KUALA LUMPUR (Sept 22): Malaysian companies should build capabilities to participate in regional trade as the country looks to strengthen its role as a link between businesses in China, Asean and other markets amid growing cross-border e-commerce.
Deputy Communications Minister Teo Nie Ching said cross-border expansion is more than putting products online, as businesses also needed to understand local markets, work with suitable partners and comply with the regulations of the markets they enter.
Speaking at the media launch of the Asean-China Cross Border E-Commerce Expo 2026 (CBE 2026) on Tuesday, Teo said digital connectivity had reduced the barriers for businesses seeking customers and partners outside their home markets.
She said Malaysia’s digital economy had grown beyond being a technology issue, citing Department of Statistics Malaysia (DOSM) data showing that information and communications technology and e-commerce contributed 23.4% to the country’s gross domestic product, or RM451.3 billion, in 2024.
E-commerce transaction income reached RM1.288 trillion that year, she added.
Teo said her ministry's role was mainly to support the digital infrastructure and ecosystem underpinning e-commerce, while the Domestic Trade and Cost of Living Ministry oversaw the trade of goods in this ecosystem.
She said greater cross-border commerce should not come at the expense of consumer protection or fair competition.
Products sold in Malaysia, whether through local or cross-border channels, must comply with laws, safety requirements and mandatory standards, she said.
Teo added that businesses entering the Malaysian market should obtain the certifications or approvals required by law, and ensure product information and labelling are accurate and transparent.
The CBE 2026, organised by the Malaysia Cross Border E-Commerce Association (MCBEA), will take place from Nov 26 to Nov 28 at the Kuala Lumpur Convention Centre.
MCBEA president Datuk Danny Tan Eng Ching said in his opening speech that the event was intended to be an annual platform to connect Malaysian businesses with international companies and the wider e-commerce ecosystem, including logistics, fulfilment, payments, digital marketing, technology, distribution and retail.
He said Malaysia could serve as a link between China and Asean, with local companies providing services, partnerships and business networks to international brands seeking to enter regional markets.
Teo said the government was continuing efforts to expand participation in the digital economy beyond major urban centres through initiatives such as the National Information Hubs (NADI).
As digital commerce expands, Teo said platforms, payment providers, businesses, enforcement agencies and consumers would need to work together to strengthen safeguards and respond to fraudulent activity.