Pasir gudang: The United States’ decision to impose a 19 percent reciprocal tariff rate on Malaysian goods is not expected to affect the competitiveness of Malaysia’s commodities in the global market, according to Plantation and Commodities Minister Datuk Seri Johari Abdul Ghani. He emphasized that the tariff rate is still competitive when compared to other ASEAN countries, such as Indonesia, which also faces a similar tariff rate.
According to BERNAMA News Agency, Johari pointed out that Malaysia is nearly on par with the lowest rates in the ASEAN region. He cited Indonesia, the leading global producer of oil palm, and noted that Malaysia is the second-largest producer and subjected to the same 19 percent rate. He assured that this rate is fair and not problematic for Malaysia’s commodity market. Johari made these remarks to reporters after participating in the Pasir Gudang UMNO Division delegates meeting held in Pasir Gudang.
The US government announced the implementation of a 19 percent reciprocal tariff on Malaysian imports, effective from August 1, 2025. This new rate marks a reduction from the originally proposed 25 percent tariff. The revised tariffs will be applied to imports entering the United States seven days following the date of the announcement, as stated in a publication on the White House’s website on July 31.