Malaysian Customs Foil US$13 Million AI Chip Smuggling Bid
Customs said the shipment was mislabeled as computer components, and officers found chips worth RM52.9 million inside 72 servers.
- On June 5, authorities at Kuala Lumpur International Airport seized 72 servers containing advanced AI chips valued at 52.9 million ringgit that had been falsely declared as "computer components."
- Malaysia has increasingly tightened export and transhipment controls on high-performance chips of United States origin, with the Strategic Trade Act requiring permits for re-exporting such technology.
- Airport customs director Zulkifli Muhammad confirmed authorities are investigating a local logistics company, though he declined to identify the destination, stating servers were purportedly bound for re-export.
- Concurrently, authorities seized six boxes containing 4,760 vape liquid cartridges laced with methamphetamine, valued at 1.19 million ringgit, hidden within CPU casings.
- The United States has pressured Malaysia to stem the flow of advanced semiconductors to China, as authorities continue tracking illicit trade activities to prevent the nation from becoming a transit hub.
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AI Chips Worth $13 Million Seized At Malaysia's Kuala Lumpur Airport
Malaysia imposed export controls last year on the movement of high-performance chips of US origin, following pressure from the United States to stem the flow to China of chips crucial for the development of AI.
Malaysia intercepts $13M AI chip shipment bound for re-export
The shipment passed through Kuala Lumpur declared as ordinary computer components. Inside the 72 server units, Malaysian customs officers found something the paperwork did not mention: advanced artificial-intelligence chips worth 52.9 million ringgit, or about $13m, sitting in the airport’s free trade zone and waiting to move on. Malaysia’s customs department announced the seizure on […] This story continues at The Next Web
Malaysian customs foil US$13 million AI chip smuggling bid
SEPANG: Malaysian authorities foiled an attempt to smuggle advanced artificial intelligence chips through the country's main airport, customs officials said on Friday (Jun 26), in a case worth nearly US$13 million.A team raided Kuala Lumpur airport's free trade zone on Jun 5 and seized 72 servers that were re
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