KUALA LUMPUR (June 5): Jatronics Sdn Bhd, recently sanctioned by the US, is not a registered company under the Strategic Trade Act (STA) 2010 that regulates the trade of items that could potentially be used to develop sophisticated military weapons, the Ministry of Investment, Trade and Industry (Miti) said on Wednesday.

“Based on records, Jatronics is not a registered company under the STA, and has not applied for export permits,” the ministry said.

The statement came after Jatronics was added to the US unilateral sanction list for allegedly supplying electronic components to Russian firms linked to the military-industrial complex.

According to Miti, the move was part of the US’ broader sanctions targeting 300 entities from various countries, including China, Belgium, Türkiye, Slovakia and the United Arab Emirates, in relation to the Russia-Ukraine conflict.

Miti also said Malaysia adheres to multilateral sanctions, and adopts the “restricted or prohibited end-user list” under the United Nations Security Council Resolutions (UNSCR).

“Russia has not been listed by the UNSCR, and therefore is not included under the STA,” the ministry added.

For context, the STA was enacted after the UN Security Council passed a resolution in 2004, which required member states to establish an export control system for the non-proliferation of weapons of mass destruction.

Furthermore, Miti clarifies that Jatronics is not a semiconductor manufacturer, but a trading company primarily engaged in the trading and wholesale of semiconductor and fabrication services.

The ministry further urged exporters to remain alert and stay informed of any trade-restrictive measures and unilateral sanctions imposed by major trading partners.

“Miti has been engaging with the US Embassy in Kuala Lumpur on US unilateral sanctions, while continuing to enhance the monitoring of international trade dealings with Malaysian exporters and manufacturers,” it said.

Miti said it will continue its regular engagement with key trading partners to address concerns, and clarify Malaysia’s neutral stance.