Kuala lumpur: Malaysia is expected to host the second round of negotiations for the Malaysia-European Union Free Trade Agreement (MEUFTA) in November 2025, according to the Ministry of Investment, Trade and Industry (MITI).
According to BERNAMA News Agency, the ministry revealed that the first round of MEUFTA talks took place in Brussels, Belgium, from June 30 to July 4, 2025. The negotiations currently cover 21 chapters with the European Union (EU). MITI noted that, besides traditional chapters such as trade in goods, rules of origin, customs and trade facilitation, services, and investment, the FTA with the EU would also include new chapters on sustainable food systems and trade and sustainable development-topics not included in the initial discussions that began in 2010.
The information was disclosed in a written reply published on the Parliament website, responding to a query by Datuk Seri Hasni Mohammad (BN-Simpang Renggam) on whether MITI plans to resume FTA talks with the EU and the Gulf Cooperation Council (GCC), and the targeted focus areas.
MITI further reported that bilateral trade between Malaysia and the EU reached RM218.9 billion in 2024, with exports totalling RM115.8 billion and imports RM103.1 billion. Major exports to the EU included electrical and electronic products, manufactured goods, palm oil and related products, processed foods, and optical and scientific equipment.
From 2021 to 2024, the total approved investments from EU countries in Malaysia’s manufacturing and services sectors, overseen by the Malaysian Investment Development Authority (MIDA), amounted to RM198.2 billion.
On the Malaysia-GCC FTA front, Malaysia signed a joint statement with the GCC on May 26, 2025, to initiate negotiations on an FTA between the two entities. The first round of negotiations is scheduled for September 2025.
In 2024, bilateral trade between Malaysia and the GCC reached RM101.8 billion, with exports amounting to RM25.7 billion and imports RM76.1 billion. Key exports to the GCC included electrical and electronic products, jewellery, petroleum products, palm oil and related goods, and processed food.
The Malaysia-GCC FTA aims to focus on trade in goods, rules of origin, customs and trade facilitation, services, investment, digital economy, and broader economic cooperation. This initiative is expected to strengthen strategic trade and investment ties, offering Malaysia greater export market access in GCC countries. MITI anticipates that this will bolster the position of Malaysian companies in global supply chains and help reduce the trade deficit between the two economies.
From 2021 to 2024, approved investments from GCC countries in Malaysia’s manufacturing and services sectors under MIDA totalled RM105.9 million.