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Free Trade Agreements (FTAs)

As a trading nation with a small domestic market, it is imperative for Malaysia to continue to adopt an open trade and investment regime to promote economic growth, provide opportunities for high skilled employment and promote technological development and innovation.


Moreover, increased internationalisation through trade and participation in the global value chains (GVCs) provides opportunity for Malaysian SMEs to achieve economies of scale, expand market shares and increase productivity. In this respect, Malaysia has embarked on various Free Trade Agreements (FTAs) to seek better market access opportunities for Malaysian goods and services.


The Malaysian SMEs are therefore encouraged to leverage on FTAs and develop good understanding of FTA provisions and trade requirements to be able to reap the benefits brought by FTAs to penetrate global markets. To date, Malaysia has signed 14 FTAs:


7 Bilateral FTAs

  • Malaysia-Japan Economic Partnership Agreement (MJEPA), 13 December 2005
  • Malaysia-Pakistan Closer Economic Partnership Agreement (MPCEPA), 8 November 2007
  • Malaysia-New Zealand Free Trade Agreement (MNZFTA), 26 October 2009
  • Malaysia-Chile Free Trade Agreement (MCFTA), 13 November 2010
  • Malaysia-India Comprehensive Economic Cooperation Agreement (MICECA), 18 February 2011
  • Malaysia-Australia Free Trade Agreement (MAFTA), 22 May 2012
  • Malaysia-Turkey Free Trade Agreement (MTFTA), 17 April 2014

7 Regional FTAs

  • ASEAN Free Trade Area (AFTA), 28 January 1992
  • ASEAN-China Free Trade Agreement (ACFTA), 29 November 2004
  • ASEAN-Korea Free Trade Agreement (AKFTA), 13 December 2005
  • ASEAN-Japan Comprehensive Economic Partnership (AJCEP) 14 April 2008
  • ASEAN-India Free Trade Agreement (AIFTA), 13 August 2009
  • ASEAN-Australia-New Zealand Free Trade Agreement (AANZFTA), 27 February 2009
  • ASEAN-Hong Kong FTA (AHKFTA), 12 November 2017

The Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) had been signed on 8 March 2018 but yet to be ratified.

Malaysia is also negotiating the following FTAs:

Regional Comprehensive Economic Partnership (RCEP)

It was concluded and signed at the 37th ASEAN Summit in Hanoi on 15 November 2020 and in the process of ratification.

Source: Ministry of International Trade and Industry (MITI)



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