Malaysia's Minister of Finance gazetted P.U. (A) 25/2026, the Customs (Prohibition of Imports) (Amendment) (No. 2) Order 2026, on 14 January 2026, taking effect 15 January 2026. The order adds ammonium nitrate and potassium nitrate to the list of goods subject to import licensing under the Customs (Prohibition of Imports) Order, requiring importers to obtain an approved permit before bringing either chemical into Malaysia. Both compounds have legitimate fertilizer and industrial uses but are also recognised explosive precursors, and the measure is administered as a dual-use/security-sensitive chemical control rather than a straightforward agricultural-input tariff. Global Trade Alert lists Canada, China and Germany among the trade partners affected by the new licensing gate.

Analyst notesShow

Mechanism

Ammonium nitrate and potassium nitrate are dual-use compounds: both are nitrogen-based fertilizer inputs and both are listed explosive precursors (ammonium nitrate in particular is the classic ANFO/IED precursor). Malaysia's Customs (Prohibition of Imports) Order already gates a range of security- sensitive chemicals behind an approved-permit (AP) regime administered jointly by the Ministry of Finance/Customs and the relevant technical agency; this amendment folds the two nitrates into that regime rather than creating a standalone licensing track. The order does not ban imports outright — it converts them from open-general-licence goods to permit-gated goods, adding approval lead time and paperwork for importers (fertilizer blenders, mining services firms that use ammonium nitrate as a blasting-agent input, and industrial chemical distributors).

Downstream implications

Adds friction (not a ban) to Malaysia's ammonium/potassium nitrate import

channel; blasting-agent supply for the mining and quarrying sector and nitrogen-fertilizer blending for local agriculture are the most exposed downstream users.

Consistent with a broader regional pattern (Singapore's SPF explosive-

precursor licence, similar EU/UK controls) of tightening the import side of ANFO-precursor chemicals for security rather than trade-protection reasons.

Watch whether Malaysia extends the same approved-permit treatment to other

explosive precursors (e.g., other nitrate salts, hydrogen peroxide concentrations) in subsequent Prohibition of Imports amendments — GTA already logs a No. 3 Order (P.U. (A) 151/2026) later in 2026 worth checking for scope creep.

Open questions

Which technical agency (Royal Malaysia Police / JAKIM-equivalent explosives

authority vs. a MITI-style trade permit desk) actually issues the approved permit day-to-day — the gazette order names the legal instrument but not the operational licensing counter.

Whether the licensing requirement was prompted by a specific security

incident (illegal-mining ANFO diversion, smuggling case) or is a routine precursor-control update; no Malaysian government statement beyond the gazette text was found.

Sources

Primary: Malaysia Federal Legislation (AGC) — P.U. (A) 25/2026, Customs (Prohibition of Imports) (Amendment) (No. 2) Order 2026

Secondary: Global Trade Alert — Malaysia: Import licensing requirement for ammonium nitrate and potassium nitrate

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Mechanism

Downstream implications

Adds friction (not a ban) to Malaysia's ammonium/potassium nitrate import

channel; blasting-agent supply for the mining and quarrying sector and nitrogen-fertilizer blending for local agriculture are the most exposed downstream users.

Consistent with a broader regional pattern (Singapore's SPF explosive-

precursor licence, similar EU/UK controls) of tightening the import side of ANFO-precursor chemicals for security rather than trade-protection reasons.

Watch whether Malaysia extends the same approved-permit treatment to other

Open questions

Which technical agency (Royal Malaysia Police / JAKIM-equivalent explosives

authority vs. a MITI-style trade permit desk) actually issues the approved permit day-to-day — the gazette order names the legal instrument but not the operational licensing counter.

Whether the licensing requirement was prompted by a specific security

incident (illegal-mining ANFO diversion, smuggling case) or is a routine precursor-control update; no Malaysian government statement beyond the gazette text was found.