JAPAN’S INVESTMENT IN M'SIA SURGES TO US$1.87 BIL

FROM M. SARASWATHI

TOKYO, Dec 7 (Bernama) –- Japan’s investment in Malaysia between January and
September alone surged to US$1.87 billion involving 45 approved projects as
compared with US$1.6 billion total investment in 2008 with 60 approved projects.

“ This makes Japan the largest foreign investor in Malaysia, surpassing the
total approved amount for the whole of last year,” said Deputy Prime Minister
Muhyiddin Yassin.

To date, there were 2,260 projects with Japanese participation being
implemented in the manufacturing sector in Malaysia, with investments worth
US$14.9 billion, he told a meeting between him and captains of industries and
businesses here Monday.

Muhyiddin is in Japan leading a four-day specific trade and investment
mission beginning Monday. Besides Tokyo, he will also go to Osaka.

Present at the meeting were Malaysian Industrial Development Authority
(MIDA) Director-General Jalilah Baba and Malaysian Ambassador to Japan
Shaharuddin Mohd Som.


The meeting is organised by MIDA with Bank of Tokyo-Mitsubishi and
Asean-Japan Centre as co-organisers. Among the supporters are Japan Finance
Corporation, Japan External Trade Organisation (JETRO), Mizuho Financial Group,
Japan Chambers of Commerce and Industry and Japan-Malaysia Economic Association.

Japanese investments are mainly concentrated in the manufacturing of
electrical and electronic products, non-metallic mineral products, petroleum
products, chemicals and chemical products, transport equipment and fabricated
metal products.

Some well-known Japanese companies from Tokyo and Kanto region operating in
Malaysia include Honda, Hitachi, Hoya Electronics, Sojitz, Sony, Itochu, Toray,
Taiyo Yuden, Shin-Etsu and TDK-Lambda.

Japan has always been an important source of foreign direct investment and
technology to Malaysia, said Muhyiddin.

Over the last five years, Malaysia’s trade with Japan recorded an upward
trend.

Last year, Malaysia's total trade with Japan was US$41.1 billion
(US$1=RM3.38), with
exports at US$21.6 billion and imports US$19.5 billon.

Japan was Malaysia's third largest export market in 2008 and was Malaysia’s
second largest import source.

Major exports to Japan are liquefied natural gas, electrical and electronic
products, wood products, chemicals and chemical products, optical and scientific
equipment.

Malaysia’s major imports from Japan are electrical and electronic products,
machinery, appliances and parts, metal fabricated products, transport equipment,
iron and steel products.

–- BERNAMA