Malaysia Anti-Cheap Liquor Movement says bottlers are giving all sorts of excuses to delay ban.
'The United States will defend its forces, interests and stand with our partners and allies to safeguard global commerce and regional stability,' Pompeo says.
They are believed to have been actively producing the counterfeit liquor for the past six months.
So far, a total of 40 deaths have been recorded, says the health ministry.
It says its sales in countries like Singapore and Japan have been badly affected after reports of deaths from toxic alcohol poisoning in Malaysia.
Health D-G says 37 people are still admitted, 13 of them in critical condition.
Health ministry says death toll has gone up to 29, with 8 more deaths reported.
Authorities are continuing with enforcement activities nationwide.