PM Anwar says Malaysia will keep negotiating with the US over new tariffs linked to forced labour, as current rates remain relatively low.
PORT DICKSON: Prime Minister Datuk Seri Anwar Ibrahim said the government will continue negotiations with the United States over the new tariffs imposed on Malaysia related to the forced labour issue if the outcome remains unsatisfactory.
He said the government has taken note of the latest US announcement on the tariff rates, expressing relief that the rates imposed on Malaysia are relatively low. However, Anwar said further negotiations would continue to ensure the country’s interests are protected.
“Negotiations are being continued by Datuk Seri Johari Abdul Ghani (Minister of Investment, Trade and Industry). If we do not receive a satisfactory outcome, we will raise the matter again. At the very least, we are relieved that the tariff is relatively low compared with most other countries,” he told reporters after attending the “Semarak Kenegaraan” programme at the Army Basic Training Centre (PUSASDA) here today.
Also present were Chief Secretary to the Government Tan Sri Shamsul Azri Abu Bakar, Chief of Defence Forces General Tan Sri Malek Razak Sulaiman, Army Chief General Tan Sri Azhan Md Othman, and Deputy Defence Minister Adly Zahari.
Media reports said Malaysia is among the ASEAN countries subjected to the lowest duty rate of 10% under the new US Section 301 tariffs, following US findings that it had failed to effectively implement and enforce a ban on imports of goods produced using forced labour.
Besides Malaysia, Cambodia and Indonesia were also imposed a 10% duty rate, according to a statement by US Trade Representative (USTR) Ambassador Jamieson Greer.
The USTR said the action was taken under Section 301 of the Trade Act of 1974 against 60 economies after an investigation found that they had failed to effectively implement and enforce bans on imports of goods produced using forced labour.
At the same time, the USTR said all other economies would be subject to a Section 301 duty rate of 12.5%. Malaysia is also eligible to be considered for a tariff-rate quota based on imports of inputs from the United States to encourage greater use of American cotton and textile products.
