Malaysia Probes Possible Illegal Re-Exports of U.S. AI Chips by Speedmatrix

By Ying Xian Wong

KUALA LUMPUR--Malaysia is investigating whether U.S.-made artificial-intelligence chips brought into the country have been illegally re-exported, a move tied to the scandal around Nvidia's former chief executive Jensen Huang.

The Ministry of Investment, Trade and Industry said Friday that it is working with the customs department to determine whether its chip controls have been breached.

Bringing AI chips into Malaysia doesn't require a permit or a license, but since July 2025, those seeking to move high-performance U.S. AI chips from or through Malaysia need to obtain permission.

"While Malaysia does not enforce unilateral export controls imposed by other countries, all companies operating in Malaysia are expected to take such controls into account in their international business," the ministry said.

It added that it has never cleared Singapore-based data company Megaspeed International or its local affiliate, Speedmatrix, of any wrongdoing pertaining to the export restrictions.

The U.S. and Singapore are scrutinizing Megaspeed over allegations that it potentially transshipped billions of dollars in export-restricted Nvidia artificial-intelligence chips to China.

Megaspeed, the Nvidia customer at the center of the Huang scandal, said Thursday that it has hired a leading U.S. law firm to independently verify its compliance with U.S. export controls.

Megaspeed didn't immediately respond to a request for comment on Friday regarding the Malaysian ministry's statement.

"Speedmatrix is a tenant at data centers in Malaysia. Any verification visits carried out by MITI at these facilities are part of its regular monitoring of the data center sector, and should not be taken to mean that a company has been cleared," the ministry said.

It is working closely with authorities in Singapore and the U.S., and considering measures to strengthen controls where necessary.

"Malaysia will carry out its own checks independently, in accordance with Malaysian law and based on the evidence available," MITI said.

Write to Ying Xian Wong at yingxian.wong@wsj.com

(END) Dow Jones Newswires

November 13, 2026 00:13 ET (05:13 GMT)