Kuala Lumpur: Moving collectively as a regional economic bloc could give the 10 ASEAN member states greater leverage in reciprocal tariff negotiations with the United States (US), said analysts.
According to BERNAMA News Agency, Universiti Utara Malaysia (UUM) deputy vice-chancellor (Academic and International) Prof Dr Mohd Azizuddin Mohd Sani suggested that ASEAN, with its combined economic strength of US$4 trillion and a population of 640 million, can exert more influence when negotiating as a bloc rather than as individual nations. He noted that although some countries have engaged in individual negotiations, a collective approach offers greater bargaining power and the ability to advocate for shared interests.
Mohd Azizuddin emphasized that negotiating individually might put countries at a disadvantage, whereas a collective approach is both systematic and strategic. He highlighted that ASEAN member states’ full backing of Malaysia’s push for a unified voice in negotiations indicates their confidence in the country’s leadership as this year’s ASEAN chair. This approach, he said, aligns with Prime Minister Datuk Seri Anwar Ibrahim’s strategy to address the impact of tariffs by responding as a united economic bloc.
During a briefing on US tariffs at a special Parliament session, Anwar stressed the importance of adopting a collective position on tariffs, showcasing ASEAN’s maturity and strategic foresight. As Finance Minister, Anwar noted that member states have expressed full support for Malaysia’s efforts to create a unified ASEAN stance, highlighting the bloc’s solidarity and economic strength in engaging with the US.
Principal adviser at the Pacific Research Centre of Malaysia, Dr Oh Ei Sun, acknowledged Malaysia’s strong efforts to develop a collective ASEAN response to US tariff measures. He agreed that a united stance would enhance the bloc’s bargaining power, but its success depends on the commitment of major ASEAN economies. Dr Oh suggested that major economies should recognize that a collective reaction may better serve their national interests as ASEAN could negotiate better terms collectively.
Geostrategist Prof Dr Azmi Hassan from the Nusantara Academy for Strategic Research highlighted the importance of reaching an ASEAN consensus, despite each member state facing different tariff rates and having its own consultation mechanisms. He pointed out that although each country has its own strategy, all have agreed not to impose reciprocal tariffs on the US, as China has done. Azmi also stressed the need to strengthen intra-ASEAN trade and explore new markets to mitigate the impact of US tariffs.
The US administration announced a 90-day pause on individual retaliatory tariffs imposed on most countries on April 9, while maintaining a base tariff of 10 per cent. This decision came after protests and concerns from more than 75 countries, including Malaysia, over the sudden imposition of the tariffs.