Deputy Malaysian minister warns against tax evasion and urges regional solidarity for sustainable growth.
Malaysian Deputy Trade Minister Liew Chin Tong has urged ASEAN member states to align their tax policies with the global minimum tax (GMT). Speaking at the ASEAN Economic Opinion Leaders Conference on January 8, he highlighted the need for regional unity to foster sustainable growth and avoid the pitfalls of competitive tax cuts and low wages.
With global supply chains shifting and the adoption of the global minimum tax (GMT) underway, Malaysia’s Deputy Minister of Investment, Trade and Industry, Liew Chin Tong, has called for ASEAN member states to avoid tax evasion practices. His remarks, made in Kuala Lumpur on January 8, stressed the importance of regional collaboration to secure economic stability and long-term growth.
Liew emphasized that ASEAN must shift from export-led industrialization to creating a robust middle-class society. This transformation will position the region as a sizable consumer market, benefiting both local economies and multinationals.
The minister highlighted the need to reject unsustainable practices, such as cutting wages and offering excessive tax holidays, to attract foreign investment. He stressed the importance of adopting fair tax policies that align with the GMT framework.
Liew proposed ASEAN-wide investment projects to reinforce the regional supply chain. He warned against supply chain bifurcation driven by geopolitical tensions between the United States and China, advocating for ASEAN’s collaboration with the EU and the Global South.
The Johor-Singapore Special Economic Zone was cited as a potential role model for sustainable development. Liew underscored its capacity to attract joint investments and strengthen the region’s economic resilience.
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Liew reiterated ASEAN’s historical position of non-alignment, particularly relevant in today’s geopolitical climate. He called for stronger regional solidarity to ensure economic security and collective growth.
ASEAN’s commitment to a unified tax framework and sustainable growth benefits Singapore’s strategic position in the region. International investors can expect more stable and equitable conditions, fostering cross-border collaborations and economic opportunities.
Sources: Malay Mail, The Business Times (2025)
Keywords: ASEAN, Global Minimum Tax, Unite
