The Digester

Malaysia-US tariff deal in doubt after trade minister 'misspeaks'

Mar 18th 2026

Malaysia's much promoted tariff pact with the United States is under scrutiny after a trade minister said a US Supreme Court decision voided the deal, then his ministry corrected him and offered no further clarification.

  • Malaysia signed the tariff agreement with the United States in October, promising about US$240 billion in investments and purchases and continued market access at a 19 percent tariff rate.
  • A February US Supreme Court ruling found President Donald Trump acted unconstitutionally by using emergency powers to impose the so called Liberation Day tariffs.
  • On Sunday Trade Minister Johari Abdul Ghani told reporters the court ruling had rendered the deal null and void.
  • The trade ministry later said the minister had "misspoken" and gave no further explanation about the pact's status.
  • No clear official update has been provided on whether the agreement remains in force after the correction.