Get audio access with any FP subscription. Subscribe Now ALREADY AN FP SUBSCRIBER? LOGIN

Get audio access with any FP subscription.

ALREADY AN FP SUBSCRIBER? LOGIN

Ongoing reports and analysis

Since the U.S. Supreme Court in February ruled that President Donald Trump lacked legal authority for his sweeping “Liberation Day” tariffs, Malaysia appears to be the first—and so far only—country to formally end its trade agreement with the Trump administration. Malaysian Trade Minister Johari Abdul Ghani told reporters in March that the deal “is not on hold. It is no longer there. It’s null and void.” Although the ministry subsequently claimed that he had “misspoken,” Johari later reaffirmed his statement on canceling the deal.

For his part, Trump has cautioned nations against making any changes to existing deals while his administration is actively seeking alternative means of exerting economic pressure, including sector-specific tariffs and Section 301 investigations over allegedly unfair trade practices. Indeed, Malaysia is now one of six Southeast Asian nations (the others are Cambodia, Indonesia, Singapore, Thailand, and Vietnam) to become a target of Washington's Section 301 investigations into alleged violations related to manufacturing overproduction and forced labor. Last week, the Trump administration additionally singled out Vietnam as a priority target for a Section 301 investigation related to the protection and enforcement of U.S. intellectual property; Indonesia has been placed on the watchlist for similar concerns. Further retaliatory measures may now follow.

Since the U.S. Supreme Court in February ruled that President Donald Trump lacked legal authority for his sweeping “Liberation Day” tariffs, Malaysia appears to be the first—and so far only—country to formally end its trade agreement with the Trump administration. Malaysian Trade Minister Johari Abdul Ghani told reporters in March that the deal “is not on hold. It is no longer there. It’s null and void.” Although the ministry subsequently claimed that he had “misspoken,” Johari........

© Foreign Policy