JAPANESE INVESTMENT INTO MALAYSIA TO FACE SHORT-TERM IMPACT

KUALA LUMPUR, March 23 (Bernama) -- Japanese investments into Malaysia is
expected to face a short-term impact following the recent natural disaster in
Japan, International Trade and Industry Minister Mustapa Mohamed said.

Saying that the impact was normal from Japanese investors after a disaster
of such magnitude, he said investments would pick up after the situation
improved back home.

"They (Japanese) are very resilient people, whatever the impact may be, it
will be in the short-term," he told reporters after signing a condolence book in
honour of earthquake and tsunami victims during a visit to the Japanese embassy
here Wednesday.

As for the automotive sector, he said there would be a minor disruption in
the supply chain as some components were sourced from Japan.

However, Mustapa said companies were currently trying to source components
from other countries to minimise the disruption except for higher-quality items
which would continue to be sourced from Japan.

Last year, Malaysia's bilateral trade with Japan, the country biggest
investor, in the manufacturing sector, amounted to RM130 billion (US$43.33
billion).