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Trade war

Southeast Asia exports to the US surge as the trade war smolders on

Production shift out of China provides tailwinds to Malaysia, Vietnam and Thailand

Shipping containers await loading in the Thai port of Laem Chabang. Southeast Asian exports have surged as multinationals move production out of China. (Photo by Kosaku Mimura)

SINGAPORE -- Exports from major Southeast Asian countries to the U.S. are surging as manufacturers scramble to find alternative production bases not subject to Chinese tariffs, with continued growth in these exports likely.

Malaysia's exports to the U.S. increased 11.7% on the year to 7.8 billion ringgit ($1.88 billion) in May, according to Malaysian government figures out Thursday. This more than offset a 2.2% drop in exports to China, contributing to a 2.5% gain in exports overall.

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