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  • 9 months ago
In a major breakthrough, the US and China agreed to lower tariffs for 90 days, easing global trade tensions. How can Malaysian SMEs make the most of this brief period of stability? SAMENTA’s Datuk William Ng weighs in

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00:00In a major breakthrough, the US and China agreed to lower tariffs for 90 days,
00:05easing global trade tensions.
00:07How can Malaysian SMEs leverage this small window of stability?
00:11Here's what Samantha's Dato' William Ong has to say.
00:16Of course, a more stable global trade environment is always good news for us
00:21and for the SMEs in particular.
00:23What it means is that, of course, it's better predictability
00:25and a more stable demand for our exports.
00:27But Malaysian SMEs must also be proactive to really capitalize on this development.
00:32So we must pay attention as much as we can to what is happening around us.
00:36Firstly, diversification is key.
00:38Too many SMEs are still overly reliant on a single market.
00:42Now I think it's a time to explore markets like ASAP and CPTPP,
00:45particularly in ASEAN, Japan and Australia.
00:48Secondly, we must move up the value chain.
00:51Instead of competing on price, we must compete on design,
00:53on quality, on sustainability and, of course, on speed.
00:58This means investing in automation, in our branding
01:00and, of course, in our digital trade platforms.
01:03Thirdly, Malaysian SMEs should embrace supply chain resilience.
01:07That means building multi-country sourcing
01:09and strategic stockpiling to withstand all these future shocks.
01:14Never mind the current one, but more will come
01:16and we must be ready for it.
01:17Finally, and we urge the government to expertise support for trade facilitation
01:23to help us reduce the cost of logistics
01:27and, of course, to ensure that SMEs are prepared
01:29through export readiness program and whatnot.
01:32This is especially so for smaller SMEs that have never exported before.
01:36In summary, while we cannot control the global job politics,
01:40we can definitely control how ready we are for them.
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