Over the last two years, these trade deficits have taken an entire percentage point out of America`s sluggish economic growth. With its systematic half-a-trillion dollars of quasi structural trade deficits, the U.S. accounts for 40 percent of the world`s total (trade deficits) and bears the brunt of what some would call beggar-thy-neighbor trade policies. These countries account for 40 percent of world GDP, but their combined trade surpluses of $1 trillion represent about 80 percent of the world`s total. Germany is currently running the world`s largest trade surplus of $300 billion. In other words, nearly half of the world economy is a drag on the rest of the global demand, output and employment.

For now, Trump`s immigration order isn`t expected to directly hit political or economic ties with either country but it could bring longer-term social costs. "While Trump`s policies may not affect bilateral relations, it will certainly sway public perception, against the U.S," Arul Hadi Abdullah, Malaysia analyst at BowerGroupAsia, told CNBC in anticipation of the ban on Friday. Many expect Trump`s policies, perceived as unjust and discriminatory, could result in a decline of American soft power in Muslim-majority regions, which former U.S. leader Barack Obama attempted to carefully rebuild in the aftermath of the Bush regime. Politicians in Malaysia, where 60 percent of the 28 million-strong population is Muslim, also voiced concern about the move. Syrian refugees were indefinitely banned, while refugees from the other six countries faced a three-month hold.