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  • Writer's pictureJodie

Malaysia’s Free Trade Agreement

Updated: Feb 23, 2023

Malaysia’s domestic market isn’t as big so it is always wise that we go beyond our borders and expand our markets to other countries. The Malaysian government has signed several free trade agreements (FTA) with many countries to encourage and promote exportations.

FTAs are of great help to boost our competitive advantage, strengthen investors’ confidence and to a large extent, build Malaysia’s economic sustainability.

What is FTA?

A free trade agreement is an international agreement between two or more countries to reduce or remove any barriers for trade and bring closer economic integration.

How can FTA help me in my business?

  1. FTA offers lower or zero tariff (tariff concession) on exports and imports of goods and components assigned under FTA. This would make products more competitive, as compared to exports and imports from non-FTA partner countries

  2. More relaxed or removal of quantitative import restrictions

  3. Hassle-free custom procedures

  4. Improve market access for various services

  5. Easier entry for investors

Malaysia’s FTA with other countries

  1. Generalized System of Preference - Form A

  2. ASEAN Trade in Goods Agreement (ATIGA) - Form D

  3. ASEAN-China Free Trade Agreement (ACFTA) - Form E

  4. ASEAN-India Free Trade Agreement (AIFTA) - Form AI

  5. ASEAN-Japan Comprehensive Economic Partnership (AJCEP) - Form AJ

  6. ASEAN-Korea Free Trade Agreement (AKFTA) - Form AK

  7. ASEAN-Australia-New Zealand Free Trade Agreement (AANZFTA) - Form AANZ

  8. Malaysia-Pakistan Closer Economic Partnership Agreement (MPCEPA) - Form MPCEPA

  9. Malaysia-Japan Economic Partnership Agreement (MJEPA) - Form MJEPA

  10. Malaysia-New Zealand Free Trade Agreement (MNZFTA) - Form MNZFTA

  11. Malaysia-India Comprehensive Economic Cooperation Agreement (MICECA) - Form MICECA

  12. Malaysia Chile Free Trade Agreement (MCFTA) - Form MCFTA

ASEAN Countries CEPT COO Form D

An agreement on the creation of a Common Effective Preferential Tariff (CEPT) Scheme for the Asean Free Trade Area (AFTA) was set up for ASEAN countries.

Importers importing goods within ASEAN countries qualify under the COO – Form D (CEPT) duties rates as long as they comply to the followings:

  1. Claim on CEPT ASEAN duties will need to be endorsed in the Import Document K1

  2. Origin of certificates (Form D) issued by ASEAN exporting countries are required to be surrendered at the Importing Countries

If you are exporting out of Malaysia, especially if you are a first-timer, do get in touch with us to see how we can assist you in all the documentations, applications and duties. No doubt with the FTAs, exporters can save abundantly on duties if you know what and how to go about it.

Multi-Trans has a specialized team that handles import and export duties, tariff code consultancy and of course, our forwarding team is among the most experienced in Malaysia. If you'd like to get in touch, drop us an email at or WhatsApp message at +6019-387 3128.

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