Malaysia-US Deal Nears Completion; U.S.-China Talks Advance

Malaysian Prime Minister Anwar Ibrahim said Malaysia-U.S. bilateral trade negotiations are essentially complete (about 99.9% resolved), with remaining points to be settled at cabinet before President Trump's visit to Kuala Lumpur for the ASEAN summit later this month. The talks, described as tough, cover semiconductors, artificial intelligence, digital technology and the energy transition, and Malaysia agreed in August to reduce U.S. tariffs on its exports to 19% from 25%. Separately, U.S.-China trade talks in Kuala Lumpur involved U.S. Trade Representative Jamieson Greer and Treasury Secretary Scott Bessent meeting Chinese Vice Premier He Lifeng, with negotiator Li Chenggang also participating. Officials said those discussions, which touched on rare earths, extending a truce on trade measures and potential curbs, could pave the way for a productive Trump–Xi meeting later this month amid threats of new U.S. tariffs. High-level encounters at the ASEAN summit, including possible U.S.-China meetings, could materially ease or exacerbate pressures on regional trade and investment.