MIDA, KOSME & Korea Desk Join Hands to Promote More Business Partnerships between Malaysia and Korea
Kuala Lumpur, 3 December 2020 – The Malaysian Investment Development Authority (MIDA), Korean SMEs and Startups Agency (KOSME), together with the Korea Desk, a dedicated unit jointly set up by MIDA and KOSME successfully held a ‘Korea-Malaysia Technology Matching Session’ from 30 November 2020 to 2 December 2020. This virtual business matching session is the second session of its kind following its first edition in August this year.
To ensure a productive session, KOSME shortlisted Korean companies seeking Malaysian counterparts for technology transfer undertakings, partnerships, joint ventures and OEM producers. A total of 12 Korean companies from various industries and niches participate in this three-day event. These include electrical and electronics (E&E), green technology and medical industry players.
Simultaneously, Malaysian companies identified by MIDA for the session were seeking to acquire advanced Korean technology to improve their operational productivity and facilities; as well as potential OEM or joint-venture opportunities to expand their domestic and global clientele. More than 50 companies in relevant industries actively participated in the matching session.
Malaysia and Korea have a long-standing business partnership. As at June 2020, a total of 387 manufacturing projects with Korean participation, amounting to RM26.6 billion (USD8.0 billion) have been implemented in the country. These investments were primarily concentrated in industries such as chemical and chemical products, E&E, petroleum products (including petrochemicals), basic metal products and non-metallic mineral products; creating more than 53,032 jobs for the economy.
Additionally, in the first nine months of 2020, seven (7) manufacturing projects with Korean participation were approved, with investments worth RM1.4 billion (USD331.6 million). These projects are to create employment opportunities for 686 people.
To sustain this investment momentum, the Korea Desk is mandated to provide hands-on facilitation support to Korean investors in Malaysia and promote further business partnerships between the two countries. KOSME is a Korean governmental agency that supports Korean SMEs by providing financing schemes, comprehensive training programs, consultation services and globalisation programmes.
In recent decades, Malaysia, through MIDA, has been welcoming high technology, high value-added, knowledge-and capital-intensive foreign direct investments. The agency has been leveraging an ecosystem approach in targeting investors to complete the gaps in the value chain of industry in Malaysia. MIDA is optimistic that investors will find the country’s well-established local supporting industry network and business infrastructure ideal to set up their operations to do business in the region and beyond.
Furthermore, MIDA has been strategically targeting projects for technological advanced products and services by staying abreast with megatrend developments, including Industry 4.0. Given the rapid evolution of industries in line with technological developments within cyber-physical systems, it is crucial for Malaysia to embrace this trend to remain competitive in the global business landscape. Collaborations between Korean and Malaysian companies in high-value sectors such as ICT, data analytics, design and development will be instrumental in propelling Malaysian companies up within the global value chain; enabling the rise of more local champions.
Companies are urged to seize the opportunity to leverage on the various initiatives and facilities offered by the Government to move towards Industry 4.0. These include Domestic Investment Strategic Fund (DISF), Automation Capital Allowance (ACA) for companies undertaking automation, Industry4WRD Intervention Fund, as well as Smart Automation Grant (SAG). More information can be obtained on the MIDA website at www.mida.gov.my.
MIDA is the government’s principal investment promotion and development agency under the Ministry of International Trade and Industry (MITI) to oversee and drive investments into the manufacturing and services sectors in Malaysia. Headquartered in Kuala Lumpur Sentral, MIDA has 12 regional and 20 overseas offices. MIDA continues to be the strategic partner to businesses in seizing the opportunities arising from the technology revolution of this era. For more information, please visit www.mida.gov.my and follow us on Twitter, Instagram and Facebook, LinkedIn and Youtube channel.
The Korea SMEs and Startups Agency (KOSME) is a non-profit, government-funded organisation established to implement government policies and programmes for the sound growth and development of Korean SMEs. KOSME, through its 31 regional offices; annually provides various financing schemes of USD3.5 billion for SMEs to expand operations, develop new products and convert their business structures. It also offers comprehensive human resource development courses in five (5) training centres, and runs 19 youth startup academies to foster young entrepreneurs in Korea. For the globalisation of SMEs, KOSME conducts overseas marketing and global cooperation programs through its 24 overseas presence.
For more information, please contact:
Mr. Nazuki Abdullah
Director, Domestic Investment and Supply Chain Coordination Division, MIDA
Tel.: 03- 2267 3744| Email: [email protected]
Mr. Chon Yong Ho
Korean Director of Korea Desk, MIDA
Tel.: 03-2263 2500 | Email: [email protected]