Press Metal unfazed by US plans for aluminium import tariffs

PETALING JAYA: Press Metal Aluminium Holdings Bhd is unperturbed by the US mulling restrictions on steel and aluminium imports, citing small exposure to the US market.
Press Metal was among the top losers on Bursa Malaysia today, with its share price falling 9.14% or 50 sen to close at RM4.97 on some 31.81 million shares traded.
In a filing with Bursa Malaysia today, the aluminium company said it has been monitoring developments on the potential tariff on aluminium which may be implemented by the US.
“We feel the current direct impact to our business is minimal. Press Metal exports a very minimal amount of its primary aluminium products to the US. Including extrusion products, our exposure to the US market is less than 1% of our total revenue,” it said.
Press Metal said that the consumption of primary aluminium in the US was almost six million tonnes last year while domestic production was close to one million tonnes only.
It also noted that Canada, Russia and the Middle East are the top three exporters to the US, making up about 80% to 90% of the country’s imports of primary aluminium.
The US is looking at tariffs of 25% on imported steel and 10% on aluminium from all countries that export their metals to the US. The measures are awaiting approval of President Donald Trump.