Malaysia PM Anwar says trade deal with US is ‘99.9% resolved’
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Both countries will also sign initial agreements to enhance trade and investments, said Malaysian Prime Minister Anwar Ibrahim.
PHOTO: AFP
PUTRAJAYA – Malaysia’s Prime Minister Anwar Ibrahim said the nation was on the verge of wrapping up a trade deal with the US after President Donald Trump slapped hefty tariffs on its exports to the world’s largest market.
“I should say 99.9 per cent resolved,” Datuk Seri Anwar told a media briefing in the administrative capital of Putrajaya late on Oct 22.
Any issues outstanding “will be resolved with the Cabinet on Friday”.
Malaysia and the US aim to conclude negotiations when Mr Trump visits Kuala Lumpur on Oct 26 for an Asean summit.
Both countries will also sign initial agreements to enhance trade and investments, Mr Anwar said.
Malaysia was hit with a 19 per cent levy on exports to the US on Aug 1, and Mr Trump is also mulling levies on semiconductors, a move that the South-east Asian nation has said would be concerning.
Some of the negotiations on tariffs with Washington have been “tough,” with discussions centred on chips, artificial intelligence, digital and energy, Mr Anwar said.
Trade talks are set to dominate the agenda at the summit that Malaysia is hosting from Oct 26 to 28.
US Treasury Secretary Scott Bessent will meet with Chinese Vice-Premier He Lifeng in Kuala Lumpur this week, ahead of Mr Trump’s expected meeting with China President Xi Jinping later in October.
India and the US may announce a trade deal when Mr Trump and Indian Prime Minister Narendra Modi possibly meet at the summit, the Mint newspaper reported.
“If there is some sort of progress or achievement in the negotiations with China and the United States, I’d be very happy. And I think Malaysia should be proud,” said Mr Anwar. “This is a regional meeting, not Malaysia’s Parliament.”
Many other leaders from around the world – including Brazilian President Luiz Inacio Lula da Silva and South African President Cyril Ramaphosa – are also expected to gather in the South-east Asian nation.
Mr Anwar said he will hold bilateral talks with Mr Lula, Mr Ramaphosa and Thailand’s Prime Minister Anutin Charnvirakul.
Asean is embracing a “new strategy to open a network of friendships and trade with other regions, including the African continent and Latin America”, Mr Anwar said.
Washington has imposed some of the world’s highest tariffs on members of the 10-nation bloc.
Mr Trump is also set to preside over a peace deal between Cambodia and Thailand to cement a ceasefire that he said he helped broker.
The neighbours faced off over a five-day clash along their border earlier in 2025, which left more than 40 people dead and thousands displaced.
The two sides reached a fragile ceasefire in July after Mr Trump threatened to block trade deals unless the fighting ceased.
The US leader is “keen to see more positive results”, Mr Anwar said.
Mr Anwar faces a delicate test with Mr Trump’s visit.
A coalition of local civil society and political groups are planning a protest dubbed “Trump You’re Not Welcome in Malaysia” on Oct 26, less than a mile away from the venue of the Asean summit.
Anger is rising in the Muslim-majority nation over the destruction in Gaza by Israeli forces and the resultant humanitarian crisis.
The US has strongly endorsed Israel’s right to defend itself.
“It’s a free country, they can do it,” Mr Anwar said of the protesters. But “we are firm in our position because security is our utmost consideration, and we will not allow any force to sabotage that process.” BLOOMBERG
