Govt to review rules on foreign e-commerce platforms

The Malaysian government plans to review the rules surrounding foreign e-commerce platforms operating within the local market, according to Deputy Prime Minister Fadillah Yusof. The review will be conducted through a working committee established by the investment, trade, industry and finance ministries, as discussed during a meeting chaired by Yusof.

The government aims to ensure fair competition and safeguard local micro, small and medium enterprises (MSMEs) amid the intensifying market competition, particularly driven by the rapid growth of digital trade and the presence of foreign e-commerce entities. Opposition MP Mas Ermieyati Samsudin, who represented Masjid Tanah, had previously called for foreign e-commerce platforms like Temu and Pinduoduo to register locally, open offices and appoint local customer service representatives.

She argued that Chinese e-commerce platforms directly selling goods from factories held an unfair advantage over local retailers, who incurred additional costs such as rent, wages and taxes. Samsudin also advocated for a reassessment of the 10% sales tax on low-value imported goods priced under RM500 and stricter safety inspections for products shipped from abroad.