IMPORT TARIFFS AND TAXES

Malaysia levies a tariff rate which ranges from 0 to 50 percent, following ad valorem rates. However, the average duty paid on industrial goods imported into Malaysia is 6.1 percent. Malaysian customs apply higher tariff rates to goods in which considerable production already exists domestically as well as so-called ‘sinful’ goods such as pork and alcohol.
Malaysian customs apply either a reduced tariff or else a tariff exemption on raw materials imported into Malaysia for use in the manufacture of exported goods – particularly when such raw material is difficult to source domestically.
Malaysian customs imposes a standard goods and service tax (GST) on imported goods at 6 percent.

Import Requirements and Documentation

When bringing goods into or out of Malaysia, traders must provide the following documents to customs officials.
• Customs Export or Import Declaration;
• Commercial Invoice;
• Bill of Lading;
• Packing List; and
• Certificate of Origin Requirements for Becoming an Exporter and Customs Procedures
Export is an activity of releasing goods from the Indonesian customs area to the customs area of ​​another country.
Usually, the export process starts with an offer from a party accompanied by approval from another party through a sales contract process, in this case, the Exporters and Importers. Requirements to become an exporter

To become an export company must fulfill the following conditions:

A legal entity, in the form of:
CV (Commanditaire Vennotschap)
• Firm
• PT (Limited Liability Company)
• Persero (Limited Liability Company)
• Perum (Public Company)
• Perjan (Service Company)
• Cooperatives
• Have an NPWP (Taxpayer Number)
• Has one of the permits issued by the government, such as:
- Trading Business License (SIUP) from the Trade Office
- Industrial Permit from the Industry Service
- Domestic Investment Business License (PMDN) or Foreign Investment (PMA) issued by the Investment Coordinating Board (BKPM) Exporter Classification

These exporters can be classified into:

A. Producer Exporters, with the following conditions:

As Exporters Producers to obtain legality should meet the stipulated requirements, namely:
Fill out the form provided by the Industry and Trade Service Office in the Regency / City or Provincial Government, and related technical agencies. Have an industrial business license Have an NPWP Providing reports on the realization of exports to the Office of Industry and Trade or appointed agencies and officials (periodically every three months) which are validated by the Foreign Exchange Bank by attaching a statement letter such as: not involved in tax arrears, not involved in banking arrears, not involved in customs issues.

B. Non-Producer Exporters, with the following conditions:

As an Exporter, not a Producer, to obtain legality, it should meet the stipulated requirements, namely:

fill out the form provided by the Office of Industry and Trade in the Regency / City or Provincial Government and related technical agencies
Have a Trading Business License
Have an NPWP
Providing reports on the realization of exports to the Office of Industry and Trade or the appointed agency/official (every three months) which is legalized by the Foreign Exchange Bank by attaching a letter statements such as not involved in tax arrears, not involved in bank arrears, not involved in customs issues Customs

If the exported goods are subject to export tax, the export tax must be paid before being put into the transportation means. This export tax is calculated based on the export benchmark price (HPE) and this export benchmark price is determined by the Minister of Trade in the form of a Minister of Trade regulation that is valid for a certain period by taking into account the considerations of the Technical Minister and related associations. This HPE is guided by the international average price and/or the average FOB price in several ports in Indonesia. The export levy rate (TPE) which is used as the basis for calculation is the TPE which applies when the notification of export of goods (PEB) is registered at the Customs and Excise Service Office, as well as the HPE, the HPE used is the HPE that applies when the PEB is registered at the Service Office. Customs and Excises. Payment of export levies can be made at the Foreign Exchange Bank or the Customs and Excise Service Office:

How to calculate export tax

For export goods subject to ad valorem tariff (percentage), Export Tax is calculated as follows: Export Tax = Export Tax Rate x Export Reference Price x Number of Goods x Exchange Rate
For export goods subject to ad naturam (specific) tariffs, Export Tax is calculated as follows:
Export Tax = Export Tax Rate x Number of Goods x Exchange Rate
Customs Procedures for the Export Process of Goods

Goods to be exported must be notified in advance to the customs office by filling out the export notification document (PEB).
Registration of PEB is accompanied by a Company Identification Number (NIPER) and complementary documents. PEB is submitted no later than 7 days before the estimated date of export and no later than before the export goods enter the Customs Zone. Customs supplementary documents: Invoice and Packing List
Proof of PNBP Pay (Non-Tax State Revenue)
Proof of Payment of Export Duty (in case the export goods are subject to Export Duty)
Documents from related technical agencies (if exported goods are subject to prohibition and/or restriction provisions)
At Customs Offices that have implemented a customs PDE (Electronic Data Exchange) system, exporters / PPJK (Customs Service Management Entrepreneurs) are required to submit PEB using the Customs PDE system

Payment of export tax if the exported goods are subject to an export tax. The exporter can submit this PEB or be authorized by the PPJK
Physical inspection of export goods and document checking
Approval and loading of exported goods onto transportation means
From this book you will know what should to do when you wanna import or export in Malaysia, you can get it in this  LINK . And customs prohibitions in this  LINK

Product Certifications

Malaysian Standard (MS) is a consensus document developed by Standards Development Committee (SDCs) within the Malaysian Standards Development System and approved by the Minister of Science, Technology and Innovation in accordance with Standards of Malaysia Act 1996 (Act 549).
•A MS is a technical document that specifies the minimum requirements of quality and safety for voluntary use by the public. A standard becomes mandatory when a regulatory agency enforces its use through the relevant Act and Regulations.
•To the greatest extent possible, Malaysian Standards are aligned to or are adoption of international standards including ISO Standards

Prohibited and Restricted Imports


The import prohibition order falls under Section 31 of the Customs Act 1967 and provides the four (4)
Schedules for which goods are absolutely prohibited or may be conditionally imported into Malaysia.
The four Schedules, 1 to 4 are published in full under the imports Prohibition Order, identifying the goods by the harmonised customs tariff code.
The 4 Schedules are:
• 1st Schedule - Absolute prohibition of import into the country
• 2nd and 3rd Schedule – Require approved permit
• 4th Schedule - Require import license

Customs Regulations

The Customs Act 1967 came into force on 2nd November 1967 throughout Malaysia, replacing the customs Ordinance 1952 of the states of Malaya, Customs Ordinances of Sabah and Sarawak and has since remained until today, with major revision in 1980. The Act consist of 21 parts, of which part III contain provisions dealing with the levying and fixing of rates of customs duties; valuation of goods; powers of Minister to exempt payment of duty and refund, and removal from customs control. Customs duties are levied on specific goods imported into or exported from Malaysia, and these are payable by the importers and/or exporters, as the case maybe. The minister is empowered to exempt good from payment of duty. The declaration provisions are provided for in part IX of the Act, where declarations must be made on the import or export of all goods, dutiable or not. These provisions ensure that the customs authorities are provided with all the necessary information as to the goods imported or exported Part XI of the consist of provisions relating to production of documents (like commercial invoices, bills of lading, certificate of origin analysis, etc.) required by the customs and the duty of the importer or exporter to give information as required by the customs The Minister may, by order, prohibit the importation or exportation of goods or its movement within the country or limit this to specific ports or places. These prohibitions are gazetted by way the Customs Regulations. Such prohibitions appeared in the Customs (Prohibition of Export) Order and Customs (Prohibition of Import) Order. Notwithstanding these orders, there are various other “Customs Orders” in respective Customs Regulations. These are the regulations given by the government in Malaysia that you must follow before conducting export and import in Malaysia in this  LINK

Standards for Trade

Malaysian Standard (MS) is a consensus document developed by Standards Development Committee (SDCs) within the Malaysian Standards Development System and approved by the Minister of Science, Technology and Innovation in accordance with Standards of Malaysia Act 1996 (Act 549). A MS is a technical document that specifies the minimum requirements of quality and safety for voluntary use by the public. A standard becomes mandatory when a regulatory agency enforces its use through the relevant Act and Regulations. A To the greatest extent possible, Malaysian Standards are aligned to or are adoption of international standards including ISO Standards.

Trade Barriers

Malaysia’s import barriers are aimed at protecting the domestic market and strategic sectors, as well as maintaining cultural and religious norms. Technical barriers, such as halal certification for the importation of meat and poultry, are regulated through licensing and sanitary controls. All imported beef, lamb, and poultry products must originate from facilities that have been approved by Malaysian authorities as halal or acceptable for consumption by Muslims. Pork and pork products may be imported into Malaysia only if Malaysia’s Department of Veterinary Services (DVS) issues a permit authorizing its importation. Each consignment of pork and pork products must have a valid import permit issued by the Malaysian Quarantine and Inspection Services, Malaysia (MAQIS). The permits are granted on a case-by-case basis and can be refused without explanation.

Malaysian Consumer

Malaysians are becoming more westernised, sophisticated and cosmopolitan. Consumers, though highly price sensitive, are also brand-conscious and increasingly concerned about quality. Compared to promotional campaigns and goods variety, the influence of prices on consumer purchasing behaviour have less importance.

Malaysian Imports

Imports to Malaysia unexpectedly increased by 1.3 percent year-on-year to MYR 73.0 billion in January 2021, missing market consensus of 0.5 percent fall, and after 1.6 percent rise in the previous month, amid the coronavirus pandemic. Arrivals rose for both consumption goods (1.3 percent) and intermediate goods (1.4 percent, while those of capital goods fell by 5.4 percent. By country, arrivals from China and the ASEAN countries increased 5.0 percent and 7.6 percent respectively, Malaysia's main imports are: electrical and electronic products (29.4 percent), chemicals (9.5 percent), petroleum products (9.3 percent) and machinery, appliances and parts (8.7 percent).

Major Import Partners

•China
•Singapore
•United States of America
•Japan
•Taipei, Chinese
•Republic of Korea
•Indonesia
•Thailand
•India
•Germany

Major Container Ports

•Port Klang
•Johor Port
•Port of Tanjung Pelepas
•Kuantan Port
•Penang Port
•Bintulu Port
•Kemaman Port

Main Cargo Airports

•Kuala Lumpur International Airport
•Penang International Airport
•Subang Airport
•Kuching International Airport
•Kota Kinabalu International Airport
•Miri Airport
•Labuan Airport
•Senai International Airport
•Sandakan Airport
•Tawau Airport

Distribution Structure

Distribution Structure such as Malaysian Standard brings immense benefits to all stakeholders in achieving Consumer Protection and Public Welfare as well as Industrial Efficiency and Development. For SMEs, the real benefits from certification may come in multifold such as brand reputation, access to public sector, tenders, newer markets while creating operational and financial benefits to organisations themselves.