US President Donald Trump’s decision to impose a reduced tariff of 19 per cent on Southeast Asia’s largest economies was a “positive outcome”, Malaysia said on Friday, even as the region’s exporters prepare for the possibility that US consumers may struggle to afford the increased prices on imported goods.
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After months of intense negotiations that panicked the region’s export-reliant economies, Trump announced the revised rate in an executive order published late on Thursday.
Initially, leaders of the Association of Southeast Asian Nations (Asean) were told they would be hit with levies of between 25 and 40 per cent effective August 1.
Besides Malaysia, the revised rate of 19 per cent will apply to Cambodia and Thailand – which agreed to a ceasefire after five days of deadly border skirmishes following pressure from Trump – as well as Indonesia and the Philippines.
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US ‘made trade deals’ with Thailand, Cambodia, commerce secretary Lutnick says
US ‘made trade deals’ with Thailand, Cambodia, commerce secretary Lutnick says
Vietnam had earlier secured a 20 per cent rate.
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