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New E-Commerce Bill in Malaysia to Reclassify Affiliates for Fairer Marketplace

Malaysia is set to introduce an e‑commerce bill that explicitly defines the roles of all stakeholders—most notably, differentiating online marketing affiliates from sellers—to create a fairer and more transparent digital marketplace.

Deputy Minister of Domestic Trade and Cost of Living, Datuk Dr Fuziah Salleh, said that insights from recent engagement sessions emphasized the need to acknowledge affiliates as a separate legal category. “Previously, affiliates were classified as sellers, but they do not own the products—consumers should not hold them accountable as such,” she said . Recognizing this distinction is central to promoting fairness and accountability across the ecosystem.

Fuziah noted that precise role definitions are essential for enhancing consumer protection, improving transparency among service providers, and ensuring a more equitable marketplace.

According to media reports, the bill is anticipated to be tabled in the Dewan Rakyat in March 2026.

Highlighting the urgency behind the reform, Fuziah shared that e‑commerce complaints remain among the top issues received by the ministry. As of July 31, there were 4,809 reported incidents, joining 14,211 in 2023 and 10,486 in 2024. The complaints most frequently involved undelivered items, mismatched product descriptions, misleading ads, counterfeit goods, and sellers using fake identities.

These persistent and growing complaint levels underline the pressing need for an updated, more effective e-commerce legal framework.

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  • Bernard is a social activist dedicated to championing community empowerment, equality, and social justice. With a strong voice on issues affecting grassroots communities, he brings insightful perspectives shaped by on-the-ground advocacy and public engagement. As a columnist for The Ledger Asia, Bernard writes thought-provoking pieces that challenge norms, highlight untold stories, and inspire conversations aimed at building a more inclusive and equitable society.

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