MONEY MASTER

The UK, which had touted its preferential trade position with Washington, may now face the  largest relative setback after President  Donald Trump  moved to reset global tariffs following a ruling by the  Supreme Court of the United States . From Advantage to Disadvantage Before the ruling: The UK enjoyed a  10% reciprocal tariff rate Lower than many other trading partners Provided a competitive edge for British exporters Now: Trump plans to impose a  flat 15% tariff globally That erases Britain’s relative advantage Makes UK exports less competitive According to Global Trade Alert, the UK could be the  biggest loser , followed by Italy and Singapore. Meanwhile, Brazil, China and India may benefit as their effective tariff rates decline under the new structure. Potential Economic Impact The  British Chambers of Commerce  estimates: Up to  £3 billion (US$4 billion)  in additional export costs Around  40,000 UK businesses  af...

US tariff uncertainty will likely remain a  key market overhang , even after the  Supreme Court of the United States struck down tariffs imposed under the IEEPA, according to Malaysian research houses. The reason? President  Donald Trump  has already reintroduced global tariffs under a different legal channel. What Changed — And What Didn’t After the court ruled against tariffs imposed under the  International Emergency Economic Powers Act (IEEPA) , Trump announced: 10% global tariffs Plan to raise them to  15%  under  Section 122 of the 1974 Trade Act Valid for  150 days , unless Congress approves an extension Key issue: Although legally different,  protectionism remains intact . Public Investment Bank noted Trump is unlikely to retreat, as tariffs are central to his foreign policy strategy. Kenanga Investment Bank added: New tariffs are capped at 15% But US officials suggest tariff revenue levels will remain broadly unchanged Meaning m...

Quick Summary US cuts tariffs on Indian goods to 18% from as high as 50% India agrees to stop buying Russian oil , easing US–India tensions India pledges major US purchases , including energy and technology Markets rally : Indian equities and rupee surge on relief trade What Happened US President  Donald Trump  said he will  lower tariffs on Indian goods to 18%  after a call with Prime Minister  Narendra Modi , linking the move to India’s agreement to  halt purchases of Russian oil . Washington is also  removing an extra 25% duty  imposed earlier over India’s Russian crude imports, according to officials. Why It Matters Overall levies fall from ~50% to 18% , a major relief for Indian exporters Textiles, machinery and labor-intensive goods  benefit the most India sends  nearly 20% of its exports to the US , its largest market The deal eases pressure on  India’s manufacturing ambitions Trump said India would also  reduce tariffs ...

China has  conditionally approved  its leading AI startup  DeepSeek  to purchase  Nvidia ’s  H200 artificial intelligence chips , a move that could significantly shape China’s next phase of AI development — and intensify US-China tech scrutiny. What Happened Chinese authorities granted  conditional approval  for DeepSeek to buy Nvidia’s  H200 AI chips Regulatory conditions are still being finalised , according to sources Approvals were issued by China’s industry and commerce ministries, with conditions set by the  National Development and Reform Commission The H200 is Nvidia’s  second most powerful AI chip  and has become a sensitive focal point in  US–China tech relations . Bigger Picture: Not Just DeepSeek Reuters previously reported that: ByteDance Alibaba Tencent were also given approval to collectively purchase  over 400,000 H200 chips , though shipments remain subject to final regulatory sign-off. Nvidia: Licenc...

  What happened US President  Donald Trump  threatened to raise tariffs on South Korean goods to  25% , accusing Seoul’s legislature of failing to formalise a trade deal reached last year. The higher tariffs would apply to  autos, pharmaceuticals, lumber and other goods , up from the current  15% levy . The warning was issued via social media and follows delays in South Korea’s parliament passing a  “special law on strategic investment with the US” , which would legally underpin Seoul’s investment commitments under the bilateral deal. Why this matters South Korea is  highly exposed to the US market , with America accounting for  over 17% of total exports (US$122.9 billion)  last year. Any tariff hike would directly affect major exporters such as  Hyundai Motor , which shipped  1.1 million vehicles  to the US in 2024. While Trump has often  walked back tariff threats , Bloomberg data show  about 27% of such threat...

Malaysia closed out 2025 with a  strong trade surprise and firmer inflation , riding a late-year export wave even as economists brace for a moderation in growth heading into 2026, according to  OCBC Group Research . December Trade Beats by a Wide Margin Malaysia’s December trade data  far exceeded market expectations , driven by a sharp acceleration in exports. Export growth jumped to  10.4% YoY  in December, up from 7% in November and well above the  2.5% consensus forecast . Imports remained solid at  12.0% YoY , though slower than November’s 15.8%. As a result, Malaysia’s  trade surplus widened to RM9.3 billion . Electronics Lead the Export Surge The export strength was largely powered by  manufactured goods , particularly: Electronics & Electrical (E&E) products Machinery and appliances Optical & scientific equipment OCBC attributed the surge to the ongoing  global electronics upcycle  and resilient demand from key m...

Key Takeaways  December exports rose 6.1% y/y, below the 10% forecast Growth led by non-monetary gold and electronics Exports to China and Taiwan increased; US and Japan weakened Full-year 2025 exports grew 4.8%, beating expectations Singapore’s 2025 GDP growth came in strong at 4.8% Singapore’s export momentum softened at the end of the year, with  non-oil domestic exports (NODX) rising 6.1% year-on-year in December , coming in  below market expectations of a 10% increase , according to data released by  Enterprise Singapore  and reported by  Reuters . The December performance marked a slowdown from  November’s revised 11.5% growth , though exports continued to be supported by  non-monetary gold  and  electronics , particularly  integrated circuits and disk media products  — reflecting ongoing demand linked to AI-related technologies. By market, exports to  China and Taiwan increased , while shipments to  Japan and t...

Singapore’s economy outperformed expectations in the third quarter, but fresh trade data suggests the city-state is not fully out of the woods as global protectionism continues to reshape supply chains. Non-oil domestic exports (NODX) fell  3.3%  in the July–September period, reversing a  7%  rebound in the previous quarter, Enterprise Singapore reported Friday. The decline was driven by a sharp pullback in  non-electronics shipments , which offset gains in the electronics sector. Volatile pharmaceutical exports were among the largest drags. Despite Singapore’s resilience to tariff pressures—thanks in part to its lower US-bound duties relative to regional peers—its deep integration across global supply chains leaves it exposed to geopolitical swings and sector-specific shocks. The impact is already visible: exports to the  US plunged 30.7%  in the third quarter, the steepest drop among Singapore’s top 10 markets. For the first nine months of 2025, NODX...

India and the United States are close to finalizing a  trade agreement  that could  slash tariffs on Indian exports to 15%–16% , down from the current average of about  50% , according to a report by the  Mint  newspaper citing three sources familiar with the talks. As part of the potential deal,  New Delhi may agree to gradually curb imports of Russian oil  while allowing  greater US exports of non-genetically modified corn and soymeal  into India. The announcement could come during a possible  meeting between US President Donald Trump and Indian Prime Minister Narendra Modi  at the upcoming  ASEAN Summit in Malaysia , the report said. The move is seen as a major step toward easing trade tensions between the two countries and aligning India more closely with the US amid shifting global supply chains.

China’s export sector is booming again, but beneath the surface, the economy is losing steam. Despite record overseas sales, data expected Monday is likely to show that  China’s GDP grew just 4.7% in the third quarter , the weakest pace in a year. The slowdown sets the stage for a pivotal week as  the Communist Party’s fourth plenum  convenes to map out priorities for 2026–2030. Exports Surge, Domestic Demand Falters While exports delivered a record  US$875 billion trade surplus , the rest of the economy is showing clear signs of fatigue: Retail sales  likely rose just 3% in September, the slowest this year. Industrial output  is expected to climb 5%, also a year-to-date low. Fixed-asset investment  has stagnated, despite a large government borrowing program. Foreign direct investment is also slipping, down nearly  13% year-on-year , signaling a retreat in global confidence. Public infrastructure spending is rising, but not enough to offset the de...

Key Takeaway:  Despite facing US tariffs as high as  145% , China is on track for a record  US$1.2 trillion (RM5.05 trillion) trade surplus  by aggressively redirecting exports to new markets, sparking global alarm over cheap goods and competitive threats. President  Xi Jinping’s export machine  is proving resilient, defying Washington’s steep tariffs and reshaping global trade flows. With the US market increasingly restricted, Chinese exporters have pivoted quickly, driving record shipments to  India, Africa, Southeast Asia, and even Latin America . Indian imports from China hit an  all-time high in August , while exports to Africa are heading for a yearly record. Shipments to Southeast Asia have also surpassed their pandemic-era peak. The strategy is allowing Beijing to maintain growth even as the US tries to isolate it through trade barriers. The surge has unsettled governments worldwide.  Mexico  is the only country to respond forcef...

Malaysia’s export growth slowed sharply in August but still managed to stay positive, driven by resilient demand for electrical and electronic (E&E) products. Market Snapshot Exports : +1.9% YoY (July: +6.5%), below consensus +3.0%. Imports : –5.9% YoY (July: +0.6%), steepest drop since Sept 2023. Trade surplus : RM16.1b (July: RM14.6b), beating forecasts. Total trade : –1.9% YoY, lowest in 20 months. Key Drivers E&E exports : +10.1% (July: +22.5%), making up 42.2% of total exports. Weak spots : Crude petroleum (–28.8%), petroleum products (–17.6%), LNG (–2.6%). Bright spots : Palm oil & related products rebounded +9.7%; agriculture overall +4.5%. Regional flows : US: –16.7% (sharpest in 20 months, hit by tariffs) China: +10.4% (supportive) Singapore: +2.7% (slower) Taiwan: +32.7% (slowed from prior surge) Imports Breakdown Retained imports : –12.4% (2nd straight month of decline). Intermediate goods : –16.8% Consumption goods : –8.9% Capital goods : +11.0% (July: +20.3%) O...

 Key Takeaways NODX slump:  Fell  11.3% YoY  in August, missing consensus forecast of +1%. Electronics:  Down  6.5% , led by disk media (-28.1%), integrated circuits (-7.4%), and PC parts (-36.9%). Non-electronics:  Down  13% , with steep falls in food preparations (-51.4%) and petrochemicals (-23.2%). Markets hit:  Exports to  US (-28.8%) ,  China , and  Indonesia  fell sharply; gains seen in EU, Taiwan, and South Korea. Bright spot:   Non-oil re-exports +12.3% , with electronics re-exports up 21.8% on demand for PCs, ICs, and telecoms equipment. Outlook:  Authorities expect growth to slow in 2H25 as tariff headwinds bite, despite front-loading earlier in the year. Breakdown of August Trade Data Singapore’s  non-oil domestic exports (NODX)  registered their sharpest fall in over a year, reflecting broad-based weakness in both electronics and non-electronics shipments. Electronics exports fell on a high...

 Key Takeaway Japan’s economy grew  2.2% annualised in Q2  — more than double the initial estimate — thanks to stronger consumer spending and inventories. But with  Trump’s tariffs and political uncertainty after PM Ishiba’s resignation , investors should watch if this momentum can last into Q3. What Drove the Upgrade GDP:  Revised to  +2.2% annualised  (vs. +1.0% initially). Quarter-on-quarter:  +0.5% (up from +0.3%). Private consumption:  +0.4% (was +0.2%). Boost came from restaurants, game sales, and corporate spending. Capital expenditure:  +0.6% (revised down from +1.3%). External demand:  Added 0.3 ppt, same as earlier estimate. Domestic demand:  Contributed 0.2 ppt (vs. drag of –0.1 ppt previously). The Risks Ahead Tariffs bite:  Analysts warn US tariffs could  hit exports sharply in Q3 , weakening momentum. Consumer strength shaky:  Economists say it’s “difficult to expect” household spending to offset ex...

Key Takeaway The US has officially cut tariffs on Japanese cars and auto parts from 25% to 15% under a new trade deal with Japan. In return, Tokyo will lower tariffs on US goods and commit  US$550 billion  to US infrastructure projects. What Happened President Trump signed an  executive order  Thursday, finalizing last month’s trade pact. The new auto tariff rates are  retroactive to Aug. 7 . This marks a significant shift in US-Japan trade relations, aiming to reduce tension and strengthen economic ties. Market Impact Japanese automakers rallied : Toyota (TM): +2.40% Honda (HMC): +1.91% US carmakers also gained modestly: Ford (F): +0.52% EV stocks like Lucid (LCID) slipped, reflecting competitive concerns. Investor Angle Lower tariffs should: Boost competitiveness of Japanese automakers in the US. Open opportunities for US exporters gaining improved access to Japan. Channel massive Japanese capital into  US infrastructure  — potentially lifting relate...

U.S. President  Donald Trump  has refused to alter the terms of the recently signed  South Korea tariff agreement , keeping in place a  15% levy on Korean goods , despite lobbying efforts from newly elected President  Lee Jae Myung . The decision underscores Trump’s hardline trade stance, even as both leaders sought to highlight cooperation on security and industry ties. Key Takeaways Tariff Status Quo : The July agreement — which capped tariffs at 15% and avoided Trump’s earlier threat of a 25% duty — will remain unchanged. Trump signaled no appetite for renegotiation, saying,  “They’re going to make the deal they agreed to make.” Political Backdrop : The meeting followed Trump’s volatile social media posts questioning South Korea’s stability, citing reports of “raids on churches.” While tensions briefly spiked, Trump appeared to walk back the remarks during the Oval Office sit-down, crediting Lee’s explanations. Charm Offensive : Lee flattered Trump on ma...

US President Donald Trump vowed to impose new  tariffs and export restrictions on advanced technology and semiconductors  in retaliation against foreign digital services taxes that he says unfairly target American tech giants. In a social media post on Monday, Trump called the measures “discriminatory” and said they “outrageously give a complete pass to China’s largest tech companies.” He warned that unless such taxes are withdrawn, Washington would hit offending nations with  “substantial additional tariffs” on exports to the US , alongside curbs on  “highly protected technology and chips.” Rising Trade Frictions The move adds fresh uncertainty for global trade partners, coming just weeks after Trump rolled out country-based levies on imports and vowed further duties, including on furniture. The president has long argued that digital taxes penalize US firms such as  Amazon, Alphabet, and Meta Platforms , while sparing Chinese rivals. The US has already deployed...