Kuala lumpur: Malaysia’s trade performance for the current year is expected to meet its growth target of four to five percent, as stated by Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Abdul Aziz. However, the Ministry of Investment, Trade and Industry (MITI) anticipates a moderation in global trade during the second half of 2025 due to ongoing uncertainties.

According to BERNAMA News Agency, Tengku Zafrul noted that there has been some advanced ordering in recent months, particularly influenced by the August 1 deadline for US tariffs. Despite these challenges, Malaysia’s trade performance remains within expectations. The latest trade numbers for June are set to be released on Friday, and both Bank Negara Malaysia and the Ministry of Finance have projected trade growth figures for the year of around five percent and 3.9 percent, respectively.

During a presentation on MITI’s second-quarter report for 2025, Zafrul highlighted the country’s efforts in securing RM25.6 billion in potential investments and RM30.8 billion in potential exports through trade and investment missions. Malaysia’s recent free trade agreements with the European Free Trade Association (EFTA) are expected to generate RM14.4 billion in trade with the EFTA market.

In terms of tariff negotiations with the United States, the ministry is working on both tariff and non-tariff related matters, aiming for an agreement before the deadline set by US President Donald Trump on August 1. Discussions are ongoing to assess the impact of these tariffs on exports and government revenue, with further talks planned throughout the month.

Addressing non-tariff issues, MITI has implemented the Strategic Trade Act 2010 (STA 2010), while considerations on ‘red line’ issues, such as equity interest in specific sectors, are underway. Malaysia faces requests to reconsider foreign equity restrictions in certain sectors, and consultations with industries will determine readiness to liberalize these equity shareholding constraints.