The tariff talks between Malaysia and the United States (US) scheduled to take place soon are expected to be challenging, but are considered important to strengthen trade relations between the two countries.
Minister of Investment, Trade and Industry, Tengku Datuk Seri Zafrul Tengku Abdul Aziz said he would depart for Washington on June 18 with Malaysia’s Chief Negotiator, Mastura Ahmad Mustafa, to continue the discussions that were previously conducted virtually.
He added that the negotiations had been conducted online and a physical meeting was still required.
He would meet his counterpart, the US Trade Representative, in the near future to resolve important matters that had not yet been finalized.
Tengku Zafrul announced that Mastura would lead the technical discussions, while he would focus on policy and strategic discussions.
However, he admitted that it would not be easy for Malaysia. They wanted to show that the Malaysia-US trade and investment relationship is a complementary relationship.
Zafrul also does not want discussions that are detrimental and competitive with the United States because most economic activities benefit their businesses operating in the country.
He added that the negotiations are expected to touch on the issue of the 24 percent tariff imposed on several Malaysian export products, and aim to find a more flexible mechanism to protect local companies, especially in the furniture and downstream palm oil sectors.
On April 2, US President Donald Trump imposed tariffs involving about 60 countries, including a 24 percent tax on most Malaysian goods.
However, the tariffs have been temporarily suspended for 90 days, with the exemption period scheduled to end on July 8.
