SMEs Brace for Impact from US Tariffs, Seek New Markets

Small and medium enterprises (SMEs) in Malaysia are preparing for the impact of recent tariffs imposed by the U.S., which include a 24% tariff on various goods, with exemptions for certain products like semiconductors and pharmaceuticals. The SME Association of Malaysia expressed concerns about potential job losses and decreased production capacity, urging government support for businesses to explore alternative markets. Meanwhile, countries like India and Jamaica are also grappling with U.S. tariffs, which could disrupt their exports but may present new opportunities for trade diversification with other nations. India could see a $37 billion opportunity as it gains a comparative advantage over 384 product categories, while Jamaica faces challenges but is encouraged to seek broader trade partnerships, particularly with China. Cambodia is also negotiating to reduce its high tariff rates, hoping to improve trade relations with the U.S. amidst the evolving landscape of global trade dynamics. Overall, the tariffs present both risks and opportunities for affected countries, pushing them to innovate and adapt in their trade strategies.