Latest news with #AmirHamzahAzizan
South China Morning Post
11 hours ago
- Business
- South China Morning Post
Caught in the chip war, Malaysia must rethink its US–China balancing act
Malaysia has landed in another tight spot – this time over claims Chinese engineers may have accessed high-end Nvidia chips on its soil to train artificial intelligence models, potentially breaching US export controls. Advertisement The timing could hardly be worse. Trade Minister Tengku Zafrul Aziz and Second Finance Minister Amir Hamzah Azizan were in Washington this week to negotiate down a steep 24 per cent 'reciprocal tariff' imposed by US President Donald Trump in April. Now, their efforts risk being overshadowed by fears in Washington that Malaysia is serving as a backchannel for Chinese firms to access restricted chips – fears that could harden American attitudes and demands. The report, first published by the Wall Street Journal, claimed that an unnamed Chinese firm had booked out Malaysian data centres equipped with Nvidia's most advanced chips. US policy restricts the sale or export of these chips to China and its military-linked entities, including via third countries. A banner showing Nvidia branding at the AI & Big Data Expo 2025 in London on February 5. Photo: Reuters While it is unclear whether any laws were broken, the perception alone could prove damaging. Analysts expect Washington may use the case as leverage to push Malaysia into stricter enforcement of US export controls, especially given the billions of dollars in investments by American tech firms in Malaysian plants and data centres.
The Star
13 hours ago
- Business
- The Star
‘RON95 subsidy cut first'
KUALA LUMPUR: The government will prioritise the rationalisation of RON95 petrol subsidy this year before introducing a carbon tax in 2026, says Finance Minister II Datuk Seri Amir Hamzah Azizan. He said Malaysia must first address the issue of fuel subsidies, particularly those involving the energy sector, before implementing the carbon tax. The government had previously announced plans to roll out a carbon tax targeting the iron, steel and energy industries by 2026, as outlined in Budget 2025. 'As we embark on this transition, we must ensure that no unintended consequences are embedded within our system. 'For instance, Malaysia has yet to implement a carbon tax as part of its policy framework. While it is scheduled for rollout by 2026, there are important precursor steps we must take. 'One major issue is the existing distortions in the system, especially the subsidies provided to the energy sector. 'A key objective now is to begin scaling back these subsidies. It doesn't make sense to impose taxes on one side while simultaneously providing subsidies for petrol, diesel and other fuels.' ALSO READ: 'RON95 rationalisation to proceed' Amir Hamzah made these remarks during a session titled 'Delivering Malaysia's Energy Transition' where he was a panellist alongside Deputy Energy Transition and Water Transfor-mation Minister Akmal Nasrullah Mohd Nasir. The session was chaired by Tan Sri Abdul Wahid Omar, a senior independent and non-executive director of IOI Corporation Bhd, Bernama reported. He also emphasised that subsidy rationalisation is a critical step toward establishing a strong foundation for sustainable mechanisms and policy frameworks. 'As a result, we can expect the introduction of structured measures, including climate action frameworks, robust measurement tools and ultimately, the implementation of a carbon tax to support these initiatives. 'If we want this transition to be sustainable and impactful, the entire system must respond. It cannot be driven by isolated announcements or standalone policies. 'The challenge for the government is to tie everything together coherently and effectively,' Amir Hamzah added. On Monday, Prime Minister Datuk Seri Anwar Ibrahim said the adjustments involving the price of RON95 petrol would not affect 85% to 90% of the population. Anwar said the government's move towards subsidy rationalisation is a critical step to ensure national resources are channelled effectively to benefit the lower-income group.
Bloomberg
a day ago
- Business
- Bloomberg
Malaysia's Anwar Says Trade Talks With US Have Been ‘Excellent'
Prime Minister Anwar Ibrahim said that Malaysia's negotiations with the US to lower its tariffs on the Southeast Asian nation have been going well. Anwar said he received a message earlier Thursday from Malaysia's Investment, Trade and Industry Minister Zafrul Aziz and Second Finance Minister Amir Hamzah Azizan saying that the meetings with the US Secretary of Commerce 'have been excellent.'
The Sun
2 days ago
- Business
- The Sun
SST revision: Finance Minister II to provide further clarification
PUTRAJAYA: Finance Minister II Datuk Seri Amir Hamzah Azizan will provide further clarification and explanation regarding the implementation of the targeted Sales Tax rate revision and expansion of the Service Tax scope. MADANI Government spokesman and Communications Minister Datuk Fahmi Fadzil said he was informed that the explanation on the matter will be delivered via a press conference or an official statement. Fahmi said the government takes public feedback seriously regarding the upcoming Sales and Service Tax (SST) revision. 'As the public is aware, the revenue collected will be channeled into developments such as the construction of schools and hospitals,' he said during his weekly media conference here today. On June 9, the Finance Ministry announced that the government will implement a targeted revision of items subject to the Sales Tax and an expansion of the Service Tax scope, effective July 1, in line with the Budget 2025 announced in October 2024. The measure is aimed at strengthening the country's fiscal position by increasing revenue and broadening the tax base without adding undue burden on the majority of Malaysians. The Sales Tax rate will remain unchanged for essential goods, while a rate of either five or 10 per cent will apply to discretionary and non-essential goods. The scope of the Service Tax will be expanded to include six new services, namely rental or leasing, construction, financial services, private healthcare, education, and beauty services.
The Sun
2 days ago
- Business
- The Sun
Govt expects additional SST revenue of RM5b in 2025, RM10b in 2026 following revision
PETALING JAYA: The Sales and Service Tax (SST) collection is expected to increase by RM5 billion in 2025 and by RM10 billion in 2026 following the review and expansion of the tax scope, which will be implemented starting July 1. Treasury secretary-general Datuk Johan Mahmood Merican said the additional amount is due to the SST review aimed at broadening the national revenue base. 'The government has taken a progressive approach by expanding the tax base, with the tax burden being skewed towards those who can afford it. 'This means that when determining the scope and those who are subject to the Service Tax, as well as the Sales Tax approach, efforts have been made to ensure it is implemented in a targeted manner,' he told Bernama after a visit to the Royal Malaysian Customs Department here. Previously, Finance Minister II Amir Hamzah Azizan had projected that the improved SST would generate revenue of RM51.7 billion in 2025, up from the earlier SST collection forecast of RM46.7 billion. On June 9, the government announced a targeted revision of the Sales Tax rates as well as expansion of the scope of the Service Tax, effective July 1, 2025. The Sales Tax rate remains unchanged for essential goods, while a rate of either five or 10 per cent applies to discretionary and non-essential goods. The scope of the Service Tax will be expanded to include new services such as leasing or rental, construction, financial services, private healthcare, education, and beauty services.
