Kuala lumpur: The reduction of the US tariff to 19 per cent imposed on Malaysian imports, although not as deep as expected, still provides relief from rising cost pressures faced by small and medium enterprises (SMEs), particularly those in manufacturing, furniture, textiles, and food exports.

According to BERNAMA News Agency, the president of the Small and Medium Enterprises Association Malaysia (SAMENTA), Datuk William Ng, stated that the reduction offers a more level playing field and a much-needed boost to their competitiveness. He emphasized that if the tariff is sustained for the mid-term, it could restore confidence among exporters at a time when global demand remains volatile.

Ng noted the importance of not becoming complacent, urging the government to expedite support for SMEs aiming to re-enter or expand in the US market. This includes providing incentives for compliance with US standards and sustainability requirements, as well as strengthening SME participation in trade promotion programmes and export missions.

He further stressed the need to diversify export destinations and accelerate supply chain digitalisation and certification readiness, particularly for high-value and strategic sectors. The US tariff reduction to 19 per cent on Malaysian imports, effective August 1, 2025, marks a decrease from the previous 25 per cent.

Ng commended the government’s success in securing the tariff reduction, describing it as a ‘significant breakthrough in our trade relations with the world’s largest economy.’ He attributed this positive development to the strong leadership of Prime Minister Datuk Seri Anwar Ibrahim and the efforts of Minister of Investment, Trade and Industry Tengku Datuk Seri Zafrul Tengku Abdul Aziz, praising their commitment to pragmatically engaging global partners while defending Malaysia’s sovereignty.