The Malaysian government plans to mandate electronic stability control (ESC) on all new vehicles by June 2018.
The announcement was made by the minister of transport during the launch of Stop the Crash ASEAN at the Sepang F1 circuit.
Dato' Sri Liow Tiong Lai said: "We are proud that the Malaysian government is taking this important step forward in road safety and to be the first ASEAN country to mandate ESC."
The government said ESC, an anti-skid technology that can prevent loss of control crashes, is widely considered to be the most important car safety development since the seat belt. It has been mandatory in both the EU and US since 2012, saving thousands of lives.
Stop the Crash is a Global NCAP-led partnership which campaigns world-wide to promote crash avoidance technologies.
The ASEAN event demonstrated ESC to participants which included government officials, policy makers, consumer groups, and fleet managers. Other technologies on display included three forms of autonomous emergency braking, motorcycle ABS, tyre safety and blind spot detection.
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By GlobalDataDavid Ward, Global NCAP secretary general, said: "Global NCAP welcomes this announcement. This year, the UN General Assembly recommended that countries legislate to introduce Stop the Crash technologies and Malaysia has responded to the call and we congratulate them for doing so."
Professor Wong Shaw Voon, director general of MIROS and chairman of ASEAN NCAP said: "We are pleased the government has taken this step. ESC will save thousands of lives in Malaysia.
"MIROS and ASEAN NCAP urge other countries in our region to follow suit and mandate this life saving technology."