10 APRIL, SINGAPORE – Milieu Insight, a global market research and data analytics company recently released a survey revealing growing apprehension among Southeast Asians in response to newly imposed U.S. tariffs on goods from the region. The findings shed light on a population increasingly concerned about rising living costs and broader economic implications, with many already shifting their spending habits.
The quantitative study conducted by Milieu Insight’s proprietary survey community polls N=6,043 individuals, representative of the online population in Indonesia, Malaysia, Thailand, Singapore, the Philippines and Vietnam.
The new tariffs, recently announced by the U.S., would place a 46% tariff on Vietnam’s exports, 36% on Thailand’s, 32% on Indonesia’s, 24% on Malaysia’s, 17% on the Philippines' and 10% on Singapore’s.
"These findings show that people in Southeast Asia are already anticipating economic pressure from these new tariffs," said Gerald Ang, Founder and COO of Milieu Insight. "There may be higher prices which means Southeast Asians would have to adjust their spending habits, and increasingly look to local products to fill the gap. This shift in sentiment could have lasting implications on both consumption patterns and economic slowdown in the region."
Most SEA countries are concerned about the impact of tariffs on daily life
The survey, conducted across six Southeast Asian nations, revealed that 73% of respondents were aware of the tariffs, signaling widespread regional attention. Concerns about how the tariffs might impact daily life were particularly high in Vietnam (78%), followed by Thailand (75%) Indonesia (73%) and Singapore (72%). Malaysians, while still wary, showed comparatively lower concern at 63%.
When asked about the potential national impact, 93% of Thais believed the tariffs would have a negative effect on their country, the highest level of concern across the region. Meanwhile, a resounding 90% of Southeast Asians expect the tariffs to drive up prices of everyday goods.
Shifting spending patterns
This shift in perception is translating into stronger support for local products, with most respondents expressing increased interest in locally made goods.
87% of respondents who usually prefer international brands said the new tariffs make them more likely to purchase locally made products. Additionally, close to 4 in 5 (75%) said they would reduce their consumption of imported goods or switch to local alternatives.
Across all surveyed markets, electronics and gadgets are seen as the most vulnerable to tariff-related price increases. In Singapore, 73% of respondents pointed to this category, followed by automobiles and transportation (55%), and household appliances (53%). Similar trends were observed in other countries, where 63% of respondents identified electronics as most likely to be impacted.
Singaporeans expect increased costs from businesses to be passed on to consumers
When it comes to absorbing the costs of the tariffs, responses vary across markets.
A majority of Singaporeans (59%), Filipinos (51%) and Malaysians (37%) expect the increased costs from businesses to be passed on to consumers if product prices rise due to tariffs. However, Thais (49%) and Vietnamese (48%) are more optimistic, expecting businesses to offer more discounts and promotions instead.
Confidence in government response
Southeast Asians are divided on whether their governments can effectively manage the economic impact of these tariffs. Confidence is highest in Vietnam (81%) and Singapore (66%) followed by Malaysia (56%), while skepticism prevails in Thailand (68% not confident) and the Philippines (61% not confident).
In the future, 42% of Southeast Asians said they would prefer to reduce reliance on U.S. imports by expanding domestic industries, while 40% called for implementing price controls or regulations on essential goods. Additionally, 34% expect the government to introduce subsidies to support local consumers and negotiate trade agreements with other countries.
The above fieldwork was carried out from 4th to 7th April 2025.
