MITI Minister Zafrul defends new US trade deal (ART), denying ‘selling country’ claims & sovereignty compromise.
PETALING JAYA: Malaysia did not “sell the country” in its new trade deal with the United States, said Minister of Investment, Trade and Industry (MITI) Datuk Seri Tengku Zafrul Abdul Aziz, challenging critics in Parliament to point out a single clause that crosses Malaysia’s red lines.
Speaking on the Agreement on Reciprocal Trade (ART) in Parliament, Zafrul said the negotiations adopted a whole-of-nation approach, involving multiple ministries, agencies, and the private sector, with the goal of reaching an agreement that benefits both countries.
He emphasised that Malaysia’s sovereignty, key economic interests, and Bumiputera rights were never compromised.
“If anyone claims that we ‘sold the country,’ I challenge them to show a single clause that violates or crosses these red lines. Not one exists,” he said.
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He also highlighted Article 5.1.1 of the ART, which has been misinterpreted by critics.
He said that the provision does not allow the US to force Malaysia to take action on other countries.
“Instead, it allows Malaysia to act only under domestic laws and timelines and only on issues that constitute a “shared economic concern” — matters that affect both Malaysia and the US.
“This is a commitment to negotiate as strategic partners, not as a subordinate country,” he said.
The minister stressed that the deal was vital for Malaysia’s export competitiveness, reducing US-imposed tariffs from 25% to 19%, the lowest rate applied to Asean countries with trade surpluses.
Malaysia also secured exemptions on 1,711 tariff lines, covering key exports such as palm oil, rubber-based products, cocoa, aircraft components, and pharmaceuticals, collectively worth RM22 billion (US$ 5.2 billion), or roughly 12% of Malaysian exports to the US in 2024.
Yesterday, Pasir Gudang MP Hassan Karim has criticised Malaysia’s recent trade agreement with the United States, calling it an “act of surrender” that compromises the country’s sovereignty.
He claimed that the deal, inked during Trump’s recent visit, involved Malaysia granting concessions valued at RM1 trillion.
