Jin10 data August 20 news, CGS International economists Mas Aida Che Mansor and Nazmi Idrus stated that Malaysia's exports may decline for the remaining time in the second half of the year. They pointed out that the main downside risk comes from the U.S. plan to impose a 100% tariff on semiconductors, with exemptions only for companies that commit to producing in the U.S. Since electrical and electronic products have accounted for 43.5% of Malaysia's total exports this year to date, and semiconductors account for 68% of electrical and electronic product exports to the U.S. (mainly from U.S.-funded companies operating locally in Malaysia), this policy has significant implications. Another risk is the weakening of palm oil exports. Indonesia is gradually taking market share from India, although high crude palm oil prices may provide some buffer.
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Economists: Tariff risks may lead to a decline in Malaysia's exports in the second half of the year.
Jin10 data August 20 news, CGS International economists Mas Aida Che Mansor and Nazmi Idrus stated that Malaysia's exports may decline for the remaining time in the second half of the year. They pointed out that the main downside risk comes from the U.S. plan to impose a 100% tariff on semiconductors, with exemptions only for companies that commit to producing in the U.S. Since electrical and electronic products have accounted for 43.5% of Malaysia's total exports this year to date, and semiconductors account for 68% of electrical and electronic product exports to the U.S. (mainly from U.S.-funded companies operating locally in Malaysia), this policy has significant implications. Another risk is the weakening of palm oil exports. Indonesia is gradually taking market share from India, although high crude palm oil prices may provide some buffer.