Malaysia has increased its involvement in the worldwide attempt to block advanced AI chips from going to China. On March 12, the Ministry of International Trade and Industry (MITI) published an order for new regulations. Now, people and businesses are required to inform Malaysian authorities 30 days in advance when exporting or transshipping U.S. AI chips. This regulation, which takes effect immediately, further highlights Malaysia’s dedication to upholding strict trade controls.
In its press release, MITI underscored that these measures are focused on preventing circumvention of export controls. The ministry then reiterated Malaysia’s zero tolerance position on any attempts to evade export controls or participate in illicit trade. Any person or business entity found in breach of the STA 2010 or any of its enabling legislation will be severely prosecuted according to the law. This strong position underscores Malaysia’s determination to be an important partner alongside the United States in protecting cutting-edge technologies.
This decision follows suit with the U.S.’s ongoing efforts to restrict the export of AI chips to China. It seeks to address critical national security issues. Now, as Bloomberg reports, the U.S. is eyeing new export curbs – this time on AI chips. Malaysia and Thailand rank as two of the countries most impacted by such a detrimental decision. So far, there has been no public statement from the Trump administration taking these exact steps on Malaysia and Thailand.
With this new regulation, Malaysia finds itself in an important position. The U.S. is deeply focused on preventing sensitive, cutting-edge technology from falling into the hands of adversaries. As these developments continue to play out, Malaysia’s public actions on compliance and enforcement will be closely watched. No matter the outcome, domestic and international watchdogs will be watching closely.