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MITI's Portal

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Complaints &
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Trade in Services

Refers to cross border services transactions between Malaysia’s residents and non-residents (consistent with BOP statistics). Services could be delivered either with or without cross border physical movement of services suppliers and ... [read more]

Trade Barriers

Measures that governments or public authorities introduce to make imported goods or services less competitive than locally produced goods and services. [read more]

Trade Agreement

Wide ranging tax, tariff and trade treaty that often includes investment guarantees. The most common trade agreements are of the preferential and free trade types are concluded in order to reduce (or eliminate) tariffs, quotas and other trade ... [read more]

The ASEAN Charter

The legal and institutional framework of ASEAN for a mutual interests, common desire, collective will to live in a region of lasting peace, security and stability, principles of democracy, rule of law and good governance, respect and human rights ... [read more]

Tariff Simplification

The conversion of non-ad valorem duties into simple ad-valorem duties. [read more]

Tariff Peaks

Relatively high tariffs, usually on “sensitive” products, amidst generally low tariff levels. For developed countries, tariffs of 15% and above are generally recognised as “tariff peaks”. [read more]

Tariff Line

Description of a single product in a national tariff schedule, together with the applicable tariff/duty rate. [read more]

Tariff Escalation

Low tariffs for raw or unfinished materials, somewhat higher for semi-finished products and highest for finished products. Generally adopted by industrialized countries to restrict import of finished goods from developing countries.  [read more]

Tariff / Duty

Customs duties on merchandise imports. Levied either on an ad valorem basis (percentage of value) or on a specific basis (e.g. $7 per 100 kgs.). Tariffs give price advantage to similar locally-produced goods and raise revenues for the government. [read more]

Tariff Capping

The maximum duty allowed after applying the formula for tariff reduction. [read more]

Swiss Formula

 A ‘non-linear formula’ which reduces high tariffs, tariff peaks and tariff escalations. Higher tariffs will be subject to greater reductions compared to lower tariffs. A smaller coefficient would result in a deeper cut compared to ... [read more]

Sustainable Growth

A term much used by environmentalists, meaning economic growth that can continue in the long term without non-renewable resources being used up or pollution becoming intolerable. Mainstream economists use the term, too, to describe a rate ... [read more]

SITS Components

International trade in services is classified broadly into 12 components: Manufacturing services on physical inputs owned by others It covers fees charged by the processor to owner of the goods for manufacturing activities done (i.e., processing, ... [read more]

Single Undertaking

Nothing is agreed, until everything is agreed. Members must accept the results of trade negotiations in all areas instead of being able to selectively accept parts of the negotiations (contrast with early harvest). [read more]

Stockholm Convention

A global treaty to protect the human health and environment from chemicals that remain intact in the environment for long period of time. [read more]