Kuala Lumpur: As global trade tensions continue to rise, the 58th Asean Foreign Ministers’ Meeting (AMM) and Related Meetings wrapped up its four days of talks in Kuala Lumpur with the United States’ (US) sweeping tariff hikes becoming a major talking point among regional leaders.
The gathering, which convened foreign ministers, dialogue and sectoral partners and regional leaders under Malaysia’s 2025 Asean Chairmanship, became a forum to recalibrate Asean’s economic diplomacy amid shifting global trade realities.
Just the day before the annual meeting kicked off on July 8, US President Donald Trump continued to shake the world with new tariffs ranging from 25 per cent to 40 per cent on 14 countries, including Asean economies.
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Among Asean countries, several received lower tariffs than initially announced on April 2 – Vietnam’s rate was reduced to 20 per cent from 46 per cent; Cambodia’s rate dropped to 36 per cent from 49 per cent; Laos saw a decrease to 40 per cent from 48 per cent; and Myanmar’s rate was revised down to 40 per cent from 44 per cent.
Meanwhile, the US decided to maintain Indonesia and Thailand’s tariff rates at 32 per cent and 36 per cent, respectively.
However, the US has not yet announced final tariff decisions for the Philippines (17 per cent), Singapore (10 per cent), and Brunei (24 per cent).
While Malaysia, once again being caught in the crosshairs of major power rivalry, was hit with a 25 per cent tariff effective August 1, a revision of one per cent upward from 24 per cent in April 2025.
Despite this, Malaysia’s Prime Minister, Datuk Seri Anwar Ibrahim, who officiated the annual AMM, struck a pragmatic tone.
“Rubio stated that the letter was general, but Malaysia still has about one month to negotiate. He also acknowledged that Malaysia is a major trading partner of the US in this region, and will consider and present our views,” Anwar said after meeting with the US Secretary of State Marco Rubio in Parliament.
Anwar’s emphasis on maintaining Malaysia’s neutral and independent foreign policy was equally clear by saying: “No. While the US is an important trading partner, we will also strengthen our ties with China, Asean countries, and others to safeguard our people’s interests and the nation’s well-being”.
For Asean, the message was similar but more strategic as Asean secretary-general Kao Kim Hourn revealed that a joint meeting between Asean foreign and economic ministers is planned ahead of the 47th Asean Summit in October to address the region’s response to mounting global economic headwinds.
