BMI believes that the Malaysian steel industry will rebound strongly in
2010 and by 2013 should have reached or exceeded pre-recession levels.
Over the medium-term, the industry's development will be determined by
trade liberalisation, with the move towards the reduction of duties on
imported flat products from August 1, 2009. This should improve the
competitiveness of cold rolled mills, whose capacity far exceeds
domestic consumption and are therefore reliant on export markets for
growth. While domestic flats producers have voiced concerns over the
measures, their anxieties should be allayed by the government's pledge
to enforce rigorous quality standards on both imports and domestically
produced steel products to prevent the market from being flooded with
substandard material.
Key Topics Covered:
Executive Summary
Swot Analysis
Global Metals Market Overview
Regional Overview
Industry Forecast Scenario
Competitive Analysis
Company Profiles
Global Assumptions
BMI Methodology
Companies Mentioned:
Perwaja Steel
Lion Group
For more information visit http://www.researchandmarkets.com/research/098530/malaysia_metals_re
Contact:Research and MarketsLaura Wood, Senior Manager,press@researchandmarkets.comU.S. Fax: 646-607-1907Fax (outside U.S.): +353-1-481-1716
Next Article: Research and Markets: Malaysia Oil and Gas Report Q4 2009 Reveals That Malaysia Will Account for 1.95% of the Asia Pacific Regional Oil Demand by 2013
Previous article: Research and Markets: Key Attractions of the Malaysian Pharmaceutical Market Are the Government's Encouragement of the Biotechnology Sector Says This
Top Headlines
Dire predictions from Treasury
Thursday October 29, 03:07 PM - Newstalk ZB
The economic crash has seen Treasury dramatically revising its long term outlook for the economy, questioning Government spen .. Read More
South Canterbury Finance repays US$50m
Thursday October 29, 02:15 PM - NZPA
South Canterbury Finance (SCF) has repaid US$50 million (NZ$68.4m) of a US$100m private placement it was required .. Read More
NZ dollar slides as RBNZ dampens rate-hike talk
Thursday October 29, 01:56 PM - Reuters New Zealand
* Kiwi NZD=D4 settles around $0.7170/80, after hitting a low of $0.7163, its lowest since Oct. 5 after the central b .. Read More
Calculators
Copyright © 2009 Yahoo! All rights reserved.
Yahoo!Xtra: A Yahoo!7/Telecom New Zealand Company.