KUALA LUMPUR: Datuk Seri Anwar Ibrahim has dismissed accusations that Malaysia’s Reciprocal Trade Agreement (ART) with the United States compromises the nation’s sovereignty or dignity, calling such claims inaccurate and alarmist.
Responding during Ministerial Question Time in the Dewan Rakyat on Tuesday (Nov 18), the Prime Minister said critics were misreading the agreement, particularly on matters considered sensitive to Washington, namely rare earth elements (REE), semiconductors and the use of local currency in transactions.
He stressed that although negotiations with the United States were required in these areas under the agreement, Malaysia retained full freedom to pursue partnerships with other countries.
Using REE as an example, the Prime Minister said Malaysia had continued cooperation with South Korea on a super magnet REE plant in Kuantan, alongside an arrangement between Khazanah Nasional Bhd and China on REE processing.
"On negotiations with the US involving REE, people panic. I said, look at what is actually happening – we continue with our laws.
"The United States wants us to notify them. Fine. I informed China that we are doing this with the United States and South Korea (and) there is no contradiction," he told the Lower House.
Anwar emphasised that reading the agreement required understanding its broader context, adding that pressure from the United States was "relatively stronger" not just on Malaysia but globally, as countries sought to avoid excessive tariffs.
"(But the allegation that) our independence or dignity is compromised is simply not true," he said.
