Malaysia · Country watch

Road Law Changes; El Nino Pressures Fisheries

Malaysia enacts stricter road laws and faces El Nino challenges impacting fisheries and aquaculture.

Florent Kalfon · October 17, 2026 · 3 sources

The picture Mixed

Business conditions in Malaysia are mixed today. Stricter road laws impact logistics, while El Nino pressures fisheries. PMKS gain wage relief until June 2027.

In this briefing Ministry of Transport (Malaysia) · Road Transport Department (Malaysia) · Ramanan Ramakrishnan · Ministry of Human Resources (Malaysia) · Mohamad Sabu · Ministry of Agriculture and Food Security (Malaysia)

Regulation

logistics
public-sector
automotive

Road Transport Act amendments enforce stricter penalties

city buildings and roads during night time — qaz farid / Unsplash

The Road Transport Act (Amendment) 2026 comes into effect today, introducing harsher penalties for illegal racing and tonto activities. The Ministry of Transport (MOT) announced that the amendments to the Road Transport Act 1987 include 42 clauses aimed at strengthening enforcement and digitizing services of the Road Transport Department (JPJ), according to Utusan Online. This move is part of the government's effort to improve road safety and streamline transport services.

Impact Transport operators and logistics firms face stricter enforcement and penalties, affecting compliance costs.

Sources: utusen Online ↗

retail
manufacturing

PMKS exempt from minimum wage hike until June 2027

Micro, small, and medium enterprises (PMKS) with sales below RM50 million are exempt from the upcoming minimum wage increase, according to Kosmo!. Human Resources Minister Datuk Seri Ramanan Ramakrishnan announced that the exemption aims to give these enterprises time to adjust to the wage increase from RM1,700 to RM2,000, which will take effect in June 2027. This measure is intended to alleviate financial pressure on smaller businesses.

Impact PMKS with sales under RM50 million avoid immediate wage cost increases, easing financial strain.

Watch Minimum wage increase takes effect in June 2027. · 1 June 2027

Sources: Kosmo! ↗

Disruption

agriculture

El Nino impacts fisheries and aquaculture in Malaysia

El Nino is exerting pressure on fishermen and aquaculture operators in Malaysia, with temperatures exceeding 40 degrees Celsius, according to Kosmo!. Agriculture and Food Security Minister Datuk Seri Mohamad Sabu stated that the rising temperatures are expected to affect coastal fishermen's catches as fish migrate further offshore. This phenomenon could lead to reduced yields for both fishermen and aquaculture businesses, impacting their economic viability.

Impact Fishermen and aquaculture operators face reduced yields and economic pressure due to high temperatures.

Sources: Kosmo! ↗