Cabinet to Discuss Impact of US Tariffs on Malaysian Economy
The Malaysian Cabinet will discuss the potential impact of the new policy introduced by United States (US) President Donald Trump, which may affect the country’s economy due to his proposal to impose tariffs on imported goods from several countries.
Malaysia-US Trade Relations
Malaysia is a significant US trading partner, especially as a key electrical and electronic goods exporter to the developed nation. Foreign Minister Datuk Seri Mohamad Hasan emphasized that the new policy, as generally stated by Trump, indicates that imported goods to the US will be subjected to tariffs, which may somewhat affect Malaysia’s economy, mainly due to the planned increase in import tariffs by the US.
Government Response
The government is keeping an eye on the latest developments and will present this to the Cabinet for discussion. Wisma Putra is also involved in monitoring the situation. "So, the government is looking into this. Wisma Putra is also on it. We are keeping an eye on the latest developments and will present this to the Cabinet for discussion," Mohamad said.
Background on US Tariffs
Yesterday, Trump, who was sworn in as the 47th US President on January 20, reportedly announced a plan to impose a 10 per cent tariff on imports from China starting February 1. Trump also announced his plan to impose a 25 per cent duty on imports from Canada and Mexico in response to the increasing influx of fentanyl and illegal immigrants into the US.
Middle East Conflict
In a separate matter, Mohamad expressed Malaysia’s hope that the current ceasefire in Gaza will become permanent, and to effectively stop the genocide against the Palestinians. "We welcome the ceasefire that has been brokered by Qatar, Egypt, and the US. This is what we have been advocating for – to put an end to the genocide," he said.
Malaysia is also in talks with Japan to organize a conference with other like-minded countries to explore ways to gather financial resources to rebuild Gaza. "We will co-host this with Japan….it was initially planned for July, but Prime Minister Datuk Seri Anwar Ibrahim has requested it to be expedited. I have reached out to my counterpart and am awaiting their response," Mohamad said.
Conclusion
The Cabinet’s discussion on the impact of US tariffs on Malaysia’s economy is a crucial step in navigating the country’s trade relations with the US. The government’s proactive approach in monitoring the situation and exploring ways to mitigate the effects of the tariffs is commendable. Meanwhile, Malaysia’s efforts to promote peace and stability in the Middle East are also noteworthy.
FAQs
Q: What is the impact of US tariffs on Malaysia’s economy?
A: The tariffs may affect Malaysia’s economy, mainly due to the planned increase in import tariffs by the US.
Q: What is Malaysia’s response to the US tariffs?
A: The government is keeping an eye on the latest developments and will present this to the Cabinet for discussion.
Q: What is Malaysia’s stance on the Middle East conflict?
A: Malaysia welcomes the ceasefire in Gaza and hopes it will become permanent, and to effectively stop the genocide against the Palestinians.