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KUALA LUMPUR: The reciprocal trade deal between the United States (US) and Malaysia differs from the one Washington has with Cambodia, said investment, Trade and Industry Ministry.

This is due to the difference in the level of development between the two Asean countries.

The ministry said the US gave a "slightly different treatment" than Malaysia, based on Cambodia's status as a least developed country.

"Accordingly, the commercial considerations requested from Malaysia are higher than Cambodia based on Malaysia's higher level of development and capabilities.

"However, overall, many analysts have perceived Malaysia's Agreement on Reciprocal Trade (ART) package as better because Malaysia does not have to eliminate import duties on all goods imported from the US," it added.

This was in response to claims that Cambodia received a better deal with the US than Malaysia.

Former economy minister Datuk Rafizi Ramli previously said Article 5.1 of the ART requires Malaysia and Cambodia to mirror US trade policies against another country.

However, Rafizi said Cambodia's deal does not infringe on the country's sovereign interests while Malaysia's agreement lacks a similar term.

"Article 5.1 of the ART outlined that Malaysia shall adopt or maintain a measure with similar restrictive effect as the measure adopted by the US to address a shared economic or national security concern.

"If the US imposes a customs duty, quota, prohibition, fee, charge, or other import restriction on a good or service of a third country and considers that such measure is relevant to protecting the economic or national security of the US, the US intends to notify such measure to Malaysia for the purpose of economic and national security alignment," state the article.

Source: https://www.nst.com.my/business/economy/2025/11/1307736/us-malaysia-trade-deal-different-cambodias-says-ministry