According to Bloomberg, Malaysia’s Ministry of Investment, Trade and Industry (MITI) is examining the logistics pathways and compliance status of AI components imported by Speedmatrix, a subsidiary of Singapore-based Megaspeed International.

Megaspeed, headquartered in Singapore, has faced scrutiny over allegations that it served as a backdoor channel funneling NVIDIA AI technology to China after Washington imposed strict export barriers. Alice Hwang, who previously held an executive role at Megaspeed, is central to the discussion. Through Speedmatrix—founded in 2024—Megaspeed reportedly brought in at least $4.6 billion in NVIDIA hardware.

While MITI noted that basic entry of AI chips into Malaysia does not require an initial permit, regulations enacted in July of last year mandate official prior approval for any subsequent export, re-export, transshipment, or transit of advanced U.S. semiconductors through Malaysian territory. Officials stressed that submitting fraudulent details to customs is a serious legal offense. Malaysia has actively tightened these oversight measures to align with U.S. efforts aimed at curbing restricted hardware from reaching Chinese markets.

The Malaysian trade ministry confirmed it is working alongside customs, alongside U.S. and Singaporean regulators, to verify the final destinations of the imported chips and assess potential policy breaches. Additional enforcement steps remain under consideration.

Meanwhile, Megaspeed has faced separate inquiries in Singapore since last year concerning discrepancies in export declarations for server shipments. Singaporean investigators suspect that server hardware allegedly bound for Malaysia ultimately ended up elsewhere.

The investigation follows previous reporting by U.S. tech publication The Information, which alleged that Hwang utilized her personal connection with the former NVIDIA leader to facilitate access for Chinese technology giants to roughly 240,000 NVIDIA AI processors, valued at a minimum of $7.5 billion.

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