KUALA LUMPUR: The United States’ decision to impose a 25 per cent tariff on Malaysia was a unilateral move by President Donald Trump and not the outcome of negotiations, according to Minister of Investment, Trade and Industry Tengku Datuk Seri Zafrul Abdul Aziz.
Speaking at a press conference addressing Malaysia’s response to the US tariff announcement, Tengku Zafrul noted that US officials have yet to provide clarity on the sudden increase.
“Similarly, as with Japan, the question is why it suddenly increased by one per cent,“ he said.
The US had initially announced a 24 per cent reciprocal tariff for Malaysia and Japan in April.
However, the latest adjustment raises concerns over trade relations. Despite this, Tengku Zafrul stressed that discussions between both nations remain active ahead of the August 1 implementation date.
“The engagement will continue. It’s not a matter of negotiations having failed. It’s not about Malaysia or the world facing a crisis,“ he said.
He reiterated Malaysia’s commitment to a rules-based trading system under the World Trade Organisation.
Other countries affected by the 25 per cent tariff include Japan, South Korea, Tunisia, and Kazakhstan. Regarding Trump’s additional 10 per cent levy on BRICS nations, Tengku Zafrul stated there have been no further updates.
On the economic impact, he mentioned that Bank Negara Malaysia is assessing the tariff’s effects but maintained that the official outlook remains unchanged for now. “As for our economic growth forecast, the details will be announced by the central bank,“ he added. - Bernama
