Latest news with #US-Asia
Sinar Daily
09-07-2025
- Business
- Sinar Daily
Anwar slams tariffs as regional meet starts
Trump's latest tariff moves will be high on the agenda at a meeting of top diplomats of the Association of Southeast Asian Nations (Asean) in the Malaysian capital ending on Friday. 09 Jul 2025 01:16pm Anwar attends a plenary session of the BRICS summit in Rio de Janeiro, Brazil, on July 7, 2025. (Photo by Mauro PIMENTEL / AFP) KUALA LUMPUR - Prime Minister Datuk Seri Anwar Ibrahim on Wednesday slammed trade tariffs as regional foreign ministers gathered in Kuala Lumpur for a three-day meet, which also included talks with the United States, China and Russia. US President Donald Trump's latest tariff moves will be high on the agenda at a meeting of top diplomats of the Association of Southeast Asian Nations (Asean) in the Malaysian capital ending on Friday. (L-R) East Timor Foreign Minister Bendito dos Santos Freitas, Laos Minister of Affairs Thongsavanh Phomvihane, Indonesia's Foreign Minister Sugiono, Cambodia's Foreign Minister Prak Sokhonn, Malaysia's Prime Minister Anwar Ibrahim and Brunei's Minister of Foreign Affairs Erywan Yusof applaud after posing for the group photo during the opening ceremony of the 58th Association of Southeast Asian Nations (ASEAN) Foreign Ministers' meeting and related meetings at the Convention Centre in Kuala Lumpur on July 9, 2025. (Photo by MOHD RASFAN / AFP) "Across the world tools once used to generate growth are now wielded to pressure, isolate and contain," Anwar said as the conference started. "Tariffs, export restrictions and investment barriers have now become the sharpened instruments of geopolitical rivalry," Anwar said, without specifically naming the United States. Anwar's remarks came as US Secretary of State Marco Rubio flew to Malaysia for talks overshadowed by fears of a trade war. Rubio is expected in the Malaysian capital early on Thursday for two days of meetings. This included a post-ministerial conference and attending a meeting by East Asian foreign ministers -- which will also see key US-Asia trading partners such as Japan and South Korea participating. US officials ahead of the trip said Washington was "prioritising" its commitment to East Asia and Southeast Asia, but Rubio's trip comes as many countries fear the imposition of punitive tariffs. Sweeping levies Trump announced in April were mostly suspended, as Washington engages in negotiations with friends and foes alike. On Monday, Trump said he would impose 25 per cent tariffs on key US allies Japan and South Korea and 12 others, including Southeast Asian nations Malaysia (25 per cent) and Laos (40 per cent), as of August 1. Export-dependent Vietnam, which like Malaysia and Laos is an Asean member, is one of the few countries to already reach a tentative agreement with Washington that spares it the high level of levies that Trump had threatened. Anwar urged countries of the 10-nation bloc -- which is also dealing with several internal spats -- to show unity "speak with coherence, act with foresight". But Asean is grappling with the ongoing civil war in Myanamar which has seen more than 6,000 people killed and millions of others displaced. "Regrettably, peace remains elusive as the suffering deepens," Anwar said. Meanwhile a border spat between Thailand and Cambodia continued to simmer. Malaysia is this year's rotating chair of Asean -- long derided by critics as a toothless talking shop. "Our cohesion must not end at declarations," Anwar said. "It must be built into our institutions, our strategies and our economic decisions." - AFP
The Star
08-07-2025
- Business
- The Star
Brace for shake-up in supply chains
Urgent need to reshuffle logistics network regardless of US tariffs, say economists PETALING JAYA: Global and local supply chains are set for a major reshuffle, regardless of whether the United States under President Donald Trump moves ahead with new tariffs, according to economists. Bank Muamalat Malaysia Bhd chief economist Dr Mohd Afzanizam Abdul Rashid said the government has done their due diligence and scenario-building exercise in anticipation of the tariff announcement by the United States. 'US President Donald Trump's tariff is beyond the government's control. 'Therefore, they need to be pragmatic on how best to deal with such a problem,' he said when contacted yesterday. The government, added Mohd Afzanizam, remains non-partisan but is also exploring all possible opportunities following the upcoming US tariff policy. 'I suppose there will be reconfiguration of the supply chain, and the Covid-19 shocks have taught us well about over-concentration of the supply chain. 'So, the reconfiguration of the supply chain is occurring with or without the US tariff. 'The way we see it, the US tariff would accelerate the need to reconfigure the business supply chains,' he added. On Friday, Trump said the US government will start sending out letters with details of higher tariff rates that will take effect on Aug 1. Trump said as many as 12 letters will be sent out over the coming days, and the levies will range from '60% or 70% tariffs to 10% to 20% tariffs', but did not name the countries due to receive them. So far, semiconductors are exempt from tariffs, but Trump has threatened levies on them several times, and that uncertainty is making it difficult for businesses to plan for the future. Trump has also threatened to impose an additional 10% tariff on countries aligning themselves with the 'Anti-American policies' of the BRICS group of developing nations, whose leaders kicked off a summit in Brazil on Sunday. Economist Prof Geoffrey Williams said Malaysia could face both direct and indirect impacts should tariff talks fail. 'Directly, there may be some effects on exports to the United States, especially with semiconductors largely excluded. 'Indirectly, if other countries are belligerent, then global trade disruption could hit Malaysia's already-squeezed net trade.' While total trade and exports are rising, Malaysia's net trade has been on a downward trend since August 2023. 'Any further decline will weigh on the 2025 economic outlook,' Williams said. Malaysia's electronics sector may remain relatively insulated, but other industries could be forced to adapt to maintain competitiveness. Williams added that Malaysia should avoid taking sides in any US-Asia trade conflict and instead pursue diverse partnerships. 'The smartest policy is to reduce tariffs and non-tariff barriers. Let consumers decide.' He also called on the government to clearly state where negotiations stand. 'If Malaysia receives a letter in the coming days, the response must be swift and positive. Be smart in the negotiations, not belligerent,' he added. Sunway University economics professor Dr Yeah Kim Leng said the additional 10% on top of the 24% reciprocal tariff, currently under negotiation, will likely raise the price of Malaysian goods imported into the United States. 'It will cause a supply or price shock to US importers as the latter will have to bear the tariffs.' Meanwhile, the Investment, Trade and Industry Ministry in a statement said Malaysia maintains an independent foreign and economic policy. 'Our engagement with any multilateral platform is focused on trade facilitation and sustainable development, guided by national interest, not ideological alignment. 'The US remains one of Malaysia's key economic partners, not only through trade but also through the multi-billion dollar American investments that have been established in Malaysia for more than 50 years,' it said. On April 2, Trump announced his Liberation Day tariff package, imposing staggeringly high tariffs on the entire world, including 20% or higher tariffs on major US trading partners. A week later, he paused some of these tariffs.
Yahoo
27-05-2025
- Business
- Yahoo
Hedge Funds Bet on Korean Won to Mirror Taiwan Dollar's Surge
(Bloomberg) -- Hedge funds are ramping up bets in the options market that the South Korean won will mirror the Taiwan dollar's recent rally against the greenback. NY Private School Pleads for Donors to Stay Open After Declaring Bankruptcy UAE's AI University Aims to Become Stanford of the Gulf NYC's War on Trash Gets a Glam Squad Pacific Coast Highway to Reopen Near Malibu After January Fires Dollar-won option trading volume spiked to this year's high last week, according to the Depository Trust & Clearing Corporation data, as speculation grew that Korea and the US discussed the won's direction in their currency talks. Barclays Bank Plc said there's been increased demand for put options from hedge funds. A surge in the Taiwanese dollar this month has reshaped market expectations for Asian currencies. Investors see the won as a likely candidate for comparable gains, as Korea's trade surplus with the US adds pressure on local authorities to tolerate a stronger currency. The US last year added Korea to its foreign-exchange monitoring list — which already included Taiwan. A key question 'most hedge funds have been asking is: which currency pair can have the same magnitude of move that was observed in' the Taiwan dollar, said Mukund Daga, head of foreign-exchange options for Asia at Barclays in Singapore. 'This has led to decent demand for dollar-won put options in digital and vanilla formats by fast-money names.' Vanilla options are standard contracts with no special features attached to them, while digital trades offer a fixed payout if the FX pair hits a preset level at expiration. Demand for dollar-won put options with notional sizes over $60 million outpaced call options on DTCC by a 3:2 ratio on Wednesday, underscoring the bias for bearish bets on the pair. The premium to hedge dollar-won downside over the next month compare to the upside, as measured by risk reversals, traded near a 21-year high last week. The dollar-won pair 'was already seeing active downside interest for digitals and put spreads since the big move in the Taiwan dollar a few weeks back,' said Saurabh Tandon, global head of foreign-exchange options at Standard Chartered Bank in Singapore. 'The recent FX related comments have spurred on interest in downside dollar-won trades.' The tariff talks between the US and its trading partners have raised speculation that President Donald Trump's administration is open to a weaker greenback. For many, the won is becoming a favored proxy for broader shifts in US-Asia trade dynamics and a key hedge against declining dollar strength. The won rallied last week as local media cited an unnamed government official as saying that the US believes a relatively weak local currency is a fundamental cause of Korea's trade surplus. The finance ministry has said that while FX talks with the US are ongoing, nothing has been decided yet. The Taiwan dollar's 7% surge this month has raised hedging costs for Taiwanese insurers, who are large holders of US-dollar assets. That's making the won a major proxy for hedging, according to a Bank of America note dated May 21. The 'market is showing insatiable appetite for owning optionality in the won,' said Ivan Stamenovic, head of Asia Pacific G-10 FX trading at Bank of America Corp. 'We are seeing major interest across the term structure indiscriminate of tenors. --With assistance from Jaehyun Eom and Betty Hou. Why Apple Still Hasn't Cracked AI How Coach Handbags Became a Gen Z Status Symbol Mark Zuckerberg Loves MAGA Now. Will MAGA Ever Love Him Back? Inside the First Stargate AI Data Center AI Is Helping Executives Tackle the Dreaded Post-Vacation Inbox ©2025 Bloomberg L.P. Sign in to access your portfolio
The Star
15-05-2025
- Business
- The Star
Thai tycoon Sarath meets Trump, eyes stronger US ties
BANGKOK: Sarath Ratanavadi, CEO of Gulf Energy Development Public Company Limited, was the only Thai business leader invited to a high-level dinner reception hosted in honour of US President Donald Trump in Qatar on Wednesday (May 14). The event, held at Lusail Palace, was part of Trump's official Middle East visit, with Qatar being the second stop on his tour. The reception was hosted by Qatari Emir Sheikh Tamim Hamad Al-Thani and attended by members of the royal family, the Qatari Prime Minister, and cabinet ministers. It also welcomed prominent US officials and business leaders, including Treasury Secretary Scott Bessent, Commerce Secretary Howard Lutnick, Defence Secretary Pete Hegseth, Energy Secretary Chris Wright, and entrepreneur Elon Musk. Executives and investors from across Asia, including India and Thailand, also took part. Sarath Ratanavadi was notably the sole Thai invitee at the event. Speaking after the reception, Sarath stated, 'I had the opportunity to engage directly with President Trump and several US cabinet members. The discussions reflected a positive tone regarding US-Thailand relations, particularly in the area of investment. The US expressed openness to increased Thai investment, especially in the energy sector, where Gulf already has ongoing operations.' The meeting highlighted growing interest in strengthening US-Asia investment ties, particularly in the context of shifting global energy dynamics and economic diversification strategies. - The Nation/ANN
Barnama
28-04-2025
- Business
- Barnama
Gold Futures Slip As Trade Talk Optimism Grows
KUALA LUMPUR, April 28 (Bernama) -- The gold futures contract on Bursa Malaysia Derivatives ended lower today amid increasing risk appetite driven by positive signals from US-Asia trade talks. SPI Asset Management managing director Stephen Innes said gold is seen retreating from its recent bullish momentum as tariff talks showed signs of relaxation, easing market fears, and weighing on gold's safe-haven appeal. "Nevertheless, this pullback looks more like profit-taking than a sign of a structural downturn, suggesting the longer-term outlook for gold remains positive," he said. At today's close, the spot month April 2025 contract dropped to US$3,280.90 per troy ounce from US$3,307.20 on Friday, and May 2025 decreased to US$3,289.90 per troy ounce from US$3,316.20 previously. June 2025, July 2025, and August 2025 contracts fell to US$3,307.10 per troy ounce from US$3,332.80 last Friday. Trading volume rose to 202 lots from 37 lots on Friday while open interest declined to 36 contracts against 88 contracts previously. According to the London Bullion Market Association's afternoon fix on April 25, physical gold was priced at US$3,277.30 per troy ounce. -- BERNAMA
