Malaysia conducts cost-benefit study on reciprocal trade pact with US


Photo: Bernama

KUALA LUMPUR: Malaysia’s Agreement on Reciprocal Trade (ART) with the United States is undergoing a government cost-benefit analysis, says Datuk Seri Johari Abdul Ghani.

The Investment, Trade and Industry Minister said the comprehensive analysis would take at least six months to ensure all factors and possible effects were considered.

He said the analysis was being carried out by his Ministry, together with the Malaysia External Trade Development Corp (Matrade) and the Malaysian Investment Development Authority (MIDA).

“Particular focus will be given to the impact on the country’s exports to the United States, valued at RM233.1bil, and the trade surplus amounting to RM98.7bil.

“We are reviewing the substance of the ART itself to ensure that national economic interests are safeguarded and to reduce risks to the country’s trade,” he said during Ministry Question Time at parliament on Tuesday (Jan 27).

He noted that Malaysia has yet to receive any official notice or notification from the United States on the timeline for ratifying the ART.

Johari was responding to a question from Datuk Dr Radzi Jidin (PN-Putrajaya), who asked whether the government had conducted a cost-benefit analysis of ART before ratifying it, and which agencies would participate in the analysis.

 

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