logo
Mahathir Urges ASEAN to Create United Front Against U.S.; Warns High Tariffs Will Be ‘Very Damaging for America'

Mahathir Urges ASEAN to Create United Front Against U.S.; Warns High Tariffs Will Be ‘Very Damaging for America'

Yomiuri Shimbun17-06-2025

The Yomiuri Shimbun
Former Malaysian Prime Minister Mahathir Mohamad
Members of the Association of Southeast Asian Nations should create a united front in negotiations with the United States, former Malaysian Prime Minister Mahathir Mohamad said in a recent interview with The Yomiuri Shimbun.
The following is excerpted from the interview, which was conducted by Yomiuri Shimbun Correspondent Tetsuya Mizuno.
***
America is a big market. High tariffs affect the market; it hurts the market. Exporters to America face troubles. They can't sell as much as they used to. But America itself is going to face a lot of troubles. This is because America needs import; without it, the American industries cannot function, especially without micro-processors or microchips. [U.S. President Donald] Trump has put a pause on electronics because he knows that he needs the electronics to keep supplies in the American industries. He has already given in. Later, he has to give in more. Things will be expensive in America.
Other countries will also suffer. Other countries should work together to continue this world trade. The trade should go on with an enhancement. They should take the place of America to supply certain things.
It will take time. It is disruptive. I think very soon America will have to solve Trump's high tariff.
The high tariff will create a shift away from America. This would be permanent. America will lose a lot of its trade because people will be able to get from other sources. Once they have been identified from other sources, they will not go back to America.
It is inevitable the U.S. reduces its trade by high tariffs. People will have to look for other partners. China provides good partnership. China has great technological capabilities. It can produce whatever the U.S. produces. It will take a little time. It will be soon.
Trump does not want to side with ASEAN. He wants to deal with individual countries, because the country will be weak.
ASEAN coming together and putting a united front in negotiation with the U.S. is the best approach.
The better future for ASEAN is when there is no dominant country, not China, U.S., nor anyone.
It is not that ASEAN is leaning toward China. It is America who pushes ASEAN to China. If America does not impose high tariffs, we [ASEAN] want to be friendly with the U.S. and China, which both are big markets. But America rejects ASEAN, pushing us toward China.
We need a market. China is the biggest market for Malaysia. If America pushes us, we have no choice but to go to China.
The recovery after World War II was partly due to the Marshall Plan. The package supported the European countries' recovery.
Following that, there are trends on globalization and the borderless world, which has contributed to world trade. What Trump is doing now is to reverse the Marshall Plan.
We should go back to the world trade system. We should give more power to the WTO.
Japan is a great investor. Malaysia had been able to industrialize because of the Japanese investment. Japan has a big role to play to help countries in Southeast Asia with industrialization and trade.
Right now, Japan is in the trough. But I have great faith in Japan and Japanese people who are coming up with new ideas and products, especially in the field of medicine. I think Japan will catch up and recover. It may not be in the industrial products, but there are other sectors where Japan can excel.
A democratic system has failed in a selection of leaders.
A lot of bad leaders like people who do not believe in climate change, people who believe that the solution to the conflict is to go to war, these people are now in charge in many countries. That is why we have the problems.
Japan should not be a neighbor of the U.S. only, but a neighbor to the rest of the world. It should be an enabler for the rest of the world. Japan should consider the best thing for Japan in the world, not as a partner of the U.S.
Mahathir Mohamad
Mahathir, 99, entered politics after working as a general practitioner. He served as Malaysian prime minister twice, from 1981 to 2003 and from 2018 to 2020. He promoted the modernization of his country, advocating the Look East Policy, an economic policy modeled after Japan and other countries.

Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

U.S. inflation edges up as Trump renews criticism of Fed chief
U.S. inflation edges up as Trump renews criticism of Fed chief

Japan Today

time3 hours ago

  • Japan Today

U.S. inflation edges up as Trump renews criticism of Fed chief

The Federal Reserve's preferred inflation gauge rose 2.3 percent in May, but consumer spending pulled back in part due to autos By Beiyi SEOW The U.S. Federal Reserve's preferred inflation measure logged a mild uptick Friday while spending weakened, triggering another tirade by President Donald Trump against the central bank chair for not cutting interest rates sooner. "We have a guy that's just a stubborn mule and a stupid person," Trump told an event at the White House, referring to Fed Chair Jerome Powell. "He's making a mistake." With Powell's term as Fed chief coming to an end next year, Trump hinted at his choice of successor: "I'm going to put somebody that wants to cut rates." The president's remarks came after government data showed the personal consumption expenditures (PCE) price index climbing 2.3 percent last month from a year ago in May. This was in line with analyst expectations and a slight acceleration from April's 2.2 percent increase, but still a relatively mild uptick. Excluding the volatile food and energy sectors, the PCE price index was up 2.7 percent, rising from April's 2.6 percent uptick, the Commerce Department's report showed. But consumer spending declined, after Trump's fresh tariffs in April dragged on consumer sentiment. PCE dropped by 0.1 percent from the preceding month, reversing an earlier rise. While Trump has imposed sweeping tariffs on most U.S. trading partners since returning to the White House in January -- alongside higher rates on imports of steel, aluminum and autos -- these have had a muted effect so far on inflation. This is in part because he held off or postponed some of his harshest salvos, while businesses are still running through inventory they stockpiled in anticipation of the levies. But central bank officials have not rushed to slash interest rates, saying they can afford to wait and learn more about the impact of Trump's recent duties. They expect to learn more about the tariffs' effects over the summer. "The experience of the limited range of tariffs introduced in 2018 suggests that pass-through to consumer prices is intense three-to-six months after their implementation," warned economists Samuel Tombs and Oliver Allen of Pantheon Macroeconomics in a note. They flagged weakness in consumer spending, in part due to a pullback in autos after buyers rushed to get ahead of levies. And spending on services was tepid even after excluding volatile components, they said. "There has also been a clear weakening in discretionary services spending, notably in travel and hospitality," said Michael Pearce, deputy chief US economist at Oxford Economics, in a note. This reflects "the chilling effect of the plunge in consumer sentiment," he added. Between April and May, the PCE price index was up 0.1 percent, the Commerce Department report showed. As a July deadline approaches for higher tariff rates to kick in on dozens of economies, all eyes are also on whether countries can reach lasting trade deals with Washington to ease the effects of tariffs. For now, despite the slowing in economic growth, Pearce said risks that inflation could increase will keep the Fed on hold with interest rates "until much later in the year." © 2025 AFP

Chief Justice Roberts warns against heated political words about judges
Chief Justice Roberts warns against heated political words about judges

Japan Today

time3 hours ago

  • Japan Today

Chief Justice Roberts warns against heated political words about judges

FILE - Chief Justice of the U.S. Supreme Court John Roberts speaks during a lecture to the Georgetown Law School graduating class of 2025, in Washington, May 12, 2025. (AP Photo/Manuel Balce Ceneta, File) By MARK SHERMAN Chief Justice John Roberts, speaking at a moment when threats against judges are on the rise, warned on Saturday that elected officials' heated words about judges can lead to threats or acts of violence by others. Without identifying anyone by name, Roberts clearly referenced Republican President Donald Trump and Senate Democratic leader Chuck Schumer of New York when he said he has felt compelled to issue public rebukes of figures in both parties in recent years. 'It becomes wrapped up in the political dispute that a judge who's doing his or her job is part of the problem,' Roberts said at a gathering of lawyers and judges in Charlotte, North Carolina. 'And the danger, of course, is somebody might pick up on that. And we have had, of course, serious threats of violence and murder of judges just simply for doing their work. So I think the political people on both sides of the aisle need to keep that in mind.' Roberts appeared at the 4th U.S. Circuit Court of Appeals judicial conference on the day after the Supreme Court issued the final decisions of its term, including a major victory for Trump that limits judges' ability to use court orders with nationwide reach to block his agenda. C-Span carried Roberts' conversation with Judge Albert Diaz, the 4th Circuit's chief judge. Roberts first took issue with Trump's comments in 2018, when Roberts responded to Trump's description of a judge who rejected his migrant asylum policy as an 'Obama judge.' In March, Roberts rejected calls for impeaching judges, shortly after Trump demanded the removal of one who ruled against his deportation plans. In 2020, Roberts called out Schumer for remarks that Roberts termed inappropriate and threatening after the senator said Trump-nominated Justices Brett Kavanaugh and Neil Gorsuch 'will pay the price' for votes in a then-pending Louisiana abortion case. Schumer later said he should not have used those words. Two years later, with the court on the verge of overturning Roe v. Wade's constitutional protections for abortion, police arrested an armed man outside Kavanaugh's home in suburban Washington. In April, Nicholas John Roske pleaded guilty to trying to kill Kavanaugh. © Copyright 2025 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed without permission.

US multinationals on track for minimum tax reprieve after G7 deal
US multinationals on track for minimum tax reprieve after G7 deal

Nikkei Asia

time5 hours ago

  • Nikkei Asia

US multinationals on track for minimum tax reprieve after G7 deal

U.S. Treasury Secretary Scott Bessent said the changes to the OECD deal would save American companies $100 billion in tax over the next decade. © Reuters COPENHAGEN/WASHINGTON/BRUSSELS/TORONTO (Financial Times) -- The world's leading economies have agreed a deal to spare the U.S.'s largest companies from paying more corporate tax overseas, throwing into doubt the status of the biggest global tax deal in over a century. The agreement between Washington and other members of the G7 group of leading countries could fundamentally alter a landmark 2021 accord to set up a global minimum tax to crack down on avoidance by multinationals.

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store