Malaysia Hotline: +603- 2141 8908
With
effect from 20 July 1995, it is mandatory for any person or company whether
local or foreign to register with Construction Industrial Development Board
(CIDB) before engaging in any construction work in Malaysia. It is an offence
for a non-registrant and punishable by a fine of not exceeding RM 50,000. Therefore,
if you wish to start any construction-related business, you have to apply for
CIDB license.
CIDB Registration Term:
Registration
of local contractors is time-based. Local contractors are entitled to be
registered in particular categories such as Civil Engineering Construction,
Building Construction, Mechanical Construction and Electrical Construction.
They will be registered for a minimum period of 1 year but not exceeding 3
years to carry out construction works in Malaysia.
CIDB Restriction:
A
contractor is not allowed to perform any construction works outside his
registered category. He is not allowed to undertake any construction project
which exceeds the value of the construction works specified in the registration
grade.
CIDB Grades:
There
are 7 specified registration grades for each category. The CIDB registration
fee varies according to the registration grade. The 7 specified registration
grades are as below:
- G1 :
Tender not exceeding RM 200,000
- G2 :
Tender not exceeding RM 500,000
- G3 :
Tender not exceeding RM 1 Million
- G4 :
Tender not exceeding RM 3 Million
- G5 :
Tender not exceeding RM 5 Million
- G6 :
Tender not exceeding RM 10 Million
- G7 :
Tender amount - No Limit
Foreign Contractor CIDB Registration:
For
foreign contractors, CIDB registration is on project-basis. The certificate
registration of a foreign contractor allows the certificate holder to undertake
only the project specified in the certificate. If the foreign contractor wishes
to apply for an extension of the validity of the certificate, he has to do
apply to CIDB within 14 days before the expiry of the certificate validity.
Levy on Contractors:
A CIDB
registered contractor has to notify CIDB of any contract which he has carried out
that has a contract sum of more than RM 500,000. The percentage of levy is
calculated as 0.125% of the contract sum by way of Regulation 2 in accordance
to Lembaga Pembangunan Industri Pembinaan Malaysia (Imposition of Levy) Order
2003 with effect from 21 May 2003.
Contact
us
If
you have further queries, please contact Tannet
24
hours Malaysia hotline：603-21418908;
24
hours Hong Kong hotline：852-27837818;
24
hours Hong Kong hotline：86-755-
36990589;
Email:
mytannet@gmail.com