Malaysia e-commerce regulatory reform

The Malaysian government is working to overhaul its digital trade regulations by drafting a new e-commerce law to replace the Electronic Commerce Act 2006. The initiative, directed by Prime Minister Anwar Ibrahim, seeks to move beyond the 2006 legislation’s primary function of validating electronic signatures to create a comprehensive framework for modern digital business.

As the regulatory efforts progress, the government has emphasized strengthening oversight of e-commerce platforms, including implementing registration requirements for foreign-based companies. Communications Minister Fahmi Fadzil stated the move aims to protect consumer rights and ensure product safety, specifically regarding SIRIM standards for electronics and national halal certification requirements.

The Ministry of Domestic Trade and Cost of Living is collaborating with several agencies, including the Attorney-General’s Chambers and the Malaysian Communications and Multimedia Commission, to finalize the bill. This regulatory push follows reports from the communications commission, which recorded 1,964 complaints related to e-commerce platforms and products between January 2025 and August 2026.