KUALA LUMPUR: The United States has increased tariffs on all Malaysian products entering the country to 25%, up from the previously announced 24%. The new rate will take effect on August 1 this year.
In a letter addressed to Prime Minister Datuk Seri Anwar Ibrahim and posted on his Truth Social account, US President Donald Trump stated, “the 25 per cent number is far less than what is needed to eliminate the trade deficit disparity we have with your country.”
However, the letter also mentioned an exemption for Malaysian companies that choose to manufacture within the US. Trump assured that Washington would expedite approvals for such investments, stating, “we will do everything possible to get approvals quickly, professionally, and routinely - in other words, in a matter of weeks.”
The letter further warned that if Malaysia retaliates with its own tariff hikes, the US would add those rates to the existing 25%. Malaysia has been in negotiations with the US since April to lower the initial 24% tariff, with the latest talks held on June 18.
The announcement precedes US Secretary of State Marco Rubio’s visit to Kuala Lumpur for the ASEAN-US post-ministerial conference and related meetings under the 58th ASEAN Foreign Ministers Meeting. - Bernama
