Successful Trade and Investment Mission in Conjunction with Prime Minister’s Official Visit to The People’s Republic of China Secures RM170 Billion of Potential FDI For Malaysia
KUALA LUMPUR, 3 APRIL 2023 – Minister of International Trade and Industry (MITI) YB Senator Tengku Datuk Seri Utama Zafrul Aziz is currently leading a Trade and Investment Mission (TIM) to People’s Republic of China (“China”), which has, thus far, resulted in securing RM170 billion potential investments for Malaysia. The mission included a round table meeting with captains of industry, a Business Forum which was attended by more than 1,000 Chinese and Malaysian business delegates, and one-to-one meetings with potential investors.
Tengku Zafrul said, “I would like to congratulate MIDA and all related agencies in helping to secure these potential investments. The increased interest of Chinese companies in Malaysia bodes well for our nation and has elevated Malaysia-China bilateral relations onto the next level, bolstered by renewed confidence in the Malaysian Unity Government. On MITI’s part, we will prove Malaysia to be pro-industry, pro-trade and pro-investment, by continuously enhancing the investor’s journey and ease of doing business in this country. Now, the hard work begins for MITI, MIDA and other agencies to follow up on and realise these investments within the shortest possible timeline.”
Chief Executive Officer of the Malaysian Investment Development Authority (MIDA) Datuk Wira Arham Abdul Rahman expressed great satisfaction with the outcome of the Trade and Investment Mission to China thus far, highlighting, “Through this Trade and Investment Mission, at the final count, more than 20 companies have expressed their keen interest in investing in the thriving economy of Malaysian spanning areas such as petrochemical products, solar and glass products, international data centers, as well as electric vehicles (EV) related parts and components. Among companies highly interested to invest in Malaysia are Zhejiang Zhink Group, LONGi, GDS, Shanghai DC Science, and ZTE Corporation, all of whom have acknowledged the immense potential of our nation. This accomplishment showcases the government’s commitment to attracting top-tier investments from the world’s leading digital technology adopters and home to one-third of the world’s unicorns.”
With Malaysia’s favourable business climate, Mr. Xiao Zhonghuai, Vice President of Zhejiang Zhink Group, acknowledged Malaysia’s immense potential and expressed his company’s intention to consider the country as the destination for investment. “In the context of global advocacy of sustainable development, the demand for food-grade PET (Polyethylene Terephthalate) new materials has maintained a good growth trend worldwide due to its good safety, plasticity, recyclability, greenness and wide range of applications. As the world’s leading manufacturer of food-grade PET new materials, Zhink Group has exported its products to more than 100 countries and regions worldwide. In order to better meet the needs of overseas customers and improve service efficiency and quality, Zhink Group will focus on considering Malaysia as the destination country for overseas investment.” he stated.
LONGi’s Founder and President, Mr. Li Zhenguo, shared the company’s expansion plans in Malaysia over the years, stating, “Today, I am proud to announce that LONGi continues to increase our production capacity for ingot, wafer, cell, and module in Malaysia, which is expected to create over 7,000 employment opportunities. Since starting our operations in Malaysia back in 2016, in Kuching, Sarawak, we have been committed to not only driving technological innovation but also empowering local communities. All our new projects are adopting the most advanced automated process and technology. Our current workforce of 4,000 employees is 99.9% Malaysian, and we are eager to continue building our business in Malaysia.”
GDS’s Founder, Chairman, and CEO, Mr. William Huang, expressed confidence in Malaysia’s robust business environment, announcing, “GDS has committed RM1.4 billion for the first data center project in Johor, Malaysia since 2021, showcasing the company’s strong dedication to the country’s progress and development. As a renowned global developer and operator of high-performance data center, GDS has also outlined plans for additional investments, which are estimated to be up to RM4.5 billion total investment over the next decade. With this ambitious timeline, we aim to bring our supply chains and clients from China to Malaysia, demonstrating our confidence in the country’s potential as a major player in the global economy.”
Mr. Wang Bin, CEO of Shanghai DC-Science Co., Ltd, a private enterprise and one of the leading data center service providers in China, highlighted the company’s interest in setting up a state-of-the-art data center in Malaysia, a move that could potentially bring in investments amounting to RM2.7 billion. With a steadfast commitment to excellence and a bold vision for the future, Mr. Wang Bin has committed to finalise his company’s investment decision by 2023.
Mr. Steven Ge, Vice President of ZTE Corporation, reinforced the company’s commitment to Malaysia by announcing a potential investment of RM200 million in the country. Two innovation centres, in collaboration with Celcom, Digi and Telekom Malaysia (TM), are currently under construction and set to drive Malaysia’s 5G development and revolutionise the vertical industry application sector. The innovation centers will focus on research in 5G applications, network coverage and quality, cybersecurity, green energy and emission reduction. The goal is to assist Malaysia build a 5G industry ecosystem, cultivate local talents and achieve the goal as “Asian Digital Tiger”. This project is anticipated to create more than 100 job opportunities and train over 10,000 Malaysians in the coming years, portraying a significant investment in the nation’s human capital. The ESG 2.0 Tree-Planting Campaign, in conjunction with TM, will be launched by ZTE to offset carbon footprint and bolster environmental sustainability.
ZTE’s unwavering dedication to Malaysia’s digital development has undoubtedly left an indelible mark on the country’s technological landscape. The future looks promising, as the partnership between ZTE and Malaysia continues to thrive and pave the way towards a brighter, more connected tomorrow.
In the year 2022, Malaysia recorded RM264.6 billion (USD59.9 billion) in approved investments across the manufacturing, services, and primary sectors. Out of this, RM55.4 billion (USD12.5 billion) came from the People’s Republic of China involving a total of 91 projects. These ventures have the potential to create 11,545 new job opportunities for the Malaysian workforce, further strengthening the nation’s economic fabric. The magnitude of these approved investments testifies to Malaysia’s unrelenting efforts to promote a conducive business environment, cultivate an investment-friendly climate, and offer investors an array of promising opportunities to expand their footprint in the Asia-Pacific region.
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 21 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, Facebook, LinkedIn, TikTok and YouTube channel.
For more information, please contact:
Mr. Faizal Jalaludin
Director, Foreign Investment Division
E: [email protected]