Malaysia To Show Strong Leadership To Address US Tariff

KUALA LUMPUR, April 9 (Bernama) -- Malaysia will demonstrate strong leadership and act responsibly within ASEAN to address the United States' latest tariff measures, said National Chamber of Commerce and Industry of Malaysia (NCCIM) vice-president Datuk AT Kumararajah.

He noted that Prime Minister Datuk Seri Anwar Ibrahim is committed to prioritising key regional issues, including tariff measures and is guiding meaningful discussions.

However, he acknowledged that ASEAN negotiations are shaped by the diverse viewpoints of its member states.

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“We will show stewardship in terms of ASEAN. The Prime Minister has come out very well (from this current uproar), saying, look, we will put up with this en bloc.

“As the ASEAN chair, Anwar will show stewardship, but when it comes to negotiating, everybody has their viewpoints and we will do it our way,” he said on Bernama TV’s The Nation programme entitled “24 per cent US Tariff: What it means for Malaysia’s Economy” today.

ASEAN, as a bloc, is sizeable with a combined gross domestic product (GDP) of close to US$3.8 trillion (US$1=RM4.48), making it the fifth-largest economic bloc globally.

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The US has imposed a tariff of 36 per cent on Thailand, Indonesia 32 per cent, Brunei and Malaysia both 24 per cent, the Philippines 17 per cent and Singapore a baseline 10 per cent.

 Highlighting US President Donald Trump’s approach, Phar Kim Beng, professor of ASEAN Studies at the International Islamic University of Malaysia, called the tariff move “a hard global reset,” noting its widespread impact.

He said Malaysia could see an export reduction of RM60 billion and potentially face a GDP decline of 1.7 per cent.

“The stock markets are not doing well all over the world. To the degree that this trend continues to go downward, the fear and loss of confidence will be so massive that what was supposedly a trigger to a recession can lead to a depression,” he said.

Hence, Malaysia may need to adjust its GDP figures by 0.5 to 0.7 per cent.

 Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Abdul Aziz is set to lead Malaysia's delegation to Washington at the end of this month to negotiate the tariff imposed.

He will be accompanied by Deputy Secretary-General (trade) Mastura Ahmad Mustafa and other ministry officials. Representatives from the Malaysian Embassy in Washington will join the delegation.

-- BERNAMA