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Australia-Malaysia Free Trade Agreement Negotiations

Overview

On 7 April 2005, Australia and Malaysia agreed to launch negotiations on a bilateral Free Trade Agreement (FTA). Negotiations were paused in early 2007 to allow both sides to focus on finalising the ASEAN-Australia-New Zealand FTA, which was concluded in August 2008 and signed in February 2009. The Minister for Trade, Mr Crean, and former Malaysian Minister for International Trade and Industry, Mr Muhyiddin, announced the resumption of bilateral FTA negotiations in October 2008.

Malaysia is an important economic partner and regional neighbour for Australia. It ranks as our third largest trading partner in ASEAN and our eleventh largest trading partner overall. Two-way trade between our two countries has grown steadily in recent years and in 2008 stood at $12.9 billion.

The decision to begin negotiations on an FTA builds on our already strong and broad-ranging bilateral relationship. It also follows consideration by our respective governments of comprehensive scoping studies into the likely impact of a bilateral economic agreement which suggest that an FTA between Australia and Malaysia will deliver substantial benefits to both countries.

The Australian Scoping Study was conducted in consultation with a wide range of Industry, State and Territory, and non-government groups, and it concluded that an FTA would deliver significant benefits to both countries.

Updates

Scoping Study

Australian Scoping Study: An Australia-Malaysia FTA

The study suggests that an agreement would increase Australia’s GDP by $1.9 billion over the period to 2027. Malaysia’s GDP would increase by RM18.3 billion (around $6.5 billion) over the same period. Malaysia gains more as the economy with higher trade barriers and a higher ratio of trade to GDP.

Submissions

The Department of Foreign Affairs and Trade continues to welcome submissions from individuals or groups on issues relevant to the negotiation of an FTA with Malaysia. In particular, information is sought on specific market access or other issues that affect trade and investment. Stakeholder submissions and comments will inform continued development of the Australian Government’s negotiating position and approach to the negotiations. Submissions need not be lengthy, and may build on or refer to earlier submissions.

All submissions will be made publicly available on the DFAT website unless the author specifies that all or part of the submission should not be made available to the public.

Submissions or comments may be submitted by email to malaysia.fta@dfat.gov.au or by post to the following address:

Free Trade Agreement Division
Department of Foreign Affairs & Trade
RG Casey Building
John McEwen Crescent
BARTON ACT 0221

» For more information refer to the General Guidance on Preparing Submissions.

Additional Information

Doing Business in Malaysia

For more information on doing business in Malaysia and about specific export opportunities, go to the Austrade website. As well as country-specific information, the Austrade website also has a database that can be searched by industry.

Contact Us

Free Trade Agreement Division:

Email: malaysia.fta@dfat.gov.au
Fax:(02) 6261 2187

Free Trade Agreement Division
Department of Foreign Affairs & Trade
RG Casey Building
John McEwen Crescent
BARTON ACT 0221

For media enquiries, please call DFAT's Media Liaison Section: (02) 6261 1555.