GEORGE TOWN, August 1 — The Penang State Government has welcomed the recent reduction in US tariffs on Malaysian exports from 25% to 19%, calling it a positive move to enhance trade competitiveness. Chief Minister Chow Kon Yeow said the move would provide much-needed relief to Penang’s core sectors, including electrical and electronics (E&E), manufacturing, and medical devices.
However, Chow noted that the reduction is only partial, and Malaysian exporters still face stiff competition from regional economies that benefit from lower or zero tariffs under other trade agreements. “We are awaiting further clarification from the Federal Government on the broader implications of this development,” he said.
The Chief Minister urged Putrajaya to continue negotiating for deeper tariff cuts, especially in sectors where Penang holds strategic advantages. “Securing further concessions will be vital for our role in the global supply chain and for attracting high-value investments,” he added. The Penang State Government reaffirmed its commitment to supporting local exporters through this evolving trade landscape.
