Johari says USTR's excess capacity claim may stem from third party imports 04.06.2026

Malaysia's Minister of Plantation and Commodities, Datuk Seri Johari Abdul Ghani, suggested that the US Trade Representative's (USTR) claim of excess manufacturing capacity in Malaysia may be linked to products imported from third countries, rather than solely Malaysian production. The USTR has cited concerns over alleged forced labour and excess capacity as justification for a proposed 10 per cent tariff on certain Malaysian exports, which is scheduled to take effect after the current tariff under Section 122 of the US Trade Act 1974 expires on July 24. Johari refuted the notion of Malaysian manufacturers overproducing to flood the US market, emphasizing that Malaysia does not possess excess capacity in its manufacturing sector.

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