Malaysian PM Warns Southeast Asia About Impact of Trade War

Malaysian Prime Minister Anwar Ibrahim expressed concerns about global trade being weaponized as Southeast Asia's foreign ministers met to discuss the threat of U.S. trade tariffs. ASEAN, a trade-dependent bloc, is at risk as six member countries could face increased duties on exports to the U.S. Anwar emphasized the need for ASEAN unity in response to trade threats and urged for greater intra-ASEAN trade and regional integration.

Trump's announcement of new tariffs has prompted ASEAN members to engage in talks with the U.S. Vietnam is the only country to secure a deal so far, while others face significant tariff increases. Malaysia's central bank has cut its benchmark interest rate, and the Trade Minister stated that Malaysia will prioritize national interests in tariff negotiations with the U.S.

Aside from trade challenges, ASEAN is dealing with internal issues like the civil war in Myanmar and border disputes. The upcoming meetings with major trade partners will test ASEAN's ability to navigate geopolitical tensions and uphold a rules-based trade order. Analysts see U.S. Secretary of State Marco Rubio's visit as a sign of renewed U.S. engagement in the region, with expectations for ASEAN to balance economic ties between the U.S. and China.

According to the source: AP News.