Kuala lumpur: Transport Minister Anthony Loke has expressed optimism that ongoing negotiations with the United States government will help mitigate the potential impact of a 25 percent tariff on Malaysia’s maritime industry, ensuring its continued competitiveness. The tariffs are set to be imposed starting August 1.

According to BERNAMA News Agency, Loke highlighted the robust performance of Malaysia’s maritime sector, supported by increased trade volumes at ports managed by MMC Corporation Bhd and Westports Holdings Bhd. He noted that the ports are currently doing well, with Port Klang anticipated to be ranked among the top 10 busiest ports globally by Lloyd’s List this August.

Loke emphasized that the Malaysian government is leveraging diplomatic channels to negotiate a favorable outcome with the US to mitigate any negative effects of the tariff. The Prime Minister, Datuk Seri Anwar Ibrahim, also recently stated that Malaysia would continue discussions with the US regarding the 25 percent retaliatory tariff on Malaysian products.

In his opening address at Malaysia Maritime Week (MMW25), Loke underscored the crucial role of Malaysian ports in the national economy, supporting trade and enhancing logistics capabilities. Despite global uncertainties, Malaysia has maintained its position as a leading maritime hub, with Port Klang and the Port of Tanjung Pelepas (PTP) consistently ranking among the world’s busiest seaports.

Loke further reported a nearly 10 percent monthly growth in volume at PTP, driven by the Gemini Cooperation alliance between Maersk and Hapag-Lloyd, which has established PTP as their major hub in Southeast Asia. Meanwhile, Port Klang continues to grow steadily.

In Malaysia, approximately 96.4 percent of the nation’s trade is conducted via sea. In 2024, Malaysia achieved its best trade performance to date, with total trade reaching RM2.879 trillion.