Describing the situation as dynamic, Anwar, who is also finance minister, said it is highly likely the country will not be able to achieve the GDP growth forecast for this year of between 4.5% and 5.5%.

“The finance ministry and Bank Negara Malaysia are looking into the impact of the tariffs and will review the GDP growth forecast once there is more certainty about the implementation of president Donald Trump’s tariff policies and the result of negotiations with the US,” he said during the special parliamentary meeting on the tariffs here today.

He added that the government had acted proactively after the US announced the implementation of its import tariffs on April 2.

This included the establishment of the national geo-economics action centre (NGCC) on April 4, chaired by him and involving various ministries and relevant agencies.

Anwar said the NGCC has already convened three times. It serves as an integrated platform involving multiple agencies to monitor, assess and coordinate responses to changes in the global trade landscape, tariff shocks and non-tariff barriers.

He also said the US has agreed to hold further talks with Malaysia on the “reciprocal” tariffs and that there was a likelihood that Washington will reduce the 24% rate imposed.

“It must be reiterated that the process is still in the early stages without any agreement finalised by the two parties. Neither Malaysia nor the US has made any final commitments,” Anwar added.

The prime minister also said discussions were subject to a non-disclosure agreement, adding that this was in line with international practices when the issues are sensitive and of strategic interest.

“If there are policy recommendations that require approval, it will go through a comprehensive review process, including at the Cabinet level, and, if required, in Parliament.”