KUALA LUMPUR, 28 October 2025 — The Malaysian Palm Oil Council (MPOC) welcomes the United States’ tariff exemptions for selected Malaysian products, including palm oil, under the newly concluded Agreement on Reciprocal Trade.
This decision comes at a time of strong bilateral trade performance. Over the past two years, Malaysia’s palm oil exports to the United States have shown consistent growth, supported by rising demand from advanced manufacturing and consumer goods sectors.
Commenting on the development, Ms. Belvinder Sron, Chief Executive Officer of MPOC, said, “The zero-tariff for Malaysian palm oil is a positive development. Our exports to the United States have recorded strong growth over the past two years, and this measure will further strengthen Malaysia’s competitive position in a high-value and rapidly evolving market.”
She added that deeper commercial cooperation with the US will benefit both industry players and the Malaysian economy, particularly through downstream expansion and technology integration.
From January to September 2025, Malaysian palm oil and products exports increased by 8.1% to 346,000 metric tonnes, compared to 320,000 metric tonnes during the same period in 2024. The growth was primarily driven by certified palm oil, with shipments increasing from 75,000 to 98,000 metric tonnes. Certified palm oil and palm stearin currently account for 79% of Malaysia’s exports to the U.S. and are used in high-value industries, from specialty food ingredients to personal care products, where substitute options are limited. This reflects the expanding role of Malaysian palm oil in U.S. supply chains.
Supporting this momentum, the Malaysian Sustainable Palm Oil (MSPO 2.0) certification and the Sawit Intelligent Management System (SIMS) strengthen Malaysia’s ability to meet stringent buyer requirements in major markets such as the United States. Together, these initiatives enhance supply chain transparency and traceability, ensuring seamless integration into international networks while positioning Malaysian exporters for greater participation in value-added and premium market segments.
Driving Market Growth and Commercial Resilience
While the US trade outcome is highly encouraging, MPOC emphasised that Malaysia will continue broadening its market portfolio to support long-term trade resilience. Sub-Saharan Africa (SSA), the Middle East and North Africa (MENA), and ASEAN remain key focus regions, backed by growing demand for edible oils and downstream palm-based products.
“Our diversification strategy remains a core priority to ensure sustained success for Malaysian palm oil globally,” Ms. Sron said.
Malaysia continues to enhance commercial confidence through strong governance and traceability infrastructure. With improved tariff conditions in the US, continued expansion of downstream capabilities, and an assertive market diversification agenda, MPOC is confident in sustaining palm oil export growth and reinforcing Malaysia’s role as a reliable partner in bilateral trade with the US.
For more information, visit www.mpoc.org.my
For all media enquiries, please contact:
Kartigha Ayamanny, Assistant Manager, Sustainability, Promotions and Communication | Email: kartigha@mpoc.org.my
About the Malaysian Palm Oil Council (MPOC)
The Malaysian Palm Oil Council (MPOC) is dedicated to promoting the global market expansion of Malaysian palm oil and its derivatives by enhancing its image and acceptance through technological innovation, economic value, and environmental sustainability. With a vision to position Malaysia as the world leader in certified sustainable palm oil, MPOC champions the Malaysian Sustainable Palm Oil (MSPO) certification as a benchmark for ethical and responsible production. Through a strategic network of international offices in key markets – including China, India, the Middle East, Africa, and ASEAN – MPOC actively engages stakeholders, opens new market opportunities, and strengthens the global presence of Malaysian palm oil. As a cornerstone of Malaysia’s economy, the palm oil industry contributed RM109 billion in export earnings in 2024, accounting for 24% of global production and 32% of exports. MPOC remains committed to driving sustainable growth and global leadership in the palm oil sector.
