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Trump’s return to ASEAN raises tariff tensions and trade hopes

Trump’s return to ASEAN raises tariff tensions and trade hopes
US President Donald Trump talks with Malaysia Prime Minister Anwar Ibrahim as he arrives at Kuala Lumpur International Airport to attend the 47th ASEAN summit in Kuala Lumpur, Malaysia, on October 26, 2025 Photo: AP-UNB
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As Southeast Asia hosts a crucial gathering of world leaders to shape regional security and economic cooperation, US President Donald Trump has arrived in Malaysia to take part in the 47th ASEAN Summit and related meetings in Kuala Lumpur — marking a renewed US engagement with the influential 10-nation bloc.

Air Force One touched down at Kuala Lumpur International Airport on Sunday (Oct 26) morning, where Trump was received by Prime Minister Datuk Seri Anwar Ibrahim, Foreign Minister Datuk Seri Mohamad Hasan and other Cabinet members and senior officials, reports agencies.

Experts say ASEAN’s leaders will be vying for a chance to meet with Trump or a member of his inner circle to talk about trade, tariffs, and other business dealings.

Last week, Indonesian President Prabowo Subianto was caught on a hot mic speaking to Trump and asking for a meeting with his son, Eric Trump.

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ASEAN’s export-driven economy has been a major target of Trump’s “reciprocal” tariffs.

The Jalur Gemilang(National Flag of Malaysia)  and the Stars and Stripes flew side by side on the tarmac as he was welcomed.

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Nearly 3,000 media personnel have descended on Kuala Lumpur for the ASEAN summit, but the most important meetings will be happening behind closed doors.

The White House initially slapped tariffs of upwards of 40 percent on many members of the bloc. Most countries were able to negotiate the rates down to between 10 and 20 percent, although higher tariffs remain on Myanmar and Laos.

Another problem on the horizon is a 40 percent tariff for goods deemed to be “transshipments.”

The tariff targets goods, primarily from China, that have been shipped through Southeast Asia to deliberately avoid other pre-existing tariffs.

The problem, experts say, is that ASEAN has a complex manufacturing supply chain with China.

Goods can cross borders many times before they are finished, which makes a “transshipment” hard to define.

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