MALAYSIA'S ECONOMIC GROWTH MAY FACE SETBACK DUE TO US TARIFF HIKE - ANWAR

MELAKA, April 5 (Bernama) -- Prime Minister Datuk Seri Anwar Ibrahim said the country’s planned economic growth may be slightly affected by the tariff rates recently announced by United States President Donald Trump.

He said the announcement also impacted other countries, requiring the spirit of all ASEAN member states to rise in defense of regional economic rights.

Anwar stated that a special Cabinet meeting on tariffs was held yesterday to discuss actions that could alleviate the country’s economic pressures on this issue.

“We do not deny that the planned economic growth may be slightly affected. Our economic growth is quite good, although if you ask the opposition, they will say the ringgit is at its worst, but that is not true. The economy is not political chatter in villages; it needs to be based on figures and facts.

“For instance, if you look at the decline in the stock market, the whole world was affected yesterday, including Malaysia. However, Malaysia’s decline is smaller compared to Japan, South Korea, Indonesia, Thailand, and the Philippines. All countries are facing this issue, and it calls for the entire strength of ASEAN to unite," he said.

Anwar made these remarks while delivering a speech at the 2025 MADANI Aidilfitri National Celebration at the Melaka International Trade Centre (MITC) in Ayer Keroh today.

Also present were the Yang di-Pertua Negeri of Melaka Tun Mohd Ali Rustam, Deputy Prime Minister Datuk Seri Dr Ahmad Zahid Hamidi, Melaka Chief Minister Datuk Seri Ab Rauf Yusoh, Communications Minister Datuk Fahmi Fadzil and his deputy Teo Nie Ching.

Also present were National Unity Minister Datuk Aaron Ago Dagang, Cabinet ministers, and the Chief Secretary to the Government Tan Sri Shamsul Azri Abu Bakar.

The Prime Minister emphasised that Malaysia is a trading nation that relies on sectors such as tourism and exports, including semiconductors, which total US$200 million. Of this amount, 65 per cent is exported to the United States.

To address this issue, discussions must be conducted effectively, firmly, and in defense of the nation's interests, he explained.

Anwar said that the US remains a key trading partner, and as ASEAN chair in 2025, the government is in talks with ASEAN heads of state to discuss this issue and find the best agreement in facing the economic pressures.

"I will also negotiate with the Prime Minister of Japan, the President of South Korea, and the President of China so that our actions appear well-coordinated.

"We need to be more careful. ASEAN’s internal strength must be strong. We cannot act hastily because there is no detailed certainty yet. Perhaps we will continue discussions with the US to reduce the pressure," he said.

-- BERNAMA