Rising trade tensions forecast to impact growth

HLIB Research revised its GDP growth forecast for Malaysia downwards to 4% from 4.9%, citing the likely effects of the new tariff regime.

PETALING JAYA: The economy may face renewed headwinds in 2025 as escalating trade tensions and reciprocal tariffs weigh on export performance and dampen growth prospects.

While Malaysia is not among the hardest-hit in the region, the tariff rate of 24% imposed by the United States is expected to significantly impact domestic output and policymaking in the months ahead.