Sabah Trades Licensing Ordinance (Sabah Cap. 144)
Companies Act 2016 [Act 777]
General Guidelines for Registration of Limited Liability Partnership
2. Sector : All sectors
Subsector:
Level of Government : Central
Obligations Concerned: National Treatment, Senior Management and Board of Directors
Description : At least one director of a private company incorporated in Malaysia shall ordinarily reside in Malaysia by having a principal place of residence in Malaysia. At least two directors of a public company incorporated in Malaysia shall ordinarily reside in Malaysia by having a principal place of residence in Malaysia.
Source of Measures : Companies Act 2016 [Act 777]
3. Sector : Fisheries
Subsector : Marine capture fisheries
Level of Government : Central and Regional
Obligations Concerned : National Treatment, Most-Favoured-Nation Treatment
Description : No foreign fishing vessel shall load or unload any fish, fuel, or supplies, or tranship any fish, or fish or attempt to fish or conduct any techno- economic research or waters survey of any fishery, in Malaysian fisheries waters (1) unless authorised to do so.
An application for a permit to be issued in respect of a foreign fishing vessel to fish in Malaysian fisheries waters shall be made through a Malaysian agent who shall undertake legal and financial responsibility for the activities to be carried out by such vessel.
For the purposes of this entry, "fishing vessel" means any boat, craft, ship or other vessel which is used or equipped to be used for, or of a type used for:
(a) fishing; or
(b) aiding or assisting other boat, craft, ship or other vessel in the performance of any activity related to fishing, including any of the activities of preparation, processing, refrigeration, storage, supply or transportation of fish.
Source of Measures : Fisheries Act 1985 [Act 317]
Lembaga Kemajuan Ikan Malaysia Act 1977 [Act 49]
Exclusive Economic Zone Act 1984 [Act 311] Continental Shelf Act 1966 [Act 83]
4. Sector : Manufacturing
Subsector:
Level of Government : Central and Regional
Obligations Concerned: National Treatment
Description: Foreign equity is restricted to no more than 30 per cent for the manufacture of batik fabric and apparel of batik.
Source of Measures : Industrial Co-ordination Act 1975 [Act 156] Administrative Guidelines
5. Sector : Manufacturing
Subsector:
Level of Government : Central and Regional
Obligations Concerned: Prohibition of Performance Requirements
Description :
(a) Companies located within the Licensed Manufacturing Warehouse (LMW) and Free Industrial Zone (FIZ) are subject to export requirements.
(b) Companies engaging in petroleum refining activities are subject to export requirements.
(c) Expansion projects will be considered only for existing independent palm oil refineries which source 100 per cent from their own plantations. For Sabah and Sarawak, a manufacturing licence will only be considered for new integrated projects which source 50 per cent of crude palm oil from their own plantations. Integrated projects refer to projects with own plantations.
(d) For pineapple canning, approval will only be granted for projects which source 100 per cent supply from their own plantations.
Source of Measures :
Industrial Co-ordination Act 1975 [Act 156]
Customs Act 1967 (Revised 1980) [Act 235]
Free Zone Act 1990 [Act 438]
Petroleum Development Act 1974 [Act 144]
Pineapple Industry (Cannery Control) Regulations (Amendment) 1989
Pineapple Industrial Act 1957 (Revised 1990) [Act 427]
Administrative Guidelines
6. Sector : All sectors
Subsector:
Level of Government : Regional
Obligations Concerned : Prohibition of Performance Requirements
Description: Adoption of a given rate or amount of royalty under a license contract may be subject to approval by the relevant State authority.
Source of Measures : Policies and Ministerial Statements Administrative Guidelines
LIST B. EXPLANATORY NOTES
1. This List B sets out, pursuant to Article 13 (Reservations and Non-Conforming Measures) of Chapter 11 (Investment), the specific sectors, subsectors or activities for which Malaysia may maintain existing, or adopt new or more restrictive, measures that do not conform with obligations imposed by:
(a) Article 3 (National Treatment) of Chapter 11 (Investment);
(b) Article 4 (Most-Favoured-Nation Treatment) of Chapter 11 (Investment);
(c) Article 5 (Senior Management and Board of Directors) of Chapter 11 (Investment); or
(d) Article 6 (Prohibition of Performance Requirements) of Chapter 11 (Investment).
2. Each entry in this List B sets out the following elements:
(a) Sector refers to the sector for which the entry is made;
(b) Subsector, where referenced, refers to the specific subsector for which the entry is made;
(c) Obligations Concerned specifies the obligations referred to in paragraph 1 that, pursuant to Article 13 (Reservations and Non- Conforming Measures) of Chapter 11 (Investment), do not apply to the sectors, subsectors, or activities, listed in the entry;
(d) Description sets out the scope of the sectors, subsectors or activities, covered by the entry; and
(e) Existing Measures where specified, identifies, for transparency purposes, a non-exhaustive list of existing measures that apply to the sectors, subsectors or activities covered by the entry.
3. In accordance with Article 13 (Reservations and Non-Conforming Measures) of Chapter 11 (Investment), the Articles of this Agreement specified in the Obligations Concerned element of an entry do not apply to the sectors, subsectors and activities, identified in the Description element of that entry.
4. For greater certainty, where Malaysia has more than one eniry in this List B that could apply to a measure, each entry is to be read independently, and is without prejudice to the application of any other entry to the measure.
5. The Schedules of other Parties shall not be used to interpret Malaysiaâs commitments or obligations under Chapter 11 (Investment).
6. With respect to the entries in this List B on Most-Favoured-Nation Treatment relating to bilateral or multilateral international agreements, the absence of language regarding the scope of the reservation for differential treatment resulting from an amendment of those bilateral or multilateral international agreements in force or signed after the date of entry into force of the Second Protocol is without prejudice to Malaysia's interpretation of the scope of that reservation.
1. Sector: Land and real estate
Subsector:
Obligations Concerned: National Treatment, Most-Favoured-Nation Treatment, Prohibition of Performance Requirements
Description: Acquisitions or dealings of land or activities on land by non-citizens and juridical persons owned by foreign nationals must be approved by the relevant state authority, subject to such conditions and restrictions as may be imposed by that authority.
Existing Measures:
Federal Constitution
Land Acquisition Act 1960 [Act 486] Land Conservation Act 1960 [Act 385] National Land Code [Act 56 of 1965]
Federal Lands Commissioner Act 1957 (Revised 1988) [Act 349]
National Land Code (Penang and Malacca Titles) Act 1963 [Act 518]
Strata Titles Act 1985 [Act 318] Strata Management Act 2013 [Act 757]
Federal Lands Commissioner Act 1957 (Revised 1988) [Act 349]
Land (Group Settlement Areas) Act 1960 [Act 530]
Malay Reservations Enactment 1933 [F.M.S. Cap. 142]
Malay Reservations Enactment 1930 [Enactment 29]
Kelantan Malay Reservations Enactment 1930 [No.18 of 1930]
Kelantan Land Settlement Act 1955 (Revised 1991) [Act 460]
Perlis Malay Reservations Enactment 1935 [No. 7 of 1353]
Perlis Land Settlement Enactment 1966 [No. 16 of 1966]
Johore Malay Reservation Enactment 1936 [No. 1 of 1936]
Terengganu Malay Reservation Enactment 1360 [No. 17 of 1360]
Terengganu Settlement Enactment 1356 [No. 65 of 1356]
Malay Reservations (Selangor) (Amendment) Enactment No. 15/1961
Malay Reservations (Selangor) (Amendment) Enactment No. 7/1985
Customary Land Enactment 1926 [Cap. 215]
Customary Tenure (Lengkongan Land) Enactment 1960 [No. 4 of 1960]
Undang of Rembau (Lands) Enactment 1949 [No. 2 of 1949]
Sabah Land Ordinance [Sabah Cap. 68]
Sabah Land Acquisition Ordinance [Sabah Cap. 69]
Sarawak Land Code 1958 [Chapter 81] (1958 Edition)
Local Government Act 1976 [Act 171]
Town and Country Planning Act 1976 [Act 172] Federal Territory (Planning) Act 1982 [Act 267] Federal Capital Act 1960 [Act 190]
Street, Drainage and Building Act 1974 [Act 133]
2. Sector: All sectors
Subsector:
Obligations Concerned: National Treatment, Most-Favoured-Nation Treatment, Senior Management and Board of Directors, Prohibition of Performance Requirements
Description: Malaysia reserves the right to adopt or maintain any measure affecting the:
(a) full or partial devolvement to the private sector of services provided in the exercise of governmental authority;
(b) divestment of its equity interests in, or the assets of, a juridical person that is wholly or partially owned by the Government of Malaysia; and
(c) privatisation of government-owned entities or assets.
Existing Measures:
Minister of Finance (Incorporation) Act 1957 [Act 375]
Companies Act 2016 [Act 777] Privatisation Master Plan Guidelines on Privatisation Bursa Listing Requirements
3. Sector: All sectors
Subsector:
Obligations Concerned: National Treatment, Most-Favoured-Nation Treatment, Senior Management and Board of Directors Prohibition of Performance Requirements
Description: Malaysia reserves the right to adopt or maintain any measure relating to Bumiputera, Bumiputera status companies, trust companies and institutions, to meet development and social economic policy objectives.
Existing Measures:
Federal Constitution
Policies and Ministerial Statements Treasury Instructions
Treasury Circulars
New Economic Policy (NEP) National Development Policy (NDP)
Bumiputera Development Action 2030 (TBP2030)
4. Sector: All sectors
Subsector:
Obligations Concerned: National Treatment
Description: Malaysia reserves the right to adopt or maintain any measure relating to national and state unit trusts. This includes unit trust schemes that are created or operated to pursue public policy objectives relating to Bumiputera or affirmative action for the socially disadvantaged.
Existing Measures
5. Sector: Mining and quarrying
Subsector: Oil and Gas
Obligations Concerned: National Treatment, Most-Favoured-Nation Treatment, Senior Management and Board of Directors, Prohibition of Performance Requirements
Description: Petroliam Nasional Berhad (PETRONAS) and its successor are vested with the entire ownership in, and the exclusive rights, powers, liberties and privileges, which shall be irrevocable, in exploring, exploiting, winning and obtaining petroleum, whether onshore or offshore of Malaysia.
PETRONAS and its successor reserve the right to adopt or maintain any measure relating to the oil and gas upstream industry including related activities.
Existing Measures:
Petroleum Development Act 1974 [Act 144] Other Implementing Measures
6. Sector : All sectors
Subsector:
Obligations Concerned : Most-Favoured-Nation Treatment
Description :
1. Malaysia reserves the right to adopt or maintain any measure that accords more favourable treatment to any investor under any bilateral or multilateral international agreement in force or signed prior to the date of entry into force of the Second Protocol. (2)
Malaysia reserves the right to adopt or maintain any measure that accords differential treatment to Member States of ASEAN under any ASEAN agreement open to participation by any Member State of ASEAN, in force or signed after the date of entry into force of the Second Protocol.
2. With regard to the sectors listed below, Malaysia reserves the right to adopt or maintain any measures relating to investment that accords tights, preferences and differential treatment to countries under any international agreement in force or signed after the date of entry into force of the Second Protocol:
(a) Aviation Matters;