Malaysia secures US tariff cut to 19% after strategic negotiations
Tengku Zafrul highlighted that Malaysia maintained its stance on critical policies while securing the reduced rate. 'The 19% tariff aligns with regional benchmarks and preserves Malaysia's sovereign right to implement socio-economic policies,' he said. The negotiations, which began on May 6, concluded on July 31, 2025.
The minister noted that the agreement reflects six decades of strong Malaysia-US trade relations. 'This result was achieved through sustained bilateral engagement, demonstrating mutual economic benefits,' he added.
To mitigate the tariff's impact, Malaysia will leverage its 18 free trade agreements and diversify export markets. 'MITI is coordinating with Bank Negara Malaysia and other agencies to assess GDP effects and support exporters,' Tengku Zafrul said. The government will also advance industrial reforms under the New Industrial Master Plan 2030 and National Semiconductor Strategy.
Amid global economic uncertainties, Malaysia remains resilient. 'While external risks persist, domestic demand and policy reforms position us well,' he said. MITI will conduct outreach programmes to guide businesses on the revised tariff's implementation. - Bernama
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