Cabinet to discuss 25% US tariff tomorrow
Published on: Tue, Jul 08, 2025
By: FMT Reporters Text Size: Plantation and commodities minister Johari Ghani played down concerns that Malaysia's involvement in the BRICS group of developing nations will lead to further US tariffs. PETALING JAYA: The Cabinet will discuss the 25% tariff imposed by the US on Malaysian products tomorrow, says plantation and commodities minister Johari Ghani. The tariff, effective Aug 1, was announced by US president Donald Trump yesterday and will apply to all Malaysian exports, separate from other sector-specific duties. Malaysia had faced a 24% tariff on certain exports to the US unless both sides could reach an agreement before the end of the 90-day pause today. 'For the past 90 days, investment, trade and industry minister Tengku Zafrul Aziz has been negotiating with the US,' Johari said in a Harian Metro report. 'It seems they have given until Aug 1 to continue negotiations, but they've already increased the tariff from 24% to 25%. 'Let's wait and see. I believe the Cabinet will address this issue tomorrow.' In a letter addressed to Prime Minister Anwar Ibrahim, Trump said Malaysia's current trade policies had made its trading relationship with the US largely one-sided and non-reciprocal. While Trump said he was ready to lower the 25% tariff if Malaysia changed its trade policies, he warned that any decision by Malaysia to raise tariffs on US goods would result in an additional 25% tariff. Johari also played down concerns that Malaysia's involvement in the BRICS group of developing nations would lead to further US tariffs, stressing the importance of diversifying Malaysia's export markets. Trump previously said the US would impose an additional 10% tariff on any country aligning itself with BRICS's 'Anti-American policies'. Anwar was among the world leaders who attended the 17th BRICS Leaders Summit in Brazil on Sunday. 'There are over 190 countries in the world. If one country treats us like this, it doesn't mean we can't survive,' said Johari. 'We must look for new markets.' * Follow us on our official WhatsApp channel and Telegram for breaking news alerts and key updates! * Do you have access to the Daily Express e-paper and online exclusive news? Check out subscription plans available.
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