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Malaysia to Tighten Semiconductor Regulations Amid US Pressure
U.S. Demands Stricter Monitoring of Chip Shipments
Malaysia is planning to tighten regulations on semiconductor shipments following pressure from the United States. The U.S. government has urged Malaysia to closely track the movement of high-end chips, particularly Nvidia’s AI processors, due to concerns that they may be ending up in China.
Trade Minister Confirms U.S. Concerns
Trade Minister Zafrul Aziz stated that the U.S. has requested Malaysia to monitor every shipment involving Nvidia chips. The goal is to ensure that AI servers reach their intended data centers and are not redirected elsewhere.
Investigation Into DeepSeek’s Use of U.S. Chips
Authorities in the U.S. are investigating whether Chinese AI company DeepSeek has gained access to restricted U.S. chips despite existing export controls. The company’s AI model gained attention in January for its impressive performance, raising concerns about its hardware sources.
Singapore Fraud Case Raises Further Questions
Malaysia is currently investigating whether local laws were breached in connection with a Singapore fraud case. The case, involving transactions worth $390 million, may have included unauthorized shipments of advanced AI chips. Singapore prosecutors suspect that these chips were intended for Chinese AI firms, including DeepSeek.
Malaysia Caught in U.S.-China Tech Dispute
As a major semiconductor hub, Malaysia finds itself in a difficult position between the two global powers. Stricter regulations could impact trade relations, while non-compliance risks straining ties with the U.S. The government’s next steps will be crucial in navigating this complex geopolitical landscape.
“Malaysia to Tighten Semiconductor Regulations Amid US Pressure”