KUALA LUMPUR, Aug. 18 -- Malaysia faces a 19 per cent tariffs from the United States since it refuses to cross the "red lines" in its negotiations with Washington, Minister of Investment, Trade and Industry Datuk Seri Tengku Zafrul Abd Aziz has said.

Speaking in an interview with US-based CNBC's "Squawk Box Asia", Tengku Zafrul said that Malaysia will however not retaliate since the US is too important as an investor and export destination for Malaysia and Asean.

"We've seen that there were some red lines that we discussed during our tariff negotiation, and they understood," he said.

"And I mean, that's, I guess, one of the reasons why we got 19 per cent is because we don't meet up with all the requests. We didn't agree with all the re...