Tengku Zafrul said talks would focus on three specific areas, namely reducing the 24% rate, non-tariff trade barriers and trade imbalance between the two nations.

“On tariffs, we aim to reduce them, not necessarily to zero, but to a level that benefits both sides. Meanwhile, for non-tariff barriers, we are identifying fair areas to consider easing.

“As for the trade imbalance, we have already reduced it by almost half over the last four years, from over US$40 billion to US$25 billion,” Bernama quoted him as saying.

Tengku Zafrul said ministry deputy secretary-general (trade) Mastura Ahmad Mustafa would be appointed to lead talks with the US, while Washington has named an assistant US trade representative as its chief negotiator.

Mastura’s appointment is subject to the Cabinet’s green light.

“We are now waiting for the Cabinet’s approval before proceeding. The US has agreed to engage, and both the US trade representative and secretary of commerce want to take this forward,” he added.

The US has announced a 24% tariff on most Malaysian goods as well as a range of tariffs on about 60 countries. The tariffs have been paused for 90 days to allow for trade negotiations.

However, a 10% blanket duty on almost all US imports remains in place.

Tengku Zafrul was in the US from April 23 to 27 to lead a delegation to Washington to discuss the tariffs.

The Wall Street Journal had reported that US president Donald Trump was seeking to use tariff talks with affected countries to push them to curb trade with China and rein in Beijing’s manufacturing dominance.

In return, these nations could secure reductions in US levies and trade barriers.

In response, China issued a stark warning to countries against striking trade deals with the US at its expense, ratcheting up the trade war between the world’s two biggest economies.