Southeast Asia reacts to Trump's new tariffs

Southeast Asia reacts to Trump's new tariffs

When President Donald Trump took to the stage on April 2, 2025, to announce sweeping new tariffs on Southeast Asian countries, the ripple effect was immediate. It's no surprise that it's the hottest topic of the region- the new tariffs ranges from a steep 49% on Cambodian goods to 10% on imports from Singapore and Timor-Leste. But while the percentages varied, the concern across the region felt unanimous.

• Vietnam: 46%
• Cambodia: 49%
• Laos: 48%
• Myanmar: 44%
• Thailand: 37%
• Indonesia: 32%
• Brunei: 24%
• Malaysia: 24%
• Philippines: 17%
• Singapore: 10%
• Timor-Leste: 10%

Milieu Insight surveyed over 6,000 people across Singapore, Thailand, Malaysia, Indonesia, Vietnam, and the Philippines to understand just how deeply these tariffs are resonating with everyday citizens. The numbers paint a picture not just of awareness- but of rising anxiety and economic unease.

Aware and alarmed

An overwhelming 73% of respondents said they were already aware of the new tariffs before the survey. In Vietnam, that number jumped to 84%- perhaps unsurprisingly, given the country is facing one of the highest imposed rates. In contrast, only 56% of Filipinos said they were aware, possibly reflecting the lower 17% tariff rate affecting the Philippines.

But knowledge isn't comforting. Across the board, 72% of respondents said they were either “very” or “somewhat” concerned about the impact these tariffs might have on their daily lives. In Vietnam, concern was highest- 34% said they were very concerned, the highest among the six countries surveyed.

Economic anxiety

What’s driving this anxiety? Likely the fear that these tariffs won’t just hit governments- they’ll hit wallets. A staggering 90% of people believe the tariffs will lead to higher prices for everyday goods. In Thailand, where the tariff is 37%, more than half said they expect prices to rise significantly.

Electronics and gadgets, food and beverages, and automobiles were the top three product categories people expect to be affected. In Singapore, 73% expect electronics to take the biggest hit. In the Philippines, where people perhaps rely more on food imports, 67% pointed to food and beverage costs.

Shifting spending habits

With prices expected to climb, people are already rethinking their shopping habits. Over half of all respondents said they would switch to local alternatives. In Indonesia, that number climbed to 64%. Meanwhile, 21% across the region said they’d simply buy fewer imported goods altogether.

It’s a trend that could reshape entire consumer markets, especially if prices stay high. And it’s not just about personal choices; people expect businesses to adapt too. Many believe companies will respond by offering more promotions (40%) or absorbing some of the costs themselves (35%). But in places like Singapore, a majority (59%) expect companies to simply pass the costs on to consumers.

Trust in governments and expectations

As much as people are worried, there’s also a sense of expectation: governments should act. Most people want policies that reduce dependence on U.S. imports and support domestic industries. Some are looking for subsidies; others, for new trade agreements. A few are even open to retaliatory tariffs- though that sentiment remains a minority.

But while expectations are high, confidence isn’t always. In Thailand, only 6% said they were very confident in their government’s ability to manage the situation. In contrast, Vietnam stood out again, with 28% of respondents expressed strong confidence, reflecting perhaps a more robust belief in domestic resilience.

A defining moment?

In a region already navigating post-pandemic recovery, rising inflation, and geopolitical uncertainty, Trump’s tariff policy may become a defining moment, especially if it persists or escalates. What’s clear from the data is that people aren’t just reading headlines, they’re bracing for change.

From cautious optimism to deep skepticism, Southeast Asia is watching. And as the dust settles, it won’t just be politicians or CEOs feeling the pressure- it’ll be families, shopkeepers, and consumers across the region.

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