PENANG will host a meeting with United States (US) bound exporters later this week to seek feedback on how best to deal with the looming 24% tariffs.
The meeting with local exporters to the US markets, is aimed at clarifying matters and seeking a clearer outlook as Penang looks to navigate the pitfalls of the punitive tariffs, said Chief Minister Chow Kon Yeow.
He expressed his gratitude to his party leaders who had provided input on how the state and party need to handle the impacts of the tariffs on the economy.
Chow said that the DAP-led state government would be proactive and not just reactive to the global trade crises, sparked by US President Donald J. Trump.
Chow said this at the Penang DAP Hari Raya Adil Fitri open - house in Dewan Chang Hua Kor Moral Uplifting Society in Bukit Mertajam.
Among the measures to be adopted by Penang, are the establishment of a top - level committee to monitor any developments on tariffs and a trade adaption tool kit for small medium enterprises (SMEs).
The US was the second largest recipient of exports from Penang, namely in semiconductors in 2023.
Exports from Penang to US were valued at RM76 billion in 2023, which accounts to 17% of the total exports, Chow said.
US is a major trading partner with Penang with the volume amounting to RM57.7 billion last year.
In another development, Chow's predecessor Lim Guan Eng urged the authorities to be prepared to take remedial measures in view of the impending global trade war, sparked by the imposition of tariffs.
Lim said that the Federal Government cannot rely on the proposed negotiations with the US alone.
The government must provide incentives to shield the SMEs from the high tariffs.
Malaysia like many other countries globally, is slapped with a 10% baseline tariff rate for all of her exports to US but a three month pause has been ordered by Trump.
Earlier, US had proposed to impose a 24% tariff besides the 10% quantum on majority imports from Malaysia, but it is learnt that the world's largest economy has accorded an exemption for electrical and electronic products. – April 13, 2025
