JOHOR BARU: The United States’ 19% tariff on Malaysian imports will not affect the competitiveness of the country’s commodities in global markets, says Datuk Seri Johari Abdul Ghani (pic).
The Plantation and Commodities Minister said this was because the tariff for Malaysia remains competitive compared to other Asean nations, including Indonesia, which also faces the same rate.
“The 19% tariff imposed by the United States on Malaysia is among the lowest in Asean countries, and even Indonesia, the world’s largest palm oil producer, is subject to the same tariff rate.
“In the context of palm oil, Indonesia is the largest producer and we are number two. But Indonesia is also subject to 19% like Malaysia, so there is no problem,” he told reporters after the Pasir Gudang Umno division annual general meeting here.
On Aug 1, US President Donald Trump announced the 19% tariff for Malaysian goods entering the United States, down from an earlier rate of 25%.
The new tariff structure takes effect in seven days and applies to all goods with limited exceptions for shipments already in transit.
Besides Indonesia and Malaysia, Thailand, the Philippines and Cambodia have also been slapped with a 19% tariff.
On an unrelated matter, Johari, who is also Umno vice-president, said the party needs to adopt a more progressive and inclusive mindset to stay relevant, particularly in reaching out to younger Malaysians.
He said youth engagement must be prioritised, since young voters are expected to make up 40% of the electorate across parliamentary constituencies in the 16th General Election (GE16).
“This is not a small number. Their thinking is different. Many are highly educated, with degrees, Master’s and even PhDs.
“They evaluate candidates based on substance, not just party loyalty.
“To win the hearts of this group, we must think differently, act differently, and truly listen to what they want,” he said.
He added that the party must be willing to embrace reform and create space for new ideas, including those brought forward by younger members.