Malaysia's Ministry of Investment, Trade and Industry (MITI) announced today it will not impose counter-tariffs on U.S. goods despite President Trump's decision to levy 24% duties on select Malaysian exports under reciprocal trade measures.

Key Official Statements:

1. Diplomatic Approach:

   • "Malaysia takes these measures seriously and is actively cooperating with U.S. authorities to find solutions supporting free and fair trade"

   • Will utilize bilateral frameworks including the U.S.-Malaysia Trade and Investment Framework Agreement (TIFA)

2. Economic Context:

   • Malaysia ranked as America's 15th largest goods trade partner in 2024 ($24.8 billion trade surplus)

   • U.S. maintains services trade surplus with Malaysia, reflecting robust economic ties

   • Significant portion of Malaysian surplus comes from long-established U.S. firms in electrical/electronics sectors

Strategic Responses:

• Technology Safeguards Agreement: Pursuing pact to enhance cooperation in semiconductors, space, and digital economy

• Market Diversification: Leveraging CPTPP and RCEP trade pacts to expand exports

• Industrial Upgrading: Accelerating National Industrial Master Plan 2030 and Energy Transition Roadmap

Support Measures:

• Ongoing consultations with affected industries

• Developing mitigation programs for impacted sectors

• Newly established National Geoeconomic Leadership Centre assessing comprehensive response strategy

Economic Fundamentals:

• Strong domestic demand continues driving growth

• Diversified export markets and products provide resilience

• Robust manufacturing base cushions external shocks

Ministerial Quote:
"While we respect sovereign decisions, Malaysia believes in constructive engagement to ensure mutually beneficial economic relations. Our economic fundamentals remain strong, and we're prepared to navigate these challenges."