Trump’s reciprocal tariffs not meant to punish Malaysia, why then?

A political analyst pointed out that the reciprocal tariffs of 24% that US President Donald Trump has announced in Malaysia was not meant to punish Malaysia.

Professor James Chin of Tasmania University, Australia also pointed out that Trump wants Putrajaya to remove bureaucratic red tapes and non-tariff barriers.

“Not much Malaysia can do due to two reasons.

“One, Malaysia has high deficit with the US. So the issue is not really to retaliate. The issue is to allow more US goods to come to Malaysia now.

“What Trump is trying to do now is not so much punish Malaysia.

“He just wants Malaysians to buy more US goods. So the onus is on Malaysia to reduce hidden tariffs that Malaysia has to stop US goods from coming.

“It is upto Madani government to lower the tariffs.

“On the domestic political front, the opposition Perikatan Nasional would have more role to play, he said.

“Malaysia has what is known as non-tariff barriers. It is among nations with endless red tape. If the red tape and funny rules are stopped, not only American but a lot of foreign companies will come into Malaysia.

“Those are the things Trump is trying to dismantle rather than a trade war. A lot of people have a misunderstanding there.

“The best example of non tariff barrier is you look at the way the government is protecting Proton for donkey years. It just made Proton a government crony company.”

Trump’s reciprocal tariff comes into effect today.