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Malaysia Imposes Trade Permits on Exports of US-Made AI Chips

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Celine Low chevron_right

Celine is ProductNation's content editor with a focus on tech social and industry stories. Her previous work includes lifestyle ar ...

Last week, it was reported that the US was planning to restrict shipments of advanced AI chips to both Malaysia and Thailand after reports of smuggling cases to China surfaced.

According to TechCrunch, AI company Anthropic claimed that smugglers were going to extreme lengths to transport AI chips into China, including using prosthetic baby bumps filled with chips, and that smugglers were shipping GPUs alongside live lobsters.

Now, Malaysia has decidedly taken actions against those smuggling reports.


New Restrictions On All AI Chips of US Origin

Image via Reuters/The Edge Malaysia
Malaysia's trade ministry has announced that all exports, tranships and transits of high-performance AI chips of US origin will be subject to a trade permit, effective immediately.
Individuals or companies are required to notify authorities at least 30 days in advance when exporting, transhipping, or bringing in transit any item that is not expressly listed on Malaysia's strategic items list.

“Malaysia stands firm against any attempt to circumvent export controls or engage in illicit trade activities by any individual or company, who will face strict legal action if found violating the Strategic Trade Act (STA) 2010 or related laws,” the Ministry said.

Pacific Research Centre of Malaysia principal adviser Oh Ei Sun said the new restrictions would not affect local data center or AI development projects, as it concerns primarily the trans-shipment or export of US-made chips, and not their import into Malaysia for domestic use, Bernama reported.

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