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A. INTRODUCTION
On 29.7.2024, the Brazilian Government initiated an anti-dumping investigation against the exports of clear float flat glass with thickness ranging from 1.8mm to 20mm from Malaysia, Pakistan, and Turkey to Brazil. The product is commonly classified as:
| PRODUCT | |
| HS Code | 7005.29.00 |
B. WHAT IS THE INVESTIGATION?
The application was filed by ABIVIDRO, an association representing the float glass manufacturers in Brazil. In this investigation, the Brazilian Government will determine whether Malaysian float glass manufacturers dumped float glass into Brazil at prices that have caused injury to local manufacturers.
The period of investigation for dumping is as follows:
In essence, dumping occurs when the export price to Brazil is lower than:
i. The normal value sold in the domestic market;
ii. The export price to other countries; or
iii. The cost of manufacturing.
C. ALLEGATIONS AGAINST MALAYSIAN MANUFACTURERS
The Brazilian Government and Brazilian manufacturers are alleging that Malaysian manufacturers exported float glass at USD 206.08 per kg, while the normal value i.e., prices sold in Malaysia is USD 336.36 per kg. Based on their preliminary calculations, the relative dumping margin is 22%. It is also alleged that the share of imports from Malaysia to Brazil has grown over the past five years, at the expense of the local industry.
D. ASSESSMENT BY MALAYSIAN MANUFACTURERS
Considering this investigation, Malaysian float glass manufacturers should immediately assess the following:
i. Whether they manufacture the product subject to the investigation;
ii. Whether they export the product to Brazil;
iii. The export volume and value to Brazil;
iv. The price at which the product is sold in Malaysia compared to Brazil and other countries; and
v. Any other factors that could contribute to the injury allegedly suffered by Brazilian manufacturers.
E. WHAT CAN MALAYSIAN MANUFACTURERS DO?
Malaysian manufacturers with substantial exports to Brazil can participate in the investigation conducted by the Brazilian Government. The investigation will be necessary to rebut allegations of dumping and injury.
The response will be in the form of a producer/exporter questionnaire, which is due on 28 August 2024, with an option to request an extension of time.
If you have any queries, please contact Partner, Jason Tan Jia Xin (tjx@lh-ag.com).
Learn more about our partners who specialize in this area