KUALA LUMPUR: Malaysia’s commitments under a new trade agreement with the United States may influence future US decisions on semiconductor tariffs, even though the sector is not part of the deal, says Liew Chin Tong (pic).
The Deputy Investment, Trade and Industry Minister said any future decisions will be considered by the US Commerce Department under Section 232 of the US Trade Expansion Act, particularly those involving semiconductor products.
"(The department) will take into account what has been agreed upon under this (trade agreement) in a holistic manner," he told the Dewan Rakyat during the oral question and answer session here on Monday (Oct 27).
Elaborating, Liew said the signing of the Reciprocal Trade Agreement between the United States and Malaysia is set to provide better and more secure market access for both nations.
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Under the agreement, Liew said, a total of 1,711 tariff lines will no longer be subject to a 19% reciprocal tariff.
These include Malaysia’s key exports such as palm oil, rubber-based products, cocoa products, aircraft fibre components, and pharmaceuticals.
"It was indeed historic during the agreement signing and the meeting yesterday (Sunday, Oct 26).
"The agreement that was formalised had actually been agreed upon earlier and announced by Prime Minister Datuk Seri Anwar Ibrahim and Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Abdul Aziz in Parliament.
"What is new, beyond what was previously agreed, is that the United States is offering better and more assured access to its market for our country," he said.
RSN Rayer (PH-Jelutong) had asked about the benefits of the Reciprocal Trade Agreement signed with visiting US President Donald Trump on Sunday.
