Anwar, US Indo-Pacific commander exchange views on Asean defence cooperation
Anwar, in a Facebook post, said that strengthening mutual understanding and exchanging views on various regional issues was among the agenda during the meeting.
"The meeting was an important platform to strengthen mutual understanding and exchange views on various regional issues, particularly efforts to enhance bilateral defence cooperation between Malaysia and the United States.
"We also discussed Washington's continued commitment to strengthening defence cooperation and security diplomacy in the Asean region," he added.
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The Star
22 minutes ago
- The Star
No clear winner in US tariff policy among Asean countries
JAKARTA: The competition landscape in South-East Asia has become clearer as the Aug 1 tariff deadline set by United States President Donald Trump passed, with most countries in the region facing the same hurdle in exporting goods to the world's largest consumer market. While there are no clear winners, Laos and Myanmar can be considered losers under a US policy that is shaking up global supply chains, as manufacturers in those countries are subject to a steep 40 per cent US import duty. Brunei Darussalam, meanwhile, got off somewhat lighter with 25 per cent, but that is still high within the region. Singapore received the lowest rate among Asean countries with a 10 per cent US import tariff, unchanged from what the Trump administration had imposed at the start of Trump's tariff barrage in April. However, export activity there involves higher operational costs, says researcher Wen Chong Cheah from the Economist Intelligence Unit (EIU). Moreover, pharmaceuticals and semiconductors, two of Singapore's main export goods, are not among the key exports of any other Asean countries, meaning the city-state was 'less able' to leverage a lower tariff to gain a competitive edge, said Cheah. 'Most of Asean is [subject to] similar [US import] tariff rates. It seems that we are back at square one. Among Indonesia's competitors in the region, none has a distinct edge in terms of export costs to the US,' he told The Jakarta Post on Monday (Aug 4). Trump announced on July 15 that Washington would impose a 19 per cent tariff on Indonesia, the second-lowest tariff in the region. The government has hailed the figure as an achievement, since it is significantly lower than the 32 per cent initially threatened. Some had hoped the deal would tip the scales in favour of Indonesia, until it was subsequently unveiled that its regional peers Malaysia, Thailand and the Philippines received the same 19-per cent rate, along with Cambodia. Exporters in manufacturing powerhouse Vietnam, meanwhile, have to contend with a marginally higher rate of 20 per cent to access the US market. That difference, however, was 'negligible' and 'insignificant' in changing the region's landscape for trade with the US, given Vietnam's capacity and efficiency, said Permata Bank chief economist Josua Pardede. He told the Post on Monday that the 1-per cent gap was too small to 'fundamentally change trade patterns', since competitiveness was not solely driven by tariffs but also by production efficiency, logistical costs, product quality and business ties. 'Vietnam still enjoys a strong market position, particularly in the electronic industry, textiles and footwear. Such a small tariff difference is possibly not big enough to directly shift trade volumes from Vietnam to other Asean countries in a meaningful way in the short-term,' said Josua. Different angles, same result Discounting Singapore, Asean's largest economies are subject to more or less the same rate, even though each played a different hand in the negotiations with Trump based on local economic characteristics and priorities. Indonesia was among the Asean countries offering 'generous concessions' to the US, Cheah said. Jakarta agreed to purchase 50 Boeing aircraft alongside US$19.5 billion worth of agricultural and energy goods and offered wide-ranging regulatory reforms as well as tariff-free access to Indonesia for most US products. Cheah highlighted the promise to rewrite local content requirements, the archipelago's long-established policy to protect local industries by forcing foreign investment onto Indonesian soil or into business ties with local producers. 'By conceding this point on local content requirements to the US, the Indonesian government has created a precedent that may make it difficult to implement a similar strategy in the future, even with other countries,' explained Cheah. Kuala Lumpur, too, has agreed to ease some nontariff barriers, such as by simplifying halal and facility registration for US imports, in addition to purchasing 30 Boeing jets and lifting some import bans, to gain the 19 per cent rate instead of 25 per cent. However, Malaysia put up a fight in the negotiation as it denied the requests for a blanket exemption and turned down a US request to remove duties on cars, tobacco and alcohol, according to The Edge Malaysia. It also disagreed to liberalise foreign equity ownership in strategic sectors, thereby maintaining existing caps to ensure sufficient space for local players. Malaysian Trade Minister Tengku Zafrul Aziz said on Friday that Kuala Lumpur had refused to compromise on those points to protect local industries. 'We have our reasons. It is a national policy to ensure we remain competitive, and as long as it continues to bring value to the country, we must continue with it,' Zafrul was quoted as saying by the South China Morning Post. With a deal expected to be enshrined in a joint statement sometime this week, Malaysia also secured tariff-free access for pharmaceuticals and semiconductors exported to the US. Washington is reportedly open to exempting imports of cocoa, rubber and palm oil from both Malaysia and Indonesia. Asked whether Jakarta could have put up more of a fight in the tariff negotiations the way Malaysia did, Cheah said 'it's difficult to say', since the export products of both countries were vastly different. 'Malaysia occupies a key node in the semiconductor supply chain, which makes it difficult for the US to find a replacement in the short term. This gives Malaysia more leverage when negotiating its trade deal,' said Cheah. 'Malaysia handles around 10 per cent of the world's microchip packaging and testing, and accounts for about 20 per cent of US semiconductor imports. Meanwhile, Indonesia's exports to the US are less critical. This includes clothing, electronics and palm oil. Hence, Indonesia has less bargaining power with the US,' he added. Bangkok agreed to eliminate import duties for more than 10,000 US items out of roughly 11,000 items in total and committed to purchasing US energy and agricultural products to get the 19 per cent rate. It also agreed to slash in half its $35-billion surplus in bilateral trade with the US, within five years. It did not yield, however, to US pressure to eliminate tariffs on sensitive products or those that would hurt domestic farmers, Bangkok Post reported on Sunday. It is unclear whether Jakarta put up a similar fight, since details on the talks have not been revealed. Officials from the Coordinating Economic Minister did not respond to requests for comment. — The Jakarta Post/ANN
The Star
22 minutes ago
- The Star
Asean's quiet power on full display
PETALING JAYA: For the first time in years, Asean has shown its capacity to contain an internal conflict before it risked drawing in global superpowers, highlighting the bloc's growing maturity and potential for self-governed diplomacy. The recent ceasefire agreement between Thailand and Cambodia—following rising tensions along their shared border—marks a significant moment for the regional grouping. Though external powers such as China and the United States (US) provided important backing, Taylor's University School of Law and Governance senior lecturer Dr Julia Roknifard pointed to Asean's internal leadership, particularly Malaysia's role as the current Asean Chair, as key to defusing the crisis. She said the most important lesson from the conflict is that Asean succeeded in preventing the situation from escalating into a proxy war. 'This Thai-Cambodia conflict could have turned into the next Ukraine with competing superpowers supplying weapons to one side or the other, dragging it out and destabilising the whole region. 'Such an escalation is always dangerously possible and the fact that Asean could contain and defuse it is indeed a huge achievement,' Roknifard told The Star. Malaysia took on the role of mediator in line with its Asean chairmanship and longstanding principle that conflicts among member states should be resolved internally. Roknifard said this principle was honoured in full during the ceasefire process. She also highlighted the significance of Prime Minister Datuk Seri Anwar Ibrahim's personal involvement, which she described as a marked departure from the approach of previous Malaysian leaders. 'Recent PMs seem to have shied away from playing a more active role in international affairs but Anwar has from the start been consistent in speaking on and engaging with international players. 'His administration is marking a return of Malaysia on the international stage that has not been seen for decades now and there is no denying that his personal involvement played a role in securing the ceasefire,' she said. She added that Malaysia's use of quiet diplomacy—often characterised by discreet, non-confrontational negotiation—also contributed to the success of the mediation. While not always effective, Roknifard said this approach remains well suited to the South-East Asian context. 'This is after all a collection of small economies that do not have the resources to engage in large scale economic warfare or actual kinetic warfare. 'They all understand that speaking quietly to each other will be more effective. This has in fact underscored Asean's decades long success of avoiding intra-regional conflict.' However, while the ceasefire marks progress, she cautioned against overstating Asean's cohesion. 'The regional bloc remains divided on key issues, including trade relations with the US, the South China Sea disputes, and the prolonged Myanmar crisis. Asean is still fragmented along many lines. 'The US tariffs are a good example. Instead of negotiating as a bloc, individual members are making their own deals, allowing the US to play one off against another.' On whether the ceasefire might falter, she said this would not reflect a failure on Anwar's part. 'He said he would get an immediate ceasefire, and he got that. It is up to the actual warring parties to honour the commitment they have made. 'If anyone can be said to have failed, it would be Cambodia and Thailand—for not only failing to keep to their own agreement, but also failing to respect those who worked hard to facilitate the peace talks.' Looking ahead, Roknifard urged Asean to develop mechanisms such as its own peacekeepers and a formal crisis response centre to institutionalise its conflict resolution capabilities. 'There has to be a system of voting that will take into account the views of qualified states for intervention, not to threaten the sovereignty of any state but to precisely help in mediation, protection of civilians and disaster response. This is the next logical step for Asean,' she said. Meanwhile, it has been reported that following its successful mediation of the Cambodia-Thailand border truce, Malaysia may now seek to apply a similar conflict resolution model to one of Asean's most intractable challenges—the ongoing armed conflict in Myanmar. According to former Indian Ambassador to Thailand Anil Wadhwa, Malaysia is expected to do well to ride on its success in the Thai-Cambodia conflict and try the Asean mediation between the military regime and the National Unity Government (NUG) and other disparate groups.
New Straits Times
22 minutes ago
- New Straits Times
Armed Forces chief optimistic on Cambodia-Thailand peace process
KUALA LUMPUR: Armed Forces chief General Tan Sri Mohd Nizam Jaffar hopes both parties involved in the ongoing General Border Committee (GBC) process will reach an agreement and honour it. The GBC is part of a ceasefire agreement reached between Thailand and Cambodia at a special meeting in Putrajaya on July 28. Nizam said the joint working group held discussions ahead of the actual GBC meeting set to begin tomorrow. "The key matters to be discussed and decided are the ceasefire agreement, as well as the simplified terms of reference. "These terms are important to ensure both sides understand and adhere to them. "The meeting will also cover matters related to the Asean monitoring team," he said, adding that the joint working group meeting concluded at 10.30pm yesterday. Nizam said there was no easy road to reach an agreement, although all parties understood the importance of peace. "I often use three dictums that, to me, are easy to understand: peace is expensive, life is precious and time is essential," he told the New Straits Times. Tensions between the two Asean member states escalated on May 28 following a clash between troops in the Preah Vihear border area, reigniting a long-standing dispute over their 817km shared border. The fighting led to 15 deaths and displaced more than 100,000 people. On July 28, Malaysia, as Asean chair, hosted a meeting involving Cambodian Prime Minister Hun Manet and acting Thai Prime Minister Phumtham Wechayacha in Kuala Lumpur. After the meeting, Anwar said the immediate and unconditional ceasefire agreement between Cambodia and Thailand marked the beginning of efforts to rebuild trust, confidence and cooperation between the two countries. Phumtham said the outcome reflected Thailand's commitment to a ceasefire and a peaceful resolution, while continuing to protect its sovereignty and the lives of its people.
