Kuala lumpur: The British High Commission Kuala Lumpur has announced the commencement of negotiations on a new digital trade agreement (DTA) between the United Kingdom (UK) and Malaysia. The agreement aims to simplify digital trade with Malaysia, making it more cost-effective and secure by facilitating cross-border data flows and reducing paperwork and border friction through digital systems. It also seeks to ensure robust protections for personal data, intellectual property, online consumers, and cybersecurity.

According to BERNAMA News Agency, the DTA is designed to enhance international digital and tech cooperation by supporting responsible innovation in sectors like artificial intelligence (AI) and data. It aims to form new partnerships that will improve supply chain efficiency, infrastructure, and global competitiveness. UK Trade Minister Chris Bryant highlighted the significance of the negotiations, stating that a UK-Malaysia digital trade agreement could open up new opportunities for British businesses, support high-skilled jobs, and help UK firms to remain competitive in tech-driven markets.

The British High Commission noted that the UK is a global leader in digital trade, with a strengthening trading relationship with Malaysia valued at £6.4 billion by 2025. In 2023, the UK exported £730 million worth of digitally delivered services to Malaysia. Furthermore, the Organisation for Economic Co-operation and Development (OECD) reported that exports to Malaysia supported 31,100 UK jobs in 2022.