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Qatar sets steep duties on battery imports

Qatar has imposed final anti-dumping duties of up to 77 per cent on selected electric battery imports from China and Malaysia, extending a Gulf-wide trade remedy designed to shield regional manufacturers from products sold at unfairly low prices.

The Ministry of Commerce and Industry introduced the measure under Decision No. 48 of 2026. Duties on goods originating in or exported from China range from 25.8 per cent to 74 per cent, while rates on Malaysian shipments range from 43.2 per cent to 77 per cent.

The applicable charge will depend on the dumping margin established for each producer or exporter. This means companies that participated in the investigation and supplied verifiable pricing and cost information may face different rates, while other exporters can be subjected to the highest residual duty.

The decision covers electric accumulators classified under tariff heading 8507 and Harmonised System code 85071000 in the GCC Integrated Customs Tariff. That classification principally covers lead-acid batteries used to start piston engines, including batteries commonly fitted to cars, commercial vehicles and other machinery.

The duties are calculated as a percentage of the customs value of the imported product, including cost, insurance and freight. The measure is intended to neutralise the price advantage created when goods are exported below their normal value and cause material injury to manufacturers in the importing market.

Qatar said the action would support the competitiveness of domestically manufactured products and counter harmful international trade practices. Customs authorities and other relevant agencies are expected to apply the company-specific rates to covered consignments entering the country.

The national decision gives effect to measures approved through the Gulf Cooperation Council’s collective trade-defence system. The GCC Industrial Cooperation Committee endorsed final duties after a regional investigation into battery imports from China and Malaysia.

The investigation was launched in August 2024 following complaints from manufacturers operating in Qatar, Saudi Arabia and Oman. The applicants included Qatar’s Al Shabib Battery Factory, which produces batteries under the Q Power brand, Saudi Arabia’s Middle East Battery Company and Oman’s Reem Batteries and Power Appliances Company.

Investigators examined whether the imported batteries were being sold in Gulf markets below comparable prices or production costs in their countries of origin. They also assessed whether the imports had harmed regional producers through lost sales, pressure on prices, declining market share or weaker profitability.

The final schedule assigns Chinese producers duties at several levels, including 25.8 per cent, 50.7 per cent and 63.7 per cent. Other Chinese companies may face the maximum 74 per cent rate. Named Malaysian producers are subject to rates including 43.2 per cent and 68 per cent, with the residual Malaysian rate fixed at 77 per cent.

The Gulf measure took effect across the customs union in January 2026 and may remain in force for up to five years, subject to the rules governing anti-dumping reviews. Qatar’s ministerial decision provides the domestic legal and administrative basis for collecting the duties at its ports of entry.

China is a major global producer and exporter of lead-acid batteries, supported by large-scale manufacturing, established supply chains and extensive access to refined lead. Malaysia has also developed significant battery production capacity, including plants linked to overseas investors seeking manufacturing bases closer to export markets.

Gulf countries are important destinations for starter batteries because of high vehicle ownership, demanding climatic conditions and the need for frequent battery replacement. Extreme heat can accelerate corrosion and water loss, shortening the working life of conventional lead-acid units and sustaining demand for replacement products.

Higher import duties could raise procurement costs for distributors dependent on Chinese and Malaysian supplies. Importers may seek alternative manufacturers, renegotiate contracts or pass part of the additional expense to garages, fleet operators and motorists.

The impact will vary because the duties are company-specific. Producers assigned the lowest rates could retain a substantial price advantage over competitors facing charges above 60 per cent. Exporters may also alter supply routes, shift production or pursue investment within the Gulf to reduce their exposure to border measures.

Regional battery manufacturers are likely to gain greater room to increase output and recover investment. The protection may also encourage producers to expand recycling operations, an important part of the lead-acid battery industry because used batteries contain recoverable lead, plastic and acid requiring controlled handling.
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