The Ministry of Investment, Trade and Industry (MITI) announced in a statement via Malay Mail that all export, transshipment and transit activities of high-performance AI chips originating from the US now require a Strategic Trade Permit with immediate effect under Section 12 of the Strategic Trade Act 2010.
According to MITI, the new regulation aims to close the existing regulatory loophole, while further studies are being conducted to consider the inclusion of high-performance AI chips in the country's Strategic Goods List (SIL).
The ministry also explained that any party who knows or suspects the potential misuse of the chips involved is required to notify the authorities at least 30 days before the shipment is made.
Failure to comply with this regulation will be subject to strict action under existing laws.
This regulatory measure was introduced after a Bloomberg report revealed Washington's plan to limit the shipment of AI chips to Malaysia, following concerns that they may be channeled to China.
Despite Malaysia's previous assurances to tighten import controls, recent data shows that a surge in chip exports to the country has drawn the attention of the US and triggered new sanctions proposals, including possible temporary restrictions on US companies and their affiliates in Malaysia.
MITI in the same statement also stressed Malaysia's commitment to maintaining a safe, transparent and rules-based trading environment, in line with international obligations.
