Platformizing structural policy instruments? Fostering (infrastructural) power in the context of Digital Free Trade Zones

Digital platforms are revolutionizing various sectors by altering existing framework conditions and reshaping the geography of economic activities. This study investigates the role of digital platforms in the establishment and operationalization of Digital Free Trade Zones (DFTZs) in Southeast Asia, with a particular focus on Malaysia. By conceptualizing DFTZs as an innovative evolution of Special Economic Zones (SEZs), the paper explores how digital platforms like Alibaba extend their infrastructural power through the strategic integration of digital and physical infrastructures. It examines how the platform partners with governments to create ecosystems that facilitate cross-border e-commerce, potentially support SMEs, and mediate global supply chains. Drawing on expert interviews, the study uncovers the dual role of digital platforms as technological enablers and geopolitical actors, shaping trade policies and regional development. This paper advances theoretical discourse on platformization and infrastructural power, providing insights into how digital platforms redefine governance and economic dependencies in the global digital economy.