The U.S. tariff rate on Malaysian goods will be announced on Friday, Malaysian Premier Anwar Ibrahim said on Thursday after speaking to U.S. President Donald Trump.
Malaysia is facing a 25% tariff on its exports to the United States unless a deal with Washington is reached by Friday.
The two countries have held multiple rounds of talks, with Malaysia's trade minister saying several sticking points remained, particularly on non-trade barriers.
Anwar said he discussed tariffs "in the spirit and principle of free trade" during a phone conversation with Trump early on Thursday.
"After the explanation I provided, he (Trump) decided to review the tariff rates imposed on Malaysia, with an announcement expected tomorrow" Anwar said in a speech to parliament to present the country's new five-year economic plan. Anwar did not provide further details.
Anwar also said Trump confirmed that he would attend a meeting of the Association of Southeast Asian Nations in Malaysia in October.
Malaysia will target annual gross domestic product growth of 4.5% to 5.5% from 2026 to 2030, with a deficit of less than 3% of GDP by the end of that period, Anwar said when launching the new five-year plan.
The Southeast Asian nation is also targeting export growth of 5.8% a year in the plan, and will strive to keep inflation at an average rate of 2%-3% for the period, he said.
Malaysia will allocate 611 billion ringgit ($143.76 billion) for the economic plan, with 430 billion ringgit of the total coming from the government's coffers, and the remainder from government-linked companies and the private sector, Anwar added.
"The next five years will be a crucial period for Malaysia to not only transition into a high-income nation but also to provide a high quality of living for the people," Anwar said.
Malaysia's central bank on Monday lowered its growth forecast for 2025 to a range of 4% to 4.8% from 4.5% to 5.5% due to global tariff uncertainties and shifting trade policies.
($1 = 4.2500 ringgit)
