What happened?
India and Malaysia held a ministerial-level bilateral meeting in New Delhi on March 18, 2025, to enhance trade and economic cooperation. Union Minister of State for Commerce & Industry and Electronics & Information Technology Jitin Prasada met with Malaysian Deputy Minister of Investment, Trade, and Industry Liew Chin Tong. The two sides discussed the ongoing review of the ASEAN-India Trade in Goods Agreement (AITIGA) and committed to expediting its conclusion by 2025. Key outcomes included agreements on boosting bilateral trade, market access, collaboration in the semiconductor industry, and cooperation in services. Both sides also addressed issues related to the Foreign Manufacturers Certification Scheme (FMCS) under the Bureau of Indian Standards (BIS).
Why it matters to India
The meeting strengthens India’s trade ties with Malaysia, its third-largest ASEAN trading partner, with bilateral trade reaching USD 20.02 billion in 2023-24. Expediting the AITIGA review is crucial for enhancing India’s access to ASEAN markets, reducing trade barriers, and boosting exports. Cooperation in semiconductors and services aligns with India’s goal of becoming a global technology hub, while resolving trade issues under BIS regulations will streamline certification processes, benefiting Indian exporters.
