PRIME MINISTER Datuk Seri Anwar Ibrahim has acknowledged that Malaysia's economic growth could experience some impact following the recent announcement of new tariffs by US President Donald Trump.
However, he said the severity of the effect may be minimal, noting that the economy remains resilient despite the global challenges.
Speaking at the national MADANI Aidilfitri 2025 celebration in Melaka, Anwar said that while the tariff hike would have an influence, it is important to consider the broader regional context and the strength of the ASEAN bloc in responding to such challenges.
"We do not deny that there may be some disruption to our planned economic growth," Bernama cited Anwar saying.
"However, our economy is still performing well. Even if you listen to the opposition, they claim that our ringgit is the worst hit, but this is not true. The economy is not a political narrative; it must be based on numbers and facts."
Anwar pointed to the recent decline in global stock markets, which affected Malaysia as well, but noted that the impact was less severe here compared to countries like Japan, South Korea, Indonesia, Thailand, and the Philippines.
"This is a global issue affecting all nations, and it requires ASEAN’s collective strength to address it," he stated.
The Prime Minister also revealed that a special Cabinet meeting was held yesterday to discuss strategies to mitigate the economic pressures caused by the US tariffs.
Malaysia, he said, would negotiate firmly and strategically to protect national interests. "As a trading nation, Malaysia relies on exports, such as semiconductors, which account for US$200 million to the US alone. We must ensure that our actions are well-coordinated and assertive."
Anwar said the importance of ASEAN unity in responding to this challenge.
"The US remains Malaysia’s key trading partner, and as ASEAN chair in 2025, Malaysia is currently in talks with ASEAN leaders to discuss this issue and ensure that we reach the best possible consensus in facing these economic pressures."
The Prime Minister also outlined plans to engage with other major trading partners, including Japan, South Korea, and China, to secure coordinated action.
"I will also be negotiating with the Prime Minister of Japan, the President of South Korea, and the President of China to ensure that our actions are aligned."
Anwar reiterated that ASEAN’s internal strength must remain robust in order to address the ongoing economic uncertainties carefully.
"We cannot act hastily, as there is still no clear certainty on the situation. We may continue negotiations with the US to try to alleviate the pressure," he added
As Malaysia navigates these turbulent economic times, Anwar's leadership will be crucial in ensuring the nation’s interests are safeguarded, while fostering stronger regional cooperation within ASEAN. – April 5, 2025
