Foreign Minister Datuk Seri Mohamad Hasan warned the Dewan Rakyat today that Malaysia faces a severe economic shockwave if the current standoff between the United States and Iran escalates into a full-scale military conflict. Speaking during the Minister's Question Time, he emphasized that any disruption in the Middle East would destabilize global energy markets and impact Malaysia’s trade routes. The government is currently monitoring the Geneva peace talks closely as a gauge for regional stability.

Mohamad stated that the Ministry of Finance and the Ministry of Investment, Trade and Industry (MITI) are preparing contingency plans to mitigate potential price hikes in fuel and essential goods. He noted that while Malaysia is an oil producer, the interconnected nature of global finance means the Ringgit and local stock market would still suffer from investor flight to "safe-haven" assets like the US Dollar and Gold.

The warning comes as the Trump administration imposes new temporary duties under Section 122 of the Trade Act, which could further complicate Malaysia's export-oriented economy. Wisma Putra has advised all Malaysians in the Middle East to remain vigilant and register with local embassies as a precautionary measure. The government's primary focus remains on maintaining diplomatic neutrality while protecting national economic interests.