Kuala lumpur: Prime Minister Datuk Seri Anwar Ibrahim announced that the government will persist in its negotiations with the United States concerning the new tariffs levied on Malaysia due to forced labour concerns if the results remain unsatisfactory.
According to BERNAMA News Agency, Anwar acknowledged the recent US tariff announcement, noting that the imposed rates on Malaysia are comparatively low. Nonetheless, he emphasized the importance of ongoing discussions to safeguard the country's interests. "Negotiations are being continued by Datuk Seri Johari Abdul Ghani (Minister of Investment, Trade and Industry). If we do not receive a satisfactory outcome, we will raise the matter again. At the very least, we are relieved that the tariff is relatively low compared with most other countries," Anwar stated at the 'Semarak Kenegaraan' programme at the Army Basic Training Centre (PUSASDA).
The event was attended by prominent figures including Chief Secretary to the Government Tan Sri Shamsul Azri Abu Bakar, Chief of Defence Forces General Tan Sri Malek Razak Sulaiman, Army Chief General Tan Sri Azhan Md Othman, and Deputy Defence Minister Adly Zahari.
Media reports highlighted that Malaysia is among the ASEAN countries facing the lowest duty rate of 10 percent under the newly applied US Section 301 tariffs. This follows US findings that Malaysia had not successfully enforced a ban on goods produced using forced labour. Alongside Malaysia, Cambodia and Indonesia were also subjected to a 10 percent duty rate, as per a statement from US Trade Representative (USTR) Ambassador Jamieson Greer.
The USTR's action, executed under Section 301 of the Trade Act of 1974, targeted 60 economies after an investigation revealed insufficient enforcement of bans on imports made with forced labour. In contrast, other economies will face a higher Section 301 duty rate of 12.5 percent. Furthermore, Malaysia is eligible for consideration of a tariff-rate quota based on imports of American inputs, aiming to promote the use of US cotton and textile products.