{
  "id": 16824493,
  "title": "Miti: Malaysia’s exports to US surge 69pc despite tariffs, powered by AI boom",
  "url": "https://urgent.news/2026/10/28/miti-malaysias-exports-to-us-surge-69pc-despite-tariffs-powered-by-ai",
  "topic": "ai",
  "section": "AI",
  "published": "2026-10-28T00:52:02.000Z",
  "source": {
    "name": "Malay Mail",
    "slug": "malay-mail-malaymail",
    "url": "https://www.malaymail.com/news/malaysia/2026/10/28/miti-malaysias-exports-to-us-surge-69pc-despite-tariffs-powered-by-ai-boom/240845"
  },
  "original_language": "en",
  "account": "Malaysia's exports to the United States soared 69.1 percent to RM282.07 billion between January and September 2026, while overall trade between the two nations increased 39.6 percent to RM378.70 billion. Despite facing additional tariffs after investigations by the US, the Ministry of Investment, Trade and Industry (Miti) reported that Malaysia's trade with the US remained robust. The surge was primarily fueled by a surge in demand for electrical and electronic (E&E) products, particularly semiconductors, due to rapid advancements in artificial intelligence (AI) technology and data centres. This growth is further bolstered by Malaysia's strategic exemption from additional tariffs on most semiconductor and E&E products.\n\nDatuk Seri Amirudin Shari (PH-Gombak) inquired about the impact of US tariffs on Malaysia's industry in 2026 and potential new markets for micro, small, and medium enterprises (MSMEs). Miti highlighted that the E&E sector comprises around 64.2 percent of Malaysia's total exports to the US, with semiconductors accounting for 44 percent of these exports. However, exports of rubber gloves to the US dropped by 1.6 percent to RM5.0 billion, while furniture exports declined by 19.2 percent to RM3.77 billion, and medical device exports fell by 12.0 percent to RM8.74 billion.\n\nSeveral key industries in Malaysia face challenges in absorbing US tariff costs or providing discounts to maintain competitiveness and export levels. Miti emphasized the importance of diversifying markets and reducing over-reliance on any single market to mitigate external shocks and enhance trade resilience. The ministry is actively pursuing new market access through existing free trade agreements (FTAs) and exploring non-traditional markets in West Asia, Africa, Latin America, and South Asia. Additionally, Miti is finalizing the implementation of the New Incentive Framework (NIF) for the services sector, replacing the previous product- and activity-based tax incentive system with a performance-based approach focused on outcomes and economic impact.",
  "summary": "KUALA LUMPUR, Oct 28 — Malaysia’s exports to the United States surged 69.1 per cent to RM282.07 billion for...",
  "key_points": [
    "Malaysia's exports to US increased 69.1% to RM282.07 billion in Jan-Sep 2026",
    "AI boom and semiconductors drove surge in E&E products",
    "US tariffs had minimal impact due to strategic exemptions"
  ],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}