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Full Tariffs Reinstated on Certain ASEAN–China Goods

Posted LnCoadmin

The Malaysian Government has officially issued P.U. (A) 15 (2026), introducing significant revisions to the tariff concessions under the ASEAN–China Free Trade Area (ACFTA). Certain goods will no longer enjoy preferential rates, resulting in higher import costs and stricter compliance requirements.

Key Policy Content

Authorized under Malaysia’s Customs Act 1967, the government has gazetted P.U. (A) 15 (2026). This Order amends the tariff preference measures under the Framework Agreement on Comprehensive Economic Co-operation between ASEAN and China. The primary changes are as follows:

  1. Withdrawal of Preferential Rates for Specific Goods: Goods listed in the Third Schedule (Exclusion List) will no longer be eligible for the previously applicable preferential import duty rates.
  2. Reinstatement of Standard Rates: The importation of these goods is now subject to the full standard rates of import duty as stipulated in the Customs Duties Order 2025.
  3. Technical Updates:
  • Goods classification must comply with the HS 2017 version (Harmonized System code) rules.
  • Import duty calculation shall be conducted in accordance with the Customs (Rules of Valuation) Regulations 1999.
Scope of Majorly Affected Products

This adjustment impacts a variety of goods imported from ASEAN and China, significantly affecting relevant importers and trading enterprises.

Source Major Affected Product Categories Representative Product Examples
ASEAN Nations Tropical Fruits Bananas, pineapples, mangoes, mangosteens, durians, watermelons, papayas, rambutan, guavas, dragon fruit, etc.
China Agricultural & Industrial Goods Agricultural: Rice, wheat, maize (corn), flour, pepper, soya-bean oil, sugar, tobacco, fertilizers, etc.

Industrial: Photographic films, natural rubber, various vehicles and their components (including passenger cars, buses, diesel engines, vehicle air-conditioning units, etc.).

**Last Updated on 03.02.2026