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THE Government is taking a measured and strategic approach following the decision by the Supreme Court of the United States to strike down global tariffs imposed by President Donald Trump, as uncertainty lingers over Washington’s next steps on trade policy.
Investment, Trade and Industry (MITI) Minister Datuk Seri Johari Abdul Ghani said the government was closely monitoring developments in the United States after the court on 20 February 2026 rejected the legal basis for the sweeping import duties.
“Malaysia takes note of the decision delivered on 20 February 2026 by the Supreme Court of the United States.
“We have signed the Agreement on Reciprocal Trade but have not ratified it and the Government is carefully assessing recent legal and policy developments in the United States.”
Johari said that while one legal avenue for imposing tariffs had been curtailed, Washington retained alternative mechanisms to introduce trade measures, including unilateral duties.
“Nevertheless, based on statements previously released by the United States, we recognise that the United States retains other legal mechanisms to impose trade measures, including unilateral tariffs, should it choose to do so.
“We also note the recent announcement by President Donald Trump of a temporary 10% tariff measure, and we are studying its scope and implications.
“At this stage, we are awaiting further clarity on how these measures will be implemented and whether additional adjustments will follow.”
Trump recently announced a temporary 10 per cent tariff on imports from all countries, a move that could carry significant implications for trading partners, including Malaysia.
The U.S. Supreme Court’s ruling has prompted many countries to reassess existing arrangements and anticipate potential policy recalibrations in Washington.
Johari emphasised the scale and importance of bilateral economic ties.
“The United States remains one of the world’s largest economies, with a GDP of approximately USD 31 trillion.
“In 2025, total trade between Malaysia and the United States reached approximately RM367 billion, in which total exports to the United States was RM233 billion. The United States is therefore an important and longstanding trading partner for Malaysia.”
He underscored that Malaysia would not act precipitously in response to the evolving situation, reflecting concern over abrupt shifts in US trade policy and the risk of escalating tensions.
“Malaysia’s position is clear and consistent. We will remain committed to an open and rules-based trade, to maintain a stable and predictable business environment, and to safeguard the interests of Malaysian exporters, international investors, businesses operating in Malaysia, and workers across our economy.”
In the near term, the government is expected to undertake technical assessments, including evaluating potential impacts on key export sectors and supply chains, as well as consulting affected industry stakeholders to gauge exposure to risk.
Johari added that Malaysia would continue broadening its economic partnerships to bolster resilience amid global uncertainty.
“At the same time, Malaysia will continue to diversify its trade relationships and strengthen regional and multilateral economic cooperation to ensure resilience in an evolving global trade environment. We will act in Malaysia’s best interests while preserving strong bilateral relations with the United States.” - February 22, 2026
