KUALA LUMPUR: Prime Minister Tun Dr Mahathir Mohamad said today that exports-reliant Malaysia could be hit with trade sanctions amid rising protectionism highlighted by the US-China tariff war. Dr Mahathir did not mention the source of possible sanctions, but said he was disappointed that proponents of free trade are now indulging in restrictive trade practices on a “grand scale.”“Unfortunately, we are caught in the middle,” he told a conference here, referring to the US-China trade war. To cushion the impact of the collision between the superpowers, Dr Mahathir said Malaysia is collaborating more with its regional neighbours. Dr Mahathir also complained of being bullied by powerful nations, referring to a campaign by European countries against Malaysia’s agricultural mainstay of palm oil. The European Union passed an act earlier this year to phase out palm oil from renewable fuel by 2030 due to deforestation concerns.

Source: New Strait Times October 21, 2019 02:48 UTC