MALAYSIAN DPM'S INVESTMENT MISSION TO JAPAN TIMELY

From M. Saraswathi

TOKYO, Dec 7 (Bernama) -– Malaysian Deputy Prime Minister Muhyiddin Yassin’s

investment mission to Japan starting Monday is timely, to help forge deeper
alliances between Japanese industrialists and Malaysian companies when the
global economy begins to show signs of recovery.

Malaysia could very well gain from the first-mover advantage, especially now
that every nation is competing for foreign direct investment (FDI) and more so
since Japan is a major investor in almost every major economy.

Economists have described what they presently see in the United States and
also globally as the "green shoots" of economic recovery, which is why the
mission could not have come at a better time.

Muhyiddin will meet with captains of industry and business in Tokyo, known
as one of the three "command centres" for world economy alongside London and New
York City.

Hence, the visit which enables him to touch base with Japanese business
officials, is crucial in the continuous efforts to promote Malaysia as a
strategic investment destination.

It would also take the 52 years of bilateral ties between Malaysia and Japan
to a significantly higher level. Malaysia established diplomatic ties with Japan
in 1957, the year it achieved independence from the British.

The second city Muhyiddin will be visiting is Osaka which has historically
been the commercial capital of Japan and the heart of Japan's second largest
metropolitan area of Keihanshin (Osaka-Kobe-Kyoto).

This is his first working visit to Japan since becoming Malaysia's Deputy
Prime Minister.

But Muhyiddin is no novice to issues surrounding trade and investment as he
was the Minister of International Trade and Industry before taking over the
current position.

Japanese officials will be keen to listen to what Malaysia has to offer
especially now that it has put in place definitive measures to further
liberalise the economy to lure foreign investors.

Japan was among the first countries to invest in Malaysia way back in the
70’s, mainly in the electrical and electronics sector, which helped catapult
Malaysia to being the foremost producer of certain electrical items globally.

It still is a major sector for the Malaysian economy although it falls prey
to the vagaries in the international marketplace and demand and supply
volatility and recently to the global recession.

Japan has been a major participant in Malaysia's development as evidenced by
its small and medium scale enterprises also investing substantially in
Malaysia's manufacturing sector besides Japanese multinationals.

Since then, Japan, has remained among the top investors in Malaysia.

Ties were further enhanced when the Malaysia-Japan Economic Partnership
Agreement came into effect on July 13, 2006 as it marked a new chapter in the
bilateral economic ties.

In October 2009, exports to Japan were valued at RM5.09 billion (US$1.5
million), an increase of 16.8 per cent from the September 2009 figure, due to
higher exports of electrical and electronic goods, crude petroleum, wood
products and refined petroleum products.

Compared with October 2008, however, exports were lower by 15.3 per cent.

Import from Japan for October 2009 was worth RM5.62 billion (US$1.6
million). It was 13.1 per
cent of the total imports in the month.

Muhyiddin's visit therefore will cap Malaysia's endeavour to consistently
build on what is surely a vital relationship which Kuala Lumpur deeply
appreciates and plans to take to a higher place in time to come.

-- BERNAMA