World, March 6th, 2025 — Reuters reported that Donald Trump’s new tariff policies are set to target Asian economies following earlier hikes on China, Canada, and Mexico. Among the most vulnerable are Vietnam, Taiwan, and Thailand, which have high export-to-GDP ratios compared to the U.S.
The proposed tariffs focus on semiconductors, pharmaceuticals, steel, and aluminum, with Japanese financial giant Nomura warning that over a quarter of exports from South Korea, Japan, Malaysia, the Philippines, and Taiwan could be affected.
Meanwhile, Malaysia, South Korea, and Thailand, which are deeply tied to North American supply chains, may face tariffs similar to those imposed on Canada and Mexico.
Malaysia has the highest trade exposure in Asia, with 0.59% of its GDP linked to Canadian and Mexican exports to the U.S. Taiwan and Vietnam, on the other hand, are at risk due to their reliance on Chinese exports to the U.S., making them particularly vulnerable to U.S.-China trade tensions.
Countries with large trade surpluses with the U.S., including China, Vietnam, Japan, and Taiwan, are also at risk of additional tariffs, according to a recent U.S. Treasury report. Furthermore, Trump’s reciprocal tariff strategy could mean penalties for nations that impose higher import duties on U.S. goods.
A study by Oxford Economics suggests that if the U.S. enforces tariffs purely based on duty rate discrepancies, India, Thailand, and South Korea could be among the hardest hit, facing potential tariff increases of up to 5 percentage points.
This article originally appeared on our sister website The Pattaya News.
