BUTTERWORTH: Prime Minister Datuk Seri Anwar Ibrahim has reaffirmed Malaysia’s commitment to working with regional and global partners in response to the United States’ newly announced retaliatory import tariffs.
Speaking at the Aidilfitri Madani 2025 celebration in Penang, Anwar said Malaysia would leverage its strong diplomatic and economic relationships with the US, Europe, China, and Asean to find a solution. He noted that Asean member states have agreed to take a collective approach to addressing the issue.
“This is important because we are not acting solely as Malaysia, but as a united Asean bloc,” he said. “We hope that through discussions and negotiations, both on behalf of Malaysia and Asean, we can resolve the tariff issue as effectively as possible.”
The event was held at the Picca Convention Centre @ Arena Butterworth and also attended by Penang Chief Minister Chow Kon Yeow, Education Minister Fadhlina Sidek, Human Resources Minister Steven Sim Chee Keong, and other state leaders.
As Asean 2025 chair, Anwar stressed that the region would not merely complain or concede. Instead, it would mobilise efforts to navigate this challenge and emerge stronger.
“The test of any crisis is whether we complain, give in, or mobilise our efforts to find a new path. According to Joseph Schumpeter’s theory, a desperate situation finds a way to rise again,” he remarked.
Highlighting Malaysia’s export profile, Anwar pointed out that the country, particularly Penang, is a critical global player in semiconductor exports — with total exports reaching RM200 billion, 65% of which were shipped to the US.
He called for internal reforms to improve Malaysia’s competitiveness, including eliminating inefficiencies, delays, and corruption, and promoting higher productivity.
“We must eliminate bad practices, laziness, delays in approvals, and corruption,” he said. “A stable economy, clear policies, and a diligent populace are essential to our progress.”
On April 2, US President Donald Trump announced a basic 10% import tariff across all countries, with higher duties of 24% on several nations, including Malaysia. However, on April 10, the US announced a 90-day pause on the higher tariff rates to allow room for negotiations.
Penang-based companies contributed RM76 billion — or 17% — of Malaysia’s total RM161 billion in exports to the US in 2023, with the electrical and electronics sector being the primary driver.
