Country profile
Malaysia
MY · MYSAs of: 7/28/2026Southeast Asian sea and transshipment hub on the Strait of Malacca
Malaysia is an export-driven Southeast Asian economy and a key maritime and transshipment hub on the Strait of Malacca. With Port Klang (the world's 10th-busiest container port in 2025) and the Port of Tanjung Pelepas, it ranks among the world's largest by container throughput. There is no VAT but a Sales and Service Tax (SST): import sales tax of 5 or 10 percent and service tax of 6 to 8 percent. Customs are cleared electronically through the Royal Malaysian Customs Department's uCustoms. Through ASEAN/ATIGA, RCEP and the CPTPP, Malaysia is deeply integrated into free-trade networks; an EFTA agreement with Switzerland is still under negotiation. The main air-cargo hub is Kuala Lumpur (KLIA).
Overview
Malaysia (MY) is an export-driven Southeast Asian economy and the key maritime and transshipment hub on the Strait of Malacca. The country is a member of ASEAN (ATIGA), RCEP and the CPTPP; customs clearance runs electronically through uCustoms of the Royal Malaysian Customs Department (import form K1, export form K2). There is no VAT: imports carry a sales tax of 5 or 10 percent, services a service tax of 6 to 8 percent. The main gateways are Port Klang (around 15.1 million TEU in 2025, the world's tenth-busiest container port), the Port of Tanjung Pelepas (over 14 million TEU), Penang Port and the air-cargo hub Kuala Lumpur International Airport (KUL); in East Malaysia, Bintulu and Kota Kinabalu. On land, the North-South Expressway and the KTM West Coast Line link the Thai border with Singapore (Causeway/Second Link); the East Coast Rail Link is under construction. Key exports are electronics and semiconductors, palm oil and oil and gas products; the main trading partners are China, Singapore and the United States.
Mentioned countries
Customs & Import/Export
Import system
Electronic clearance via uCustoms (via DagangNet); import declaration with Form K1 for all goods. The responsible authority is the Royal Malaysian Customs Department (JKDM).
Export system
Export declaration via uCustoms with Form K2 (transit K8); strategic goods and permits via MITI. Handling is usually carried out by licensed customs agents.
Import VAT
- No VAT/GST (abolished in 2018). Import sales tax of 5 or 10 percent on the value of goods
- service tax of 6 to 8 percent. Low-value imports under 500 MYR: 10 percent since 1.1.2024.
Import documents
- Commercial invoice
- Packing list
- Bill of lading / air waybill
- K1 import declaration (uCustoms)
- Proof of origin for preference
- Import licence / Approved Permit for certain goods
Export documents
- Commercial invoice
- Packing list
- K2 export declaration (uCustoms)
- Preferential Certificate of Origin (MITI)
- Export licence / STA permit for strategic goods
Origin proofs / FTA
Preferential Certificate of Origin (PCO) via MITI; Form D (ATIGA), RCEP and CPTPP origin declaration. EFTA-Malaysia agreement still under negotiation, no FTA with Switzerland in force.
Restricted & prohibited goods
Approved Permits (AP) for vehicles, agricultural and steel products, among others; prohibitions under the Customs (Prohibition of Imports) Order for drugs, weapons and certain animal and plant products (CITES).
Export controls & sanctions
Strategic Trade Act 2010 (MITI/STS) for dual-use and military goods, incl. catch-all; UN sanctions implemented. Since 2025, control directive for high-value AI chips of US origin.
Without warranty — always verify with freight forwarder/customs agent and official authorities.
Customs / Import / Export (Asia) — General process
Quick operational overview for international shipments to Asia. Product requirements, certificates, and clearance processes can vary significantly by destination.
Documents (typical)
- Commercial invoice (description, value, Incoterms)
- Packing list (weights, dimensions, packages)
- HS code / tariff classification
- Proof of origin / preference docs (where relevant)
- Depending on goods: certificates/compliance documents
Process (simplified)
- Prepare export (docs, HS code, origin)
- Import clearance in destination country (declaration, possible checks)
- Release and delivery; duties/taxes according to classification and value
Common pitfalls
- Vague description or missing HS codes → delays and clarifications
- Incoterms unclear: who clears customs/pays charges?
- Incomplete origin data → preferential treatment may not apply
- Inconsistent documents (invoice vs packing list vs shipment data)
Important: Requirements depend on goods, origin, Incoterms, value, and consignee. When in doubt, confirm with your broker/forwarder and official sources.
Official links
Note: regional/general sources. Country-specific authority links will be added iteratively.
Trade
Freight Infrastructure & Transport Network
Transport relevance
Cargo airports
- Kuala Lumpur International Airport (KUL/KLIA)
- Penang International Airport (PEN)
- Senai International, Johor (JHB)
- Kota Kinabalu (BKI)
- Kuching (KCH)
Seaports / access ports
- Port Klang (Westport/Northport)
- Port of Tanjung Pelepas (PTP, Johor)
- Penang Port
- Johor Port (Pasir Gudang)
- Bintulu (Sarawak)
- Kuantan Port
Road corridors & border crossings
- North-South Expressway (NSE) Bukit Kayu Hitam - Johor Bahru
- East-West Highway (peninsula)
- Pan-Borneo Highway (Sarawak/Sabah)
- Causeway / Second Link to Singapore
Rail corridors
- KTM West Coast Line (Padang Besar - Johor Bahru)
- East Coast Rail Link (ECRL, under construction)
- Connection to the Thai and Singapore rail networks
Top trade lanes
- Malaysia - China
- Malaysia - Singapore
- Malaysia - USA
- Malaysia - Japan
- Malaysia - ASEAN
Risk & Operational Notes
Risk notes
Stable logistics location with modern port infrastructure. The main risks are bottlenecks in the Strait of Malacca, monsoon weather, and compliance for strategic goods and re-export controls.
Seasonal & weather risks
Equatorial monsoon climate: southwest monsoon (May to September) and northeast monsoon (November to March) with heavy rain and flooding, mainly on the east coast of the peninsula and in Borneo.
Current logistics notes
Port Klang with moderate congestion: yard utilisation 80-85 percent, ship waiting times around 1 to 1,4 days (CW 27/28 2026). SST expansion from 1.7.2025 has been enforced with sanctions since 1.1.2026. Truck driving bans on public holidays most recently for Hari Raya (19.-20. and 28.-29.3.2026). (Status 2026-07-28)
As of: 2026-07-28
Operational notes – no claim to completeness. Verify with your freight forwarder and official sources.
Public holidays
| Date | Holiday | Type | Customs closed | Transport affected | Note |
|---|---|---|---|---|---|
| Feb 17, 2026 | Chinese New Year | National | Around Chinese New Year, JPJ imposes temporary festive-season bans on heavy goods vehicles. | ||
| Feb 18, 2026 | Chinese New Year (Day 2) | National | |||
| Mar 20, 2026 | Hari Raya Aidilfitri (additional public holiday) | National | JPJ festive truck ban for heavy goods vehicles: 19-20 and 28-29 March 2026 on all roads (category 1 all day). | ||
| Mar 21, 2026 | Hari Raya Aidilfitri (Eid al-Fitr) | National | Malaysia's main festive period: multi-day business closures and JPJ truck bans around the holiday. | ||
| Mar 22, 2026 | Hari Raya Aidilfitri (Day 2) | National | |||
| May 1, 2026 | Labour Day | National | |||
| May 27, 2026 | Hari Raya Haji (Eid al-Adha) | National | |||
| May 31, 2026 | Wesak Day | National | |||
| Jun 1, 2026 | Birthday of the Yang di-Pertuan Agong | National | |||
| Jun 17, 2026 | Awal Muharram (Islamic New Year) | National | |||
| Aug 25, 2026 | Maulidur Rasul (Prophet Muhammad's Birthday) | National | |||
| Aug 31, 2026 | National Day (Hari Merdeka) | National | |||
| Sep 16, 2026 | Malaysia Day | National | |||
| Nov 8, 2026 | Deepavali | National | |||
| Dec 25, 2026 | Christmas Day | National |
Chinese New Year
Feb 17, 2026
Around Chinese New Year, JPJ imposes temporary festive-season bans on heavy goods vehicles.
Chinese New Year (Day 2)
Feb 18, 2026
Hari Raya Aidilfitri (additional public holiday)
Mar 20, 2026
JPJ festive truck ban for heavy goods vehicles: 19-20 and 28-29 March 2026 on all roads (category 1 all day).
Hari Raya Aidilfitri (Eid al-Fitr)
Mar 21, 2026
Malaysia's main festive period: multi-day business closures and JPJ truck bans around the holiday.
Hari Raya Aidilfitri (Day 2)
Mar 22, 2026
Labour Day
May 1, 2026
Hari Raya Haji (Eid al-Adha)
May 27, 2026
Wesak Day
May 31, 2026
Birthday of the Yang di-Pertuan Agong
Jun 1, 2026
Awal Muharram (Islamic New Year)
Jun 17, 2026
Maulidur Rasul (Prophet Muhammad's Birthday)
Aug 25, 2026
National Day (Hari Merdeka)
Aug 31, 2026
Malaysia Day
Sep 16, 2026
Deepavali
Nov 8, 2026
Christmas Day
Dec 25, 2026
Sources: Malaysia Government Portal (malaysia.gov.my) · malaysia-calendar.com (amtliche 2027-Gazette JPM ausstehend) · malaysia-calendar.com (Fixdatum) · malaysia-calendar.com (erster Montag im Juni, statutarisch)
Truck driving bans
Festive-season heavy vehicle ban (Hari Raya 2026)
Holiday banJährlich zu Hari Raya Aidilfitri (und Chinesisch Neujahr) per JPJ-Verfügung; 2026: 19.-20.3. und 28.-29.3. (Asia/Kuala_Lumpur)
Mar 19, 2026 – Mar 29, 2026
from 7.5 t
Affected regions: Halbinsel Malaysia, Sabah, Sarawak
Affected roads: Alle Strassen
Exceptions
Category 1 (incl. car carriers/trailers over 7.5 t, low loaders, cement tankers, timber lorries, construction materials): banned all day. Category 2: 8pm-8am. Category 3 (construction vehicles): 6pm-6am, 25 km radius. Unlisted goods vehicles may operate; emergency work by mobile cranes allowed.
The Ministry of Transport (MOT/JPJ) announces the ban dates each year ahead of Hari Raya and Chinese New Year. Record 2027 dates after the JPJ announcement.
Sources: FMM / MOT-JPJ (GPR-s-13-s-2026)
Tolls & charges
Expressway-Maut Malaysia (Touch 'n Go / RFID / SmartTAG)
TollOperator: PLUS Malaysia Berhad u.a. Konzessionäre (Aufsicht: Lembaga Lebuhraya Malaysia, LLM)
Klasse 1 (Pkw), Klasse 2 (Lkw 2 Achsen), Klasse 3 (Lkw 3+ Achsen), Klasse 4 (Taxi), Klasse 5 (Bus)
Tolled expressways (incl. the North-South Expressway) use a closed, distance-based system with rates by vehicle class (class 2/3 trucks pay more than cars), plus open systems with flat rates per toll plaza. Payment is electronic via Touch 'n Go card, SmartTAG or RFID sticker (eWallet); a transition to barrier-free multi-lane free flow (MLFF) is under way, and PLUS is also piloting JustGo ANPR number-plate tolling.
Airports in this country
Seaports in this country
Latest News
Sources & Data Confidence
Source references without warranty. For legal/tax decisions consult official authorities.
FAQ
Is there a VAT on imports in Malaysia?
No. Malaysia abolished the GST in 2018 and instead levies the Sales and Service Tax (SST). Imported goods are subject to a sales tax of 5 or 10 percent; services are subject to a service tax of 6 to 8 percent.
How are low-value imports taxed?
Since 1 January 2024, low-value goods imported with a goods value of up to 500 MYR are subject to a sales tax of 10 percent, which is collected on online sales regardless of the foreign platform.
Which customs system does Malaysia use?
The Royal Malaysian Customs Department (JKDM) handles imports and exports electronically via the uCustoms system (via DagangNet). Form K1 is required for imports and form K2 for exports; using a licensed customs agent is common.
Which ports are most important for Malaysia?
Port Klang is the largest port and rose in 2025 to become the tenth-largest container port in the world (around 15 Mio. TEU). The Port of Tanjung Pelepas (PTP) in Johor surpassed 14 Mio. TEU for the first time in 2025. Other ports include Penang, Johor Port and Bintulu.
Does Switzerland benefit from a free trade agreement with Malaysia?
Not currently. The free trade agreement between EFTA (including Switzerland) and Malaysia is still under negotiation and not in force. Swiss exporters therefore cannot claim preferential customs rates.
Which free trade networks is Malaysia part of?
Malaysia is part of ASEAN (ATIGA/AFTA), RCEP (in force since 18. March 2022) and CPTPP (in force since 29. November 2022), as well as numerous bilateral agreements, for example with Japan, Australia, India and Korea. Preferences require a Preferential Certificate of Origin issued via MITI.
What applies to strategic goods and export control?
The Strategic Trade Act 2010 regulates the export of dual-use and military goods; the responsible authority is the Strategic Trade Secretariat of MITI. A catch-all control applies. Since 2025, a control directive also applies to the transit and re-export of high-value AI chips of US origin.
Which trade partners are important for Malaysia?
Which logistics terms are especially relevant for Malaysia?
For international shipments, these terms are a good quick start:
Next steps
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