By TENGKU NOOR SHAMSIAH TENGKU ABDULLAH
KUALA LUMPUR, April 7 – As the United States imposes tariffs on various nations, including Malaysia, concerns about economic survival have surfaced.
However, Juwai IQI Global Chief Economist Shan Saeed, with 24 years of financial market experience, offers a reassuring perspective. Shan believes that while tariffs pose challenges, Malaysia’s inherent strengths and strategic economic policies will enable it to weather the storm.
Background: Trump’s Tariff Policy
During his presidency, Donald Trump announced the implementation of reciprocal tariffs in April 2025, a date he dubbed “Liberation Day”. This policy was designed to counter what he perceived as unfair tariffs imposed on American goods by other nations. The premise was that if other countries imposed tariffs on American goods, the United States would respond in kind, mirroring those duties. This move, while presented as a way to “liberate” the American economy, has led to global trade anxiety and prompted nations like Malaysia to assess the potential fallout.
Shan Saeed’s Analysis: Malaysia’s Economic Outlook
In a recent interview, Shan shared his views on Malaysia’s economic prospects in the face of these tariffs. Shan emphasized his belief in free trade and commerce, stating, “Tariffs are detrimental for the global trade and will create impediments in the way for many countries.
The only solution for USA is to have an engagement strategy with all countries to resolve the issue in an equitable manner to have a win-win situation for all stakeholders involved.”
When asked whether Malaysia will survive economically, Shan expressed confidence, citing several key factors:
- Macroeconomic stability: Saeed points to Malaysia’s strong macroeconomic foundations as a key pillar of its resilience.
- Resilient and tech-savvy workforce: Malaysia’s workforce is well-equipped to adapt to the changing economic landscape.
- Strategic geography: Malaysia’s location provides it with a strategic advantage in regional and global trade.
- Data center and ICT hub: The country’s growing importance as a data center and ICT hub contributes to its economic dynamism.
- Commodities-rich: Malaysia’s wealth in commodities provides a buffer against external economic shocks.
Shan also highlighted the government’s proactive approach to counter the impact of tariffs: “Government has got economic strategy to counter the tariff by moving her trade regionally and growing importance of China, GCC and Africa.”
He believes the Madani government is committed to fostering progressive trade relationships with all countries, including the USA, to benefit all stakeholders. Shan stressed the importance of prioritizing Malaysia’s interests and securing trade for local entrepreneurs to strengthen the economy in the long run.
Juwai IQI’s Stance
Shan conveyed Juwai IQI’s strong belief in Malaysia’s economic future. “We at Juwai IQI stand buoyant on the economic outlook of the country and expect GDP growth to meander around 5 to 6% in 2025.
Our support for the government is unconditional in her effort to have strong and resilient economic policies for the future to benefit all Malaysian people. We are standing with the Malaysian government and Malaysia will survive, insha Allah.”
Conclusion
While the imposition of tariffs by the United States presents a challenge, experts like Shan believe that Malaysia possesses the inherent strengths and strategic policy direction to navigate these economic headwinds.
Macroeconomic stability, a resilient workforce, strategic geography, and a diversified economic strategy are expected to support the nation’s continued growth and prosperity.
- TNS NEWS