Malaysia and the US: A Trade Deal on the Horizon Before Trump’s ASEAN Visit
trade-wars
Malaysia and the US race to close a tariff deal on palm oil and electronics ahead of Trump’s Kuala Lumpur visit — a possible template for wider Southeast Asian trade deals.
With bilateral trade at roughly $80 billion in 2024, Malaysia and the US are negotiating tariff cuts on contested goods, notably palm oil and electronics, timed to Trump’s ASEAN summit visit to Kuala Lumpur. Even a modest 5% tariff reduction on key exports could add an estimated $200 million a year to Malaysian palm oil sales to the US. The piece frames a successful deal as a potential template for broader Southeast Asian trade agreements and a way for Washington to shore up regional influence amid wider trade uncertainty.
Originally published on Substack, September 25, 2025.