Malaysia, Singapore & the US to continue working closely on trade involving US-sanctioned chips

"While Malaysia maintains a neutral position on unilateral sanctions, companies operating in Malaysia are advised to be aware of other countries' unilateral export controls which apply to their international business activities to avoid such sanctions on their goods or services," the Ministry of Investment, Trade and Industry expressed.

Malaysia's Ministry of Investment, Trade and Industry (MITI) announced on 4 March 2025 that the nation will continue to work closely with the US and Singapore on trade involving US-sanctioned chips. 

In a press statement on Tuesday, MITI shared that it will continue to strengthen collaboration with the US and Singapore to address the issue of trade involving US-sanctioned AI chips, following recent reports alleging shipments from Singapore to Malaysia.

The Ministry affirmed that Malaysia upholds multilaterally agreed legal provisions on trade and maintains a robust monitoring system under the Strategic Trade Act 2010 (STA 2010) to regulate the export, transit, transshipment, and brokering of strategic items.

MITI is currently investigating whether Malaysian laws were breached in the alleged shipment while working in close coordination with relevant authorities from the United States and Singapore.

"Concurrently, MITI will continue to work closely with the United States and Singapore to find effective ways to address the issue of the trade involving US-sanctioned chips," the Ministry commented.

"While Malaysia maintains a neutral position on unilateral sanctions, companies operating in Malaysia are advised to be aware of other countries' unilateral export controls which apply to their international business activities to avoid such sanctions on their goods or services."