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U.S. 301 Tariff's 10% Rate Replaces Prior Levy on Malaysia, Economists Say Economic Impact Limited

GateNews
Forex
According to Kenanga Investment Bank economists in a report on July 22, Malaysia's economic outlook is not expected to change significantly if the proposed U.S. 301 tariffs are implemented. The new 10% tariff will replace, rather than stack on top of, temporary tariffs under Section 122, keeping the overall tariff burden at similar levels. If Malaysia maintains lower tariff tiers relative to regional peers, the country can preserve relative trade advantages, the economists noted. Investors will likely focus on the final product exemption list and whether the 10% tariff on Malaysia will be maintained after the U.S. concludes its assessment.
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