Germany-based Mosca GmbH, a world leader in end-of-line strapping solutions to secure goods in transit, has decided to expand its operations in Malaysia by relocating to a much larger facility in Frontier Park, Johor, and doubling its workforce.

CEO Timo Mosca said its facility for the final assembly of the automatic strapping machines will move from a 40,000 sq ft plant nearby to a new 103,458 sq ft factory at Frontier Park.

“We have chosen Frontier Park for its well-managed, secure and green environment, which matches our sustainable manufacturing practices,” he said in a joint statement.

Mosca said that the company, with over 20 years of presence in the state, officially sealed the deal with local developer WB Land Sdn Bhd in Johor Bahru on Tuesday.

WB Land group managing director Kevin Woon said this relocation was a significant milestone not only for the company and the World Federation Internationale des Administrateurs de Bien-Conselis Immobiliers (Fiabci) award-winning industrial park but also for the industrial landscape in Johor and Malaysia.

Woon said the new facility, built on 0.91 hectares of land, was designed with an emphasis on eco-friendly practices, including being ready for solar energy, to align with global standards for green manufacturing.

“We are glad to play a part in attracting global leaders in manufacturing and technology and contribute towards Malaysia’s growing reputation as a competitive and business-friendly destination,“ he said.

Meanwhile, Malaysian Investment Development Authority (Mida) CEO Datuk Arham Abdul Rahman said Mosca’s investment in Malaysia is a testament to the confidence in the country’s business environment, strong infrastructure and global connectivity.

“Mida remains steadfast in its mission to attract more companies, like Mosca, catalysing Malaysia’s ascent as the transformative manufacturing hub of Southeast Asia,” he added.

Source: Bernama

Germany’s Mosca to move to larger facility, double workforce in Malaysian expansion

Premier Datuk Patinggi Tan Sri Abang Johari Tun Openg has proposed another Industrialised Building System (IBS) factory be built in Central Sarawak.

He said the establishment of the factory there serves to accommodate the construction of affordable housing and commercial areas for the central and northern regions of the state.

“I propose to the Land Custody and Development Authority (LCDA) and CTR Technology Sdn Bhd to construct an IBS factory somewhere in the central region – perhaps in Bintulu.

“It would be quite a distance for the IBS factory in Kuching to send its logistics (to the central and northern zones). Since we are developing Jepak constituency, the IBS system will also be implemented there,” he told a press conference after officiating the IBS factory in Demak Laut here on Tuesday.

Speaking at the event earlier, Abang Johari called on LCDA to conduct a feasibility study on setting up an IBS factory in the central zone. He also suggested it could be built in either Bintulu or Sibu.

Source: Borneo Post

Abg Jo proposes another IBS factory be built in Central S’wak

The US State Department has some US$500 million (RM2.38 billion) at its disposal under the International Technology Security and Innovation (ITSI) Fund to recruit partner nations mainly as upstream and downstream suppliers to US chipmakers.

Information Technology and Innovation Foundation (ITIF) vice president for global innovation policy Stephen Ezell told German-owned political newspaper Politico‘s publisher Digital Future Daily that other promising candidates the State Department is looking into besides the Dominican Republic include Mexico, Malaysia and India, which is up next for an ITIF readiness report.

The semiconductor supply chain is already somewhat distributed; no single country can, or likely ever will, manage its entirety.

But the Indo-Pacific region — countries like Taiwan, Japan, China and South Korea — is essential to nearly every step of the manufacturing process.

So as companies look to de-risk from China, the goal of the new policy is to give them US-approved places to go.

Politico, based in Arlington County, Virginia, on Monday reported that the State Department already has partnerships with five countries — Costa Rica, Panama, Vietnam, Indonesia, and the Philippines — to explore semiconductor industry growth opportunities, as a precursor for ITSI funding.

Politico said the State Department is expected to pick seven in total.

There are some baseline requirements for countries seeking to make the cut for ITSI or otherwise enter the global semiconductor race.

The US is looking for reliable infrastructure; the cost from a power outage can escalate into the billions.

A skilled workforce is another important factor, as is free trade policy — ideally mirroring Singapore’s zero tariffs on nearly all imports.

Countries also need regulations that offer investors certainty, especially on permitting and environmental reviews.

One potential deal breaker might be negotiations over export controls, the main tool that Washington has used with established allies in the semiconductor supply chain, like the Netherlands and Japan, to keep a lid on China’s chip industry.

The US is wary of investing in countries where advanced technology could leak to a foreign adversary’s military, Center for Strategic and International Studies (CSIS) director focused on transatlantic trade Emily Benson said, and export controls are thought of as a springboard for meeting Washington’s trade demands in the future.

Politico said the US$500 million ITSI fund is a drop in the bucket, compared to US$39 billion that the US is investing in American-made chips.

It added that how far the money goes largely depends on countries’ ability to attract private sector investment.

In this global competition, it’s also unclear how long newcomers will be satisfied with just supplying the chip industry rather than developing their own fabrication capacity.

India has already made US$10 billion in subsidies available to build out its domestic semiconductor ecosystem.

Source: The Edge Malaysia

Malaysia among countries US may explore semicon industry growth opportunities with — Politico

FGV Holdings Bhd’s new Fract750 refinery plant at Kuantan Port has allowed the company to expand into premium product offerings such as high IV olein and hard stearin.

Group chief executive officer Datuk Nazrul Mansor said the new facility will strategically position FGV to serve emerging industries, with expected volume production of 150,000 tonnes per annum.

“The inauguration of the new plant represents yet another strategic move for FGV, enhancing cost-efficiency by leveraging high free fatty acid (FFA) feedstock, a by-product of crude palm oil milling and refining to produce palm methyl ester (PME),” he said.

FGV board member Datuk Mohamad Nizar Mohamad Najib said the new refinery not only allows it to explore new areas in specialty fat products but also contributes to the development of a specialised industry in Kuantan.

“This not only diversifies the local economy but also positions Kuantan as a hub for innovative and premium fat products, potentially attracting further investment and business opportunities,” he said.

The new plant will create job opportunities for local youth in Pahang, he added.

“The Pahang government welcomes new developments and investments that help to provide avenues for skilling and training in advanced sectors such as the palm oil and specialty fats industry,” he said.

The new refinery is the first plant in the east coast region to feature the Desmet iConFract system, which incorporates an innovative 30-bar filter press technology.

The technology helps in enhancing efficiency, streamlining premium downstream product production, and enabling precise separation of various fractions during the refining process.

FGV’s operations in Pahang stretch across 136,617 hectares of plantation estate, 28 mills, along with crushing, refining, fractionation and distillation plant, in addition to bulking and warehousing facilities, as well as a strategically positioned logistic depot.

In 2023, FGV bought and processed a total of 4.91 million tonnes of fresh fruit bunches (FFB) in Pahang worth RM3.75 billion.

Of this, 66 per cent of FFB came from Felda smallholders, while the remaining 34 per cent were purchased from independent smallholders.

Source: NST

New Kuantan Port refinery enables FGV to offer premium products

Scientex Bhd via its wholly-owned subsidiary, Scientex Heights Sdn Bhd, has entered into a conditional sale and purchase agreement with Guan Hong Plantation Private Ltd for the proposed acquisition of 24 parcels of freehold land, all situated in Muar, Johor, for RM200mil.

In a filing with Bursa Malaysia, the packaging manufacturer and property developer said it has plans to develop the lands, which has an aggregate area of 442.7566 hectares, into a mixed-property development.

Scientex added it is still currently too early to ascertain the exact total gross development value, development cost, as well as the expected commencement and completion dates of the development and the expected profits to be derived from the development of the lands.

The group said the lands are surrounded by a mix of industrial and agricultural activities, along with notable landmarks such as Muar Furniture Park, Bukit Bakri Industrial Area and Bakri Bukit Muar Airfield.

Scientex said the proposed acquisition will be funded by internally generated funds and bank borrowings.

The group noted that given rising property prices and robust demand for affordable homes from the low and middle-income groups, the proposed acquisition represents a strategic investment opportunity for the group to create greater economic value and increase its earnings potential as it gains a better and stronger foothold in the more established Johor property market.

Scientex noted the lands are also expected to provide a steady and sustainable property development model, as the company continues to focus on affordably priced landed properties where demand continues to remain firm and resilient.

Moreover, the landbank expansion is also in line with Scientex’s goal to build more affordable homes to meet the group’s objective of completing 50,000 affordable homes throughout the nation by 2028.

The proposed acquisition is not expected to have any material impact on the earnings and net assets of Scientex for the financial years ending July 31, 2024 and July 31, 2025.

Source: The Star

Scientex acquires land in Johor for RM200mil

SEDC Energy Sdn Bhd, a subsidiary of Sarawak Economic Development Corporation (SEDC), has signed a Memorandum of Understanding (MOU) with Gallois New Energy Materials (M) Sdn Bhd to build a high-end graphite manufacturing plant in Bintulu, Sarawak.

The plant, which is located in Samalaju Industrial Park (SIP), will be producing spherical natural graphite and synthetic graphite, involving a total investment of US$1.5 billion (RM6.3 billion), said SEDC Energy in a statement in conjunction with the MOU signing ceremony here on Friday.

“This strategic move, as outlined in the MOU, focuses on high-end graphite products, with a planned three-stage development launching in 2025, subject to the 100-megawatt power availability, leveraging Sarawak’s infrastructure advantages, including low-cost and renewable hydropower,” it said.

It said the collaboration would see both parties exploring electric vehicle (EV) industry opportunities, anticipating enhanced capabilities and sustainable growth for the state.

“Simultaneously, Gallois group’s choice of Sarawak for a high-end graphite manufacturing plant in SIP aims to establish the state as a major global graphite source of carbon-neutral, high-purity anode materials outside of China to meet the rising demand for sustainable and cost-effective graphite supply in the expanding EV battery markets.

“China, which accounts for more than 95% of high-end graphite products of global producers, has started to restrict the export of the products since last December.

“As such, there is currently a high demand for high-end graphite manufacturing supply chain outside of China, thus, making Sarawak the major global supply chain for high-end graphite outside China,” it said.

SEDC Energy said the collaboration is poised to generate economic opportunities and job creation, as well as attract EV-related investments, positioning the state as an EV transformation hub.

“This significant initiative is expected to transform Bintulu’s economic landscape, creating more than 1,000 high-skilled job opportunities for the local community,” it added.

The MOU was signed by SEDC Energy chief executive officer Robert Hardin and Gallois New Energy director Chai Ming Chen, as witnessed by Sarawak Premier Tan Sri Abang Johari Tun Openg.

Also present were SEDC chairman Tan Sri Abdul Aziz Husain and Gallois Group of Companies president George Lu.

SEDC Energy, being a frontrunner in sustainable energy initiatives, has engaged in various ventures specialising in new energy and downstream oil and gas marketing and trading, solidifying its position as a key player in Malaysia’s energy landscape.

Among its ventures are the production of crude algae oil, sustainable aviation fuel, biomass, hydrogen supply, downstream and upstream business, and green mobility solutions.

Source: Bernama

SEDC Energy, Gallois New Energy ink MOU to build RM6.3 bil graphite plant in Bintulu

Mah Sing Group Bhd will be developing 185 acres of prime industrial development named Mah Sing Business Park, Sepang, with an estimated gross development value (GDV) of approximately RM728mil.

In a statement, the property developer said Mah Sing Business Park, Sepang will be developed by Fusion Heights Development Sdn Bhd, a subsidiary of Mah Sing South Sea Industrial Development Sdn Bhd (MSSSID), which is 70%-owned by Mah Sing.

“The landowner, Premier Land Resources Sdn Bhd, also grants Fusion Heights Development the option to purchase an additional approximately 376.65 acres for RM12.50 per sq ft within four years of the sale and purchase agreement.

“The potential GDV for the entire 561.65 acres is up to RM2bil, encompassing comparable development components.”

Mah Sing said the land is planned to be an industrial development comprising customised factories, industrial lots, cluster, semi-D and detached factories catering to medium and light industrial businesses.

The development is set to attract industry players from high-tech manufacturing and value creation manufacturing sector to set up their facilities here.

“In line with the group’s quick turnaround strategy and subject to authorities’ approval, the development of Mah Sing Business Park, Sepang is expected to commence in the second half of 2024 and to be developed over a span of three-to-four years.

“The acquisition will fuel the growth of Mah Sing’s industrial development portfolio and strengthen its competitiveness in Malaysia’s industrial development landscape,” it said.

Mah Sing said the acquisition also represents a strategic move for the group, building upon the foundation laid by the formation of joint venture company MSSSID in September 2023.

“MSSSID provides one-stop development solutions for industrial real estate properties, from sales and marketing, leasing, project construction and management, as well as customisation to investors’ need and investment.”

Mah Sing noted that Malaysia has been the focus of foreign investors, adding that its push into industrial projects is timely.

The developer said this is especially with the launch of Malaysia’s New Industrial Master Plan 2030 to build Malaysia’s industrial capacity and resilience for long-term, sustainable growth.

“In the first nine months of 2023, Malaysia recorded RM225bil in total approved investments of which foreign direct investment (FDI) accounted for RM125.7bil or 55.9% of total approved investments.

“The manufacturing sector took the lead for FDI, contributing RM84.8bil or 85% of approved investments in that sector.”

Mah Sing added that the industrial property market is widely lauded as a bright spot for the property market in 2024 and that the group’s acquisition of Mah Sing Business Park, Sepang is a strategic move to capitalise on the country’s industrial growth potential.

Mah Sing founder and group managing director Tan Sri Leong Hoy Kum said it is within Malaysia’s favourable environment that the group makes this strategic acquisition.

“We strongly believe Malaysia and Mah Sing is the preferred country and partner for these enterprises looking to efficiently invest and grow across this region,” he said in the same statement.

Mah Sing said the land is located at the central of Klang Valley and close to populated areas such as Bandar Baru Salak Tinggi, Putrajaya, Cyberjaya, Subang and Shah Alam, which can provide business executives and workers the convenience of living near the city centre and access to ready amenities.

“Mah Sing’s landed residential development M Senyum is located at Bandar Baru Salak Tinggi. Also known as the Airport City, Bandar Baru Salak Tinggi is well connected to major accesses and highways such as KLIA Expressway, Elite Highway, North-South Expressway, Putrajaya-Cyberjaya Expressway, Jalan Banting-KLIA and KLIA Extension Highway.”

Source: The Star

Mah Sing’s industrial development portfolio to grow

THE time is ripe for Malaysian palm oil producers to seize the untapped the potential found in the biomass industry, which is set to be a game-changer for the country in the coming years.

The country’s palm oil industry churns out millions of tonnes of oil palm biomass yearly which that can be turned into hydrogen by breaking down the carbon and hydrogen molecules.

This transformative venture is poised to materialise within the next three years, propelled by several preliminary attempts between Dongguan University of Technology and the Malaysian Palm Oil Board (MPOB). The effort presents a golden opportunity to convert this abundant waste into hydrogen.

This potential strategic partnership not only aligns with the global push for sustainable practices but also positions Malaysia as a pioneer in leveraging its key industry waste using cutting-edge solutions.

Hong-Kong based Dongguan University of Technology and MPOB are in the midst of formulating a collaborative plan to develop big-scale hydrogen production in Malaysia.

Dongguan University of Technology Top Talent Prof Jonathan W.C. Wong said Malaysia, being the second largest global producer of palm oil, had an important role to play.

He said a significant amount of oil palm biomass would be generated with the industry’s growth, leading to the problem of waste.

“Biomass such as oil palm trunks and fronds can be turned into biogas. These are the two big potential biomass sources that have not been tapped currently.

“If we can utilise these resources in the oil palm industry, hydrogen can be produced and added to the supply chain,” he said during his presentation on “Value Addition from Waste Biomass: A Circular Economy Approach” at the MPOB International Palm Oil Congress and Exhibition 2023 (PIPOC 2023) last year.

He said Malaysia would have to first come up with a biomass reactor that could generate hydrogen.

“If we can apply our technology in Malaysia, palm oil producers can use it to generate hydrogen for the biomass industry.

“Currently, we are using a small reactor in the lab because our technology requires a high-pressure condition. The most common and favourable thermochemical process to produce hydrogen is the gasification process in fluidised bed reactors.

“To assess its efficiency on a larger scale, we will need a larger reactor. We can collaborate with MPOB to construct a large-scale reactor to carry out trials. If that is successful, we can then proceed with commercialisation.”

Wong said in the future, hydrogen plants would be built next to either an oil palm plantations or palm oil mills.

However, despite the potential of hydrogen production from oil palm biomass in the production of hydrogen, the high initial capital investment and lack of proven technology have discouraged investors.

According to his findings, an integrated biogas and wastewater treatment system in a typical 60 tonnes per hour mill in Malaysia can export up to an average of 1.9MW of electricity.

An integrated biogas and wastewater treatment system reduces greenhouse gas (GHG) emissions by 50,430 tonnes of carbon dioxideCO2 per year, compared to the typical open ponding system.

In comparison to cur rent hydrogen production methods that rely on coal or natural gas, this biomass-based approach offers cost advantages and environmental benefits.

By using biomass waste powder such as bamboo, waste wood and wheat straw as a raw materials, the hydrogen production yield can reach about 88 per cent of the theoretical yield.

The hydrogen production cost of this technology is lower than that of fossil fuel hydrogen production, and will not bring additional carbon emissions.

Waste biomass valorisation will be a major direction for future energy and bioproducts.

The proposed carbon-energy provided a systematic approach to extract energy trapped in waste biomass, said Wong.

The bio circular economy is important for the palm oil industry in reducing waste generation, and increasing incomes and moving towards the commercialisation of some of the technologies.

On another matter, Malaysia Biomass Industries Confederation (MBIC) president Datuk Leong Kin Mun said feedstock owners were encouraged to unlock the biomass potential ofas commoditised and high-value niche products by lever-aging government incentives.

The biomass industry includes biofertilisers, fuel pellets, bioelectricity, soil erosion control products, mushroom farming and even black soldier fly.

Malaysia generates more than 90 million dry tonnes of solid oil palm biomass in various forms, including empty fruit bunches, palm kernel shell, mesocarp fibre, oil palm trunks and oil palm fronds.

Leong said it was the right timing for stakeholders like feedstock owners, technology providers and offtakers to look into the biomass industry as many companies were embracing environmental, social and corporate governance (ESG) initiatives, especially on GHG emission reduction, to clean the supply chain.

“The stakeholders need to come up with good business strategies to develop a biomass industry model as there is huge potential in this industry that has yet to be optimised,” he said.

“Investment incentives can be structured and enabled to facilitate joint-venture investment between palm oil mill or oil palm plantation companies and biomass technology companies or innovators.

“The concept of cascading use of biomass should be applied to assess the best circular economy model of these biomass. This is to ascertain the best sustainable development benefits in terms of GHG emission reduction, monetary value as well as social economic development.”

The 12th Malaysia Plan has outlined an investment target for biomass as a strategic sector, with expected significant contribution from oil palm biomass and forestry biomass due to their more mature ecosystems as well as large amounts of feedstock, which have been used for the ongoing commercialisation efforts.

The estimated availability of oil palm biomass (dry weight) based on FFB production was 90.53 million tonnes last year, with a total in vestment of RM222.9 million in biomass industry, he said.

Leong added that facilitation from the government was needed to unlock biomass feedstock from the plantation and milling operations.

He pointed out the opportunities of selling biomass products to other countries and stressed how this could be linked to the worldwide eco-friendly supply chain, like selling palm pellets.

The decarbonisation of Malaysia’s electricity sector is primarily propelled by pellets from empty fruit bunches, with biomass co-firing implemented at utility-scale plants like Tenaga Nasional Bhd and Malakoff Corp Bhd.

This initiative aims to significantly reduce GHG emissions in Malaysia. The low-carbon business model, considered as a game changer, is facilitated and support ed through government intervention.

Additionally, the Malaysia Sustainable Palm Oil chain of custody for oil palm biomass was established, particularly for the Japanese feed-in tariff market, said Leong.

Source: NST

Tapping biomass potential

The local automotive industry is set to transform with heightened competition in the local production and distribution chain in the near term as electric vehicle adoption accelerates, and foreign direct investments (FDIs) increase.

Maybank Investment Bank said post-pandemic, Malaysia has emerged as an increasingly attractive destination for FDIs from global automakers establishing their regional headquarters/electric vehicle hubs. This includes prominent names such as Volvo, Stellantis, Tesla, and Chery.

Automotive industry observer Hezeri Samsuri said with the presence of companies like Tesla and Stellantis choosing Malaysia for their expansion, Malaysia could attract more automotive giants to establish their presence here and use the country as their gateway to the Asean or Asia Pacific markets.

“I would say 2024 is looking pretty rosy for us, especially if the government can offer the right package,” he told Business Times.

Malaysia’s competitive edge in the semiconductor supply chain positions it favourably for the automakers’ transition to EV.

Several carmakers, including Mercedes-Benz, BMW, Porsche, Audi, and Dong Feng, have announced local assembly plans for vehicles targeting both domestic and export markets.

Maybank IB said in its note that the influx of FDIs is expected to have a positive long-term impact on the industry, contingent on the position of auto players in the supply chain.

Maybank IB said while clear winners at present include local consumers and certain auto parts suppliers, local players in the production and distribution chain are expected to see intensified competition in 2024, potentially impacting their margins.

“This consideration takes into account numerous new product launches, including scheduled EV brands/ models throughout the year,” Maybank IB said in its note today.

The penetration rate of battery electric vehicles remain low in the local automotive market at one per cent.

Maybank IB said however that the introduction of new EV brands and models is a positive sign, and anticipates that BEV sales in Malaysia will continue to grow exponentially in 2024.

“Our optimism aligns with the national targets revealed by the Minister of Investment, Trade and Industry in late Nov 2023, aiming for 20 per cent/50 per cent/80 per cent of new car sales to be new energy vehicles by 2030/2040/2050 respectively.

The Tesla Model 3 and Model Y, smart #1, BYD Dolphin, Neta V, Hyundai Ioniq 6, and Ora Good Cat are notable launches in 2023.

“We expect the demand growth for xEVs to gain further momentum with upcoming launches in 2024, including the BYD Seal (1Q24), Chery Omoda E5 (1Q24), Dong Feng Nammi 01 (2Q24), Toyota bz4x, and more,” Maybank IB said.

It believes the increased presence of EV brands locally is set to have a positive impact on expediting the transition of the entire EV ecosystem.

This is likely to be facilitated through increased partnerships, collaborations, and mergers and acquisitions between EV automakers and infrastructure/component suppliers.

Furthermore, Maybank IB foresees additional policy announcements, including the next installment of the National Automotive Policy (NAP), which is expected to strengthen the policy focus and facilitations for the EV ecosystem in alignment with the National Energy Transition Roadmap (NETR) and the New Industrial Master Plan (NIMP) 2030.

Hezeri emphasised the need to not only offering incentives to car companies but also to consumers, as a robust domestic market enhances the attractiveness of investments.

“Our forte would be our microchip industry and our highly skilled labour, and language. We also have a bigger portion of consumers who have been proven to accept new technology quicker than the other Asean market. “These are all good for a booming EV market, but the government needs to act fast.

Recently, Stellantis Group announced a big investment in EV where Malaysia will be its hub for not only export, but as a distribution hub for its components and spare parts. 

“Focus should be given to those who have decided to invest here, so that the companies’ objectives can be realised or even beyond their expectation. “As companies need to invest here, Malaysia will also have to invest,” he noted.

Meanwhile, Tradeview Capital Sdn Bhd vice president Tan Cheng Wen said the Malaysian Automotive Association (MAA) had forecasted a total industry volume (TIV) of 740,000 for 2024. However, he believes that this may be an optimistic scenario as vehicle ownership will be costlier due to the rationalisation of targeted subsidies, as well as the higher service tax rates which affects maintenance and vehicle repair services.

“Although the current penetration of battery EVs in the market is low, estimated at around one per cent, we believe that the proactive efforts by the government, exemplified by initiatives like the National Electric Transportation Roadmap (NETR), will only be a huge catalyst in expanding the adoption of EVs.

“The NETR aims to achieve a 50 per cent share of TIV for two-wheeled and four-wheeled EVs by 2040. “The upcoming update to the National Automotive Policy will very likely be accommodative to the NETR framework in facilitating and expanding the EV ecosystem,” he added.

Nevertheless, Tan said local automotive manufacturers have a target market and niche to serve and cater towards as the majority of EVs are targeted towards the upper middle class and above segments. 

He said this can be seen from the price points of the Tesla Model 3, BYD Dolphin and Hyundai Ioniq. 

“Subsidy rationalisation is unlikely to affect the B40 and lower M40 groups which are a huge proportion of customers for local automotive manufacturers, and they could also stand to gain from the upcoming Progressive Wage Policy implementation. 

“We are looking forward to the relatively affordable EV models that will be introduced by Proton and Perodua to ride on this dominant key trend and serve this segment of consumers,” he added.

Source: NST

The local auto industry is transforming with EVs in focus and a rise in FDIs