Proposed carbon tax not hindrance for investors
Prime Minister Datuk Seri Anwar Ibrahim said he knew that the trend towards decarbonisation is strong and compelling.
"But I think we have to be very realistic. The proposed carbon tax should not be seen as too problematic at the expense of investing companies," he said during a question and answer session at the Roundtable Meeting with Captains of Industry in Paris, the capital of France on Friday.
Also present were Investment, Trade, and Industry Minister Tengku Datuk Seri Zafrul Abdul Aziz, Foreign Minister Datuk Seri Mohamad Hasan, Transport Minister Anthony Loke, Agriculture and Food Security Minister Datuk Seri Mohamad Sabu and Minister in the Prime Minister's Department (Law and Institutional Reform) Datuk Seri Azalina Othman Said.
Anwar, who is here on a two-day official visit, said the implementation has to be done cautiously and gradually.
"We are finalising that in the next few months actually," he said, adding that they are looking at sectors that are the biggest carbon emitters first.
Despite the palm oil industry being an important sector for Malaysia, Anwar said any new plantations on peat soil have been stopped due to its high carbon emissions.
The government is planning to introduce the carbon tax in 2026, specifically targeting the iron, steel and energy industries.
It is part of the government's broader strategy to promote the use of low-carbon technologies and meet emission reduction goals.
Industry leaders who attended the session with the Prime Minister praised the government and the country for providing a good investment climate in Malaysia.
On tourism, Anwar said the number of tourists from France visiting Malaysia has increased tremendously.
"We have direct flights from Paris now. You can swim the whole year due to our favourable climate," he quipped, citing the newly introduced Kuala Lumpur-Paris route by Malaysia Airlines.
Anwar also assured French companies considering investments in Malaysia or the ASEAN region that both represent some of the fastest-growing and most dynamic economies in the world.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
New Straits Times
an hour ago
- New Straits Times
AirAsia-Airbus aircraft deal supports Malaysia's aspiration to be Asia's leading aviation hub
PARIS: The signing of an agreement between AirAsia and Airbus for the purchase of A321XLR aircraft will further strengthen the airline's operational capabilities for short- and medium-haul routes, said Prime Minister Datuk Seri Anwar Ibrahim. Speaking after witnessing the signing ceremony here on Friday, Anwar said the acquisition will not only enable the airline to expand its network but also support Malaysia's aspiration to emerge as a leading aviation hub in Asia. AirAsia is buying US$12.25 billion (RM51.72 billion) worth of long-range Airbus 321XLR aircraft, with deliveries confirmed by 2028. The low-cost carrier inked a memorandum of understanding (MoU) with Airbus in Paris today for 50 A321XLRs with conversion rights for another 20 A321XLRs, the new fleet of which are targeted to serve Central Asia, the Middle East and Europe, among others. The prime minister also witnessed the MoU exchange between 3P Capital Advisers and Ardian, a leading private investment firm from France, for the exploration of investment opportunities in the private markets. The private sector initiative can give Malaysians a wider access to alternative investments, Anwar said. Meanwhile, during his meeting with Imerys, an industrial mineral processing company that has been operating in Malaysia for over 25 years, Anwar said the company expressed its commitment to expand operations and support the development of a high-value, environmentally-friendly manufacturing sector in the country. In addition, Anwar held a meeting with the management of Arkema, a global leader in specialty chemicals, which is evaluating potential new investments in Malaysia. He said the company can potentially create more high-skilled jobs, expedite technology transfer, and enhance Malaysia's position as a major bioeconomy hub in the Asian region. Also present were Transport Minister Anthony Loke Siew Fook, Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Tengku Abdul Aziz, and Foreign Minister Datuk Seri Mohamad Hasan. Anwar is leading a Malaysian delegation to the French capital in conjunction with a two-day official visit to the country. – Bernama
New Straits Times
2 hours ago
- New Straits Times
PM discusses high-impact strategic partnerships with 40 French captains of industry
KUALA LUMPUR: Prime Minister Datuk Seri Anwar Ibrahim today chaired a roundtable meeting with 40 captains of industry from France with operations in Malaysia to discuss strategic investment and partnership opportunities in high-impact sectors at the global level. He said Malaysia offers a strategic position as a gateway into the Asean market, supported by political stability as well as investor-friendly policies and a dynamic industrial ecosystem. "I emphasised that Malaysia is now a major hub in the clean energy, semiconductor, and electrical and electronic sectors, and continues to play an important role in the oil and gas industry. "This potential has also been strengthened with the implementation of investment faciliation initiatives by government agencies," he posted on his personal X account, @anwaribrahim, after the meeting that was held in Paris on Friday. Anwar is leading a Malaysian delegation to the city in conjunction with a two-day official visit to France. French companies that participated in the roundtable session included Air Liquide, L'Oréal, Axens, Schneider Electric and Thales which have been well established in Malaysia and continue to show their strong commitment. Anwar said that at the same time, the government is also focusing on empowering small and medium enterprises so they can participate in the global supply chain and become strategic partners to foreign investors, including through technology transfer, training and talent development. "I also encouraged French companies to explore Special Economic Zones and halal parks in Malaysia as well as to establish collaborations in renewable energy, CCUS (carbon capture, utilisation and storage), the digital economy, defence and aerospace in line with the country's inclusive and sustainable economic reformation agenda," he added. France has remained one of Malaysia's top five trading partners among European Union members. In 2024, the bilateral trade between the two nations reached RM15.95 billion (US$3.63 billion), and for the January-May 2025 period, a total of RM6.26 billion (US$1.49 billion) was recorded. – Bernama
The Star
2 hours ago
- The Star
Soccer-Chelsea given huge fine for breach of financial rules
FILE PHOTO: Soccer Football - Premier League - Chelsea v Brentford - Stamford Bridge, London, Britain - December 15, 2024 General view of a corner flag inside the stadium before the match REUTERS/Hannah Mckay/File Photo (Reuters) -Chelsea have been fined 31 million euros ($36.50 million) by UEFA for breaches of its financial rules, while Aston Villa, Barcelona and Olympique Lyonnais were also levied with large fines, UEFA announced on Friday. The punishments come with the potential for far harsher fines down the road, with Chelsea risking being hit with a further 60 million euros if they do not get their finances in order. Barcelona must pay a 15 million euro fine, with UEFA fining Lyon 12.5 million and Aston Villa five million. The teams agreed to settlement agreements which cover periods of two, three or four years, with the clubs' final targets to be fully compliant with the football earnings rule by the end of their specific settlement period. Additionally, Lyon agreed on an exclusion from the 2025/26 UEFA club competitions should the French authority (DNCG) confirm the club's relegation to Ligue 2. ($1 = 0.8493 euros) (Reporting by Lori Ewing; editing by Clare Fallon)
