Trump sends tariff letter to PM Anwar, King

Malaysian Reserve

2 days ago

IF you were wondering if that weirdly worded letter came from President Donald Trump, doubt no more.
The United States president has just released a batch of letters to about a dozen countries, including Malaysia, inviting them to 'participate in the extraordinary Economy of the United States, the Number One Market in the World, by far.'
Malaysia has been slapped a 25% tariff rate.
The letters were addressed to Prime Minister Datuk Seri Anwar Ibrahim and His Majesty Sultan Ibrahim, King of Malaysia. Similarly, the letter to Thailand was also addressed to its PM and monarch.
In the almost identical letters, Trump unveiled the first in a wave of promised letters that threaten to impose higher tariff rates on key trading partners, including levies of 25% on goods from Japan and South Korea, and signed an executive order holding off the new duties until Aug. 1.
Trump also announced 25% rates on Malaysia, Kazakhstan and Tunisia, while South Africa would see a 30% tariff and Laos and Myanmar would face a 40% levy. Other nations hit with levies included Indonesia with a 32% rate, Bangladesh with 35%, and Thailand and Cambodia with duties of 36%. Bosnia received a 30% levy, while Serbia faces a 35% rate.
On Monday, he signed an executive order that delays the new rates until Aug. 1 for all nations facing the reciprocal tariffs, effectively buying each affected nation an extra three weeks to cut a deal with the White House, reported Bloomberg.
The first batch of letters went out to Japanese PM Shigeru Ishiba at about 1am, today.
Two hours later, at about 3am Malaysian time (according to the time stamp on the letter), the second batch started going out, with Malaysia leading the group. It included Kazakhstan, South Africa, Laos and Myanmar. And another two hours later, came the next batch of letters for Tunisia, Indonesia, Bangladesh, Serbia, Cambodia and Thailand.
At about 7am, Monday (Malaysian time), Trump posted this on his Truth Social account: 'I am pleased to announce that the UNITED STATES TARIFF Letters, and/or Deals, with various Countries from around the World, will be delivered starting 12:00 P.M. (Eastern), Monday, July 7th. Thank you for your attention to this matter! DONALD J. TRUMP, President of The United States of America.'
This was followed by this: 'Any Country aligning themselves with the Anti-American policies of BRICS, will be charged an ADDITIONAL 10% Tariff. There will be no exceptions to this policy. Thank you for your attention to this matter!'
Here is the letter in full:
His Excellency Dato' Seri Anwar bin Ibrahim
Prime Minister of Malaysia
Kuala Lumpur
Dear Mr. Prime Minister:
It is a Great Honor for me to send you this letter in that it demonstrates the strength and commitment of our Trading Relationship, and the fact that the United States of America has agreed to continue working with Malaysia, despite having a significant Trade Deficit with your great Country. Nevertheless, we have decided to move forward with you, but only with more balanced, and fair, TRADE. Therefore, we invite you to participate in the extraordinary Economy of the United States, the Number One Market in the World, by far. We have had years to discuss our Trading Relationship with Malaysia, and have concluded that we must move away from these longterm, and very persistent, Trade Deficits engendered by Malaysia's Tariff, and Non Tariff, Policies and Trade Barriers. Our relationship has been, unfortunately, far from Reciprocal. Starting on August 1, 2025, we will charge Malaysia a Tariff of only 25% on any and all Malaysian products sent into the United States, separate from all Sectoral Tariffs. Goods transshipped to evade a higher Tariff will be subject to that higher Tariff. Please understand that the 25% number is far less than what is needed to eliminate the Trade Deficit disparity we have with your Country. As you are aware, there will be no Tariff if Malaysia, or companies within your Country, decide to build or manufacture product within the United States and, in fact, we will do everything possible to get approvals quickly, professionally, and routinely — In other words, in a matter of weeks.
If for any reason you decide to raise your Tariffs, then, whatever the number you choose to raise them by, will be added onto the 25% that we charge. Please understand that these Tariffs are necessary to correct the many years of Malaysia's Tariff, and Non Tariff, Policies and Trade Barriers, causing these unsustainable Trade Deficits against the United States. This Deficit is a major threat to our Economy and, indeed, our National Security!
We look forward to working with you as your Trading Partner for many years to come. If you wish to open your heretofore closed Trading Markets to the United States, and eliminate your Tariff, and Non Tariff, Policies and Trade Barriers, we will, perhaps, consider an adjustment to this letter. These Tariffs may be modified, upward or downward, depending on our relationship with your Country. You will never be disappointed with The United States of America.
Thank you for your attention to this matter!
With best wishes, I am,
Sincerely,
DONALD J. TRUMP
PRESIDENT OF THE UNITED STATES OF AMERICA