KUALA LUMPUR: The Investment, Trade and Industry Ministry (Miti) is reviewing the Strategic Trade Act (STA) 2010, with the aim to streamline regulations, ensuring strategic goods and technology controls are tailored to specific industry segments.
Minister Tengku Datuk Seri Zafrul Abdul Aziz said the review would also address aspects of the Strategic Trade Management (STM) that might inadvertently hinder growth, including in the defence industry.
“The swift pace of technological advancements, while promising, also presents challenges.
“As highlighted by the research on Emerging Technologies and Trade Controls (2020), the rapid evolution of dual-use technologies underscores the need to balance technological leadership, economic competitiveness, as well as national security.
“While trade controls on these technologies can foster peace and reduce security threats, overly restrictive policies might unintentionally hamper economic growth, stifling competitiveness and innovation,” he said in his speech at the Malaysia Strategic Trade Summit 2023 here yesterday.In the context of Malaysia’s ambitious economic vision, Tengku Zafrul said it is important that the government lead with a robust STM framework, and this framework must be comprehensive, legally sound and supported by solid inter-agency collaboration.
“While security remains paramount, we must also ensure that our position as a major transit and transhipment hub in the region is not compromised,” he said.
Tengku Zafrul said legitimate trade activities should flourish without being hindered by security-related policies, and the ministry’s ongoing mission has been to strike a balance between security imperatives and trade facilitation, always aligning with best global STM practices.
“Our efforts have shown results. Malaysia has not only enhanced its trade capacity but has also cultivated a reputation as a neutral trading environment, backed by the strong rule of law. We have addressed concerns on proliferation while fostering a culture of compliance within the industry. In collaboration with our partners, Malaysia has consistently prevented attempts to proliferate sensitive goods and technologies that could, for example, be used in weapons of mass destruction,” he said.