KUALA LUMPUR: Trade relations between Malaysia and the United States face growing strain after the US imposed a 25 percent tariff on Malaysian exports, prompting concerns over long-term economic disruptions.
Analysts suggest Malaysia must strengthen ties with other trade partners and enhance economic resilience to mitigate external shocks.
Economist Samirul Ariff Othman noted that while Malaysia has refrained from retaliatory measures, prolonged US pressure could force a tougher stance.
“Quiet diplomacy can only go so far. Should the US persist, Malaysia will need to recalibrate its strategic alignments,“ he said.
Khazanah Research Institute Deputy Director Yin Shao Loong attributed the tariffs to missed US negotiation deadlines but expressed optimism for future progress.
Meanwhile, Federation of Malaysian Manufacturers President Soh Thian Lai warned of destabilised supply chains, stating, “This latest escalation risks further destabilising an already fragile industrial landscape, severely impacting export competitiveness.”
The Institute for Democracy and Economic Affairs (IDEAS) urged ASEAN solidarity against disruptive US policies, emphasising collective action to counter Washington’s divide-and-conquer approach.
“Malaysia must continue to avoid being drawn into retaliatory trade barriers or a false choice between major powers,“ it said. - Bernama
