Main competitors of Vietnamese goods in Malaysia
Malaysia’s largest import sources
Thanks to geographical proximity and favorable trading conditions, countries and territories in Asia are Malaysia’s main sources of imported goods. According to ITC Trade Map, in 2025 imports from Asian countries accounted for more than 75% of Malaysia’s total import turnover. Notably, among Malaysia’s top 10 import partners, as many as 8 economies were from Asia, contributing about 70% of total import value, clear evidence of Malaysia’s strong trade dependence on and linkage with the region.
China is Malaysia’s largest import partner, accounting for more than 24% of total import turnover, followed by Singapore with a 10.5% share. Malaysia also imports heavily from sources such as the United States, Taiwan (China), Japan, and Indonesia. Viet Nam is Malaysia’s ninth-largest import partner, with a 2.5% share.
At present, the major import partners dominate the Malaysian market in many key product groups such as machinery, electrical equipment, and industrial raw materials. Notably, many countries such as China and Singapore, strong economies in the region, not only possess superior competitiveness but also have export structures similar to Viet Nam’s. As a result, Vietnamese goods face very strong competitive pressure when entering this market.
Table: Malaysia’s top 10 import partners in 2025
|
No. |
Import Partners |
Total imports 2025 of Malaysia (billion USD) |
Share in Malaysia's total imports |
|
1 |
China |
82.39 |
24.3% |
|
2 |
Singapore |
35.70 |
10.5% |
|
3 |
Taiwan (China) |
33.91 |
10% |
|
4 |
United States |
30.89 |
9.1% |
|
5 |
Japan |
15.56 |
4.6% |
|
6 |
Republic of Korea |
15.07 |
4.4% |
|
7 |
Indonesia |
14.63 |
4.3% |
|
8 |
Thailand |
12.73 |
3.8% |
|
9 |
Viet Nam |
8.62 |
2.5% |
|
10 |
Germany |
7.13 |
2.1% |
Source: ITC Trade Map, 2026
FTA partners
As of the end of 2024, Malaysia had signed and implemented a total of 16 free trade agreements (FTAs) with more than 20 economies worldwide. Most of these partners are in Asia, such as ASEAN, China, the Republic of Korea, and Japan. This creates an increasingly intense competitive environment for Vietnamese goods exported to this market.
Table: Summary of Malaysia’s FTAs as of end-2024
|
No. |
FTA |
Effective date |
|
1 |
ASEAN Free Trade Area (AFTA) |
1993 |
|
2 |
ASEAN-China Free Trade Agreement (ACFTA) |
01/7/2003 |
|
3 |
ASEAN-Republic of Korea Free Trade Agreement (AKFTA) |
01/7/2006 |
|
4 |
Malaysia-Japan Economic Partnership Agreement (MJEPA) |
13/7/2006 |
|
5 |
Malaysia-Pakistan Close Economic Partnership Agreement (MPCEPA) |
01/01/2008 |
|
6 |
ASEAN-Japan Comprehensive Economic Partnership Agreement (AJCEP) |
01/02/2009 |
|
7 |
ASEAN-Australia-New Zealand Free Trade Agreement (AANZFTA) |
01/01/2010 |
|
8 |
ASEAN-India Free Trade Agreement (AIFTA) |
01/01/2010 |
|
9 |
Malaysia-New Zealand Free Trade Agreement (MNZFTA) |
01/08/2010 |
|
10 |
Malaysia-India Comprehensive Economic Cooperation Agreement (MICECA) |
01/07/2011 |
|
11 |
Malaysia-Chile Free Trade Agreement (MCFTA) |
25/02/2012 |
|
12 |
Malaysia-Australia Free Trade Agreement (MAFTA) |
01/01/2013 |
|
13 |
Malaysia-Turkey Free Trade Agreement (MTFTA) |
01/08/2015 |
|
14 |
ASEAN-Hong Kong, China Free Trade Agreement (AHKFTA) |
13/10/2019 |
|
15 |
Regional Comprehensive Economic Partnership (RCEP) |
18/03/2022 |
|
16 |
Comprehensive and Progressive Trans-Pacific Partnership Agreement (CPTPP) |
29/11/2022 |
Source: Ministry of Investment, Trade and Industry (MITI), 2025
Source: Center for WTO and International Trade - VCCI
