MALAYSIA will face a 10 per cent tariff under the United States’ Section 301 trade measures following investigations involving 60 economies over concerns related to forced labour in imported goods, the Ministry of Investment, Trade and Industry (MITI) said.
Malaysia is among 17 economies placed under the lower 10 per cent tariff rate, while the remaining affected economies will face a 12.5 per cent tariff.
MITI, in a statement on Friday, said the United States Trade Representative (USTR) considered Malaysia’s commitments to implement and enforce laws prohibiting the importation of goods produced using forced labour when determining the tariff rate.
The 10 per cent tariff will come into effect from 12.01am US time on July 24, 2026, immediately following the expiry of the temporary tariff imposed under Section 122 of the Trade Act 1974.
Separately, MITI said a Section 301 investigation into excess capacity involving 16 economies, including Malaysia, remains ongoing.
The ministry said the USTR would determine the applicable tariff rates once the investigation is completed, with MITI providing updates to relevant stakeholders when further decisions are made.
“Meanwhile, MITI will continue to engage with the United States,” the ministry said. - July 24, 2026
