Digital Cross-Border Trade Between Malaysia and ASEAN: A Comparative Digital Economy Framework Agreement (DEFA) Analysis
Main Article Content
Abstract
The rapid growth of the digital economy in Southeast Asia presents new opportunities for cross-border trade, particularly under the emerging ASEAN Digital Economy Framework Agreement (DEFA). This paper explores Malaysia’s readiness to engage in digital cross-border trade with ASEAN partners, focusing on policy alignment, infrastructure and institutional preparedness among others. Using a comparative policy matrix across six DEFA pillars namely data governance, digital payments, electronic transactions, cybersecurity, e-commerce facilitation, and digital inclusion; the study benchmarks Malaysia’s existing performance and readiness against ASEAN peers including Singapore, Indonesia, Thailand, and Vietnam.
Downloads
Article Details
This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.
https://creativecommons.org/licenses/by-sa/4.0/
References
Asian Development Bank (ADB). (2022). Unlocking SME E-commerce Potential in ASEAN. Available at https://www.adb.org/publications/series/asia-small-medium-sized-enterprise
ASEAN Secretariat. (2023). ASEAN Digital Economy Framework Agreement (DEFA). Available at https://asean.org/wp-content/uploads/2023/10/ASEAN-Digital-Economy-Framework-Agreement
ASEAN Portal (2025). ASEAN Digital Integration Framework Action Plan (DIFAP) 2019-2025. Available at https://asean.org/wp-content/uploads/2021/01/ASEAN-Digital-Integration-Framework
Bain. (2023). e-Conomy SEA 2023 Report. Available at https://www.bain.com/insights/e-conomy-sea-2023/
Banga, R., & Macleod, J. (2023). Data Policies and Digital Trade in Asia. UNESCAP.
Bank Negara Malaysia. (2022). Interoperable QR Code Payment Linkages in ASEAN.
Das, K., & Singh, R. (2022). “Digital Trade Integration in ASEAN: Progress and Pitfalls,” Journal of Asian Economic Integration, 4(2), 102–120.
Economic Planning Unit (EPU). (2021). MyDIGITAL: Malaysia Digital Economy Blueprint. Available at https://ekonomi.gov.my/en/resources/publications/malaysia-digital-economy-blueprint
InfoComm Media Development Authority (IMDA). (2021). Singapore and The United Kingdom Substantially Conclude Negotiations on A Digital Economy Agreement. Available at https://www.imda.gov.sg/resources/press-releases-factsheets-and-speeches/press-releases/2021/ singapore-and-the-united-kingdom-substantially-conclude-negotiations-on-a-digital-economy-agreement
IMD. (2023). World Digital Competitiveness Ranking 2023.. Available at https://www.imd.org/reports/annual-report/2023/world-competitiveness-center
Lim, H., & Teh, C. (2021). “Malaysia’s Digital Trade Aspirations in ASEAN,” Asian Economic Policy Review, 16(1), 87–106.
Malaysia Digital Economy Corporation (MDEC). (2018). Digital Free Trade Zone (DFTZ) Overview.
MATRADE (2025). MADANI Digital Trade Connecting Malaysia Business to Global Opporutnities Amid Market Volatility. Available at https://www.matrade.gov.my
MDEC. (2023). Malaysia’s Digital Economy: Performance and Outlook. Available at https://mdec.my
Meltzer, J. (2019). Governing Digital Trade: Towards Policy Coherence. World Trade Review. Axailable at https://www.cambridge.org/core/journals/world-trade-review
Ministry of International Trade and Industry (MITI). (2021). National eCommerce Strategic Roadmap 2.0. Available at https://www.miti.gov.my
Ministry of Trade and Industry (MTI). (2025). Digital Economy Partnership Agreement (DEPA). Available at https://www.mti.gov.sg/Trade/Digital-Economy-Agreements/The-Digital-Economy-Partnership-Agreement
OECD. (2019). Going Digital: Shaping Policies, Improving Lives. Available at https://www.oecd.org/en/publications/going-digital-shaping-policies-improving-lives
OECD. (2019). Measuring the Digital Transformation: A Roadmap for the Future. Available at https://www.oecd.org/en/publications/the-oecd-going-digital-measurement-roadmap
UNCTAD. (2021). Digital Economy Report: Cross-border Data Flows and Development. Available at https://unctad.org/publication/digital-economy-report-2021
World Bank. (2021). Digital Trade in Southeast Asian: Opportunities and Challenges. Available at https://documents.worldbank.org/documents-digital
World Bank. (2021). ASEAN Digital Trade Integration: Framework and Policy Toolkit. Available at https://documents.worldbank.org/document-digital
WTO. (2020). E-Commerce in the WTO: Status and Next Steps. Available at https://www.wto.org
Yean, T.S. (2022). “Bridging Gaps in Malaysia’s Digital Trade Policies,” ISEAS Perspective, 2022/43. Available at https://www.iseas.edu.sg