A 'Substantial' Announcement Expected From Trump’s ASEAN Summit Attendance -- Economist
By Niam Seet Wei
KUALA LUMPUR, Oct 22 (Bernama) -- The confirmation that United States (US) President Donald Trump will attend the 47th ASEAN Summit here in the next few days suggests there will be “something substantial” to announce, says an economist.
“Perhaps it will be a full free trade agreement (FTA) with the US, which could remove reciprocal tariffs,” Williams Business Consultancy Sdn Bhd founder and director Geoffrey Williams told Bernama.
The economist also expected some new investment announcements by US businesses in conjunction with the President’s visit.
On tariffs, Williams hoped there would be some good news on zero duty for semiconductors, as major semiconductor firms such as Micron Technology Inc, which has a facility in Penang, are US-owned.
Currently, the US imposes a general 19 per cent tariff on exports from Malaysia, but products such as semiconductor remain exempt from tariffs.
“Rare earths are also an important area, and perhaps there will be new US joint-venture opportunities there,” he said.
On Trump’s visit to Malaysia -- his first trip to Asia since beginning his second presidency in January 2025, and the first by a US president since Barack Obama’s visit in 2015 -- Williams is adopting a wait-and-see stance.
“A win would be more trade and investment deals from the US and reductions in reciprocal tariffs and non-tariff regulations.
“A loss would be the status quo or worse, a stricter stance by the US, especially on the transshipment of goods from China through ASEAN countries,” he said.
Overall, Williams said, Trump’s visit would help confirm that relations between Malaysia and the US, as well as between ASEAN and the US, remain cordial, and it might provide an opportunity to cement some trade and investment deals.
“The US is looking for further concessions on non-tariff barriers to trade, and if those can be lifted, the visit would be a good time to announce it and to discuss reducing reciprocal tariffs again,” he added.
Malaysia, which holds the ASEAN chairmanship this year under the theme “Inclusivity and Sustainability”, will host the 47th ASEAN Summit from Oct 26 to 28.
The event will see the participation of top leaders from the 10 ASEAN member states, along with key dialogue partners including the US, China, South Korea, Japan, and India.
The US has been one of Malaysia’s top trading partners for decades.
From January to September 2025, the world’s largest economy saw its exports from Malaysia rose 18.2 per cent year-on-year (y-o-y) to RM166.38 billion, driven by higher shipments of electrical and electronics (E&E) products, machinery, equipment and parts, as well as processed food.
Imports from the US increased 11.2 per cent y-o-y to RM104.50 billion.
Malaysia-US trade expanded 15.4 per cent y-o-y to RM270.88 billion during the first nine months of the year.
-- BERNAMA
