He said that the two-year moratorium imposed in 2023 to address the overcapacity and the expansion of Malaysia’s steel and aluminium industry will cushion the blow from US president Donald Trump’s executive order for 25% tariffs on steel and aluminium imports, commencing on March 12.

“Whatever happens in the US, Malaysia is not a major exporter (of steel and aluminium). Our biggest exports (to the US) are from the electric and electronic (E&E) sectors, which is more significant,” he told a press conference at the China Conference: Southeast Asia 2025 here today.

Tengku Zafrul was commenting on a call from the Malaysian Iron and Steel Industry Federation (Misif) last week to reinforce anti-dumping legislation in view of the US’s incoming 25% tariff on steel and aluminium imports.

Misif had said this was crucial as the tariffs announced by Trump could lead to a surge of foreign steel products being imported into the Malaysian market.

The association said firms in China had channelled steel products to Canada, Mexico, Brazil, and Vietnam in the past to get around US tariffs, prompting these nations to implement their own tariffs to halt the influx of goods.

Tengku Zafrul also revealed that he will be travelling to the US and Europe for Miti’s annual trade and investment mission in the second quarter of the year and is awaiting Cabinet approval for the trip.