The sweeping US tariffs will be credit negative for Asia-Pacific (Apac), but lower tariff countries such as Malaysia, India, and the Philippines may gain market share through trade triangulation to serve the US market, according to Moody’s Ratings.

In its latest report, the international rating agency said the new tariffs would hinder the “China+1” strategy, and that supply chain diversification away from China is unlikely to accelerate at this stage.

However, Apac economies may still be...