Chinese Businesses Delegation Indicates US$15 Bln Investments In Malaysia
KUALA LUMPUR, Nov 2 (Bernama) -- A Chinese business delegation has indicated intentions to invest US$15 billion (US$1 = RM4.06) in Malaysia, across six high-potential sectors including electrical and electronics (E&E), semiconductors, and the halal industry, said Deputy Prime Minister Dr Ahmad Zahid Hamidi.
He said the indication came after discussions with 58 Chinese businesspeople from China who are here to explore investment opportunities and expand their operations.
Ahmad Zahid said the presence of the delegation reflects Chinese investors’ confidence in Malaysia’s potential as an investment destination, particularly in high-tech and value-added sectors.
He said that, based on the initial indications, the investments will total US$15 billion and will focus on high-value and high-technology sectors.
“We are now focusing on high-value investments, high technology. Not labour-intensive and not based on unskilled labour. In my opinion, this is something positive compared to previous investments,” he told a press conference after attending the Malaysia-China Cooperation Meeting on Investment, Trade, and Economic Empowerment in Kuala Lumpur on Monday.
The six identified sectors are electrical and electronics (E&E) and semiconductors; specialised industrial materials and precision engineering; digital economy and technology infrastructure; food processing and halal products; health and pharmaceutical technology; and tourism.
He noted that in the E&E and semiconductor sectors, Chinese investors view Malaysia as well positioned in the international supply chain, in addition to the availability of skilled labour produced through technical and vocational education and training (TVET) programmes.
For specialised industrial materials and precision engineering sectors, the focus is on producing copper foil, robotic technology, automation, and manufacturing activities that require high precision levels.
On the digital economy sector, Ahmad Zahid said the delegation is interested in exploring opportunities to develop data centres, cloud computing, and artificial intelligence (AI).
However, the deputy prime minister said Malaysia is not currently encouraging new data centres given the large number of existing facilities.
Instead, he urged investors to form partnerships with local companies or consider acquiring existing operations.
Meanwhile, regarding the food processing and halal product sectors, Ahmad Zahid said several Chinese companies, including major dairy producers, are interested in sharing technology and expanding investments in food processing activities in Malaysia.
He said that companies in the health technology and pharmaceutical sectors intend to make Malaysia a base for producing halal health products for export, particularly to the West Asian market.
“For the halal sector, Malaysia’s internationally recognised halal certification is one of the main factors attracting these companies to conduct their production in the country.
“For tourism, Chinese investors are also interested in developing resorts and hotels, as well as collaborating to strengthen the country’s tourism industry,” he said.
Ahmad Zahid said Malaysia is now prioritising high-value investments based on technology and automation, compared to labour-intensive industries that rely on unskilled labour.
He said a business matching session will be arranged between the Chinese delegation and prospective local investors, including chambers of commerce, business associations, and relevant industry players.
According to him, the sessions would also involve senior officials from relevant ministries and agencies who would explain the country’s investment climate and the incentives offered to foreign investors.
Ahmad Zahid added that the business delegation is expected to continue discussions and identify cooperation opportunities during their stay in Malaysia for the next one to two days.
-- BERNAMA
