
RM11.3b in manufacturing projects already running under Madani govt, says Tengku Zafrul
Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Abdul Aziz said the companies were part of a broader wave of investments, with more projects still under construction.
'This is only part of the companies that have already started operating. If we include those still under construction, the number is even higher,' he said in a video posted on social media platform X.
Among the manufacturers that have committed investments are INV New Material Technology (M) Sdn Bhd (RM3.2 billion), Alliance Contract Manufacturing Sdn Bhd (RM1.5 billion), Chery Corporate Malaysia Sdn Bhd (RM1.4 billion), Dominant OptoTechnologies (RM1 billion), and Cosmx Technology Malaysia Sdn Bhd (RM921 million). — Bernama
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PETALING JAYA: As Malaysia pledges to invest, including with purchases, over US$240bil in the United States to reduce its trade gap with Washington, economists and analysts generally think it is a necessary step that needs to be taken to secure a competitive tariff rate. That being said, some experts acknowledge that the amount of capital involved means that the commitment could be a significant bill to foot, especially over the short term. Minister of Investment, Trade and Industry Tengku Datuk Seri Zafrul Abdul Aziz reported yesterday that Malaysia would be investing up to RM1.02 trillion – over variable time frames on different deals – which he said helped lower the country's tariff rate from 25% to 19% with President Donald Trump's administration. 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Aw explained that the key American products that Malaysia imports are integrated circuits, computers, semiconductor manufacturing equipment, engines and aircraft, all of which the United States is already a dominant source, especially in aircraft and engines. 'This puts forth the question as to whether Malaysia can import more from the United States. 'In Malaysia's imports of electronic integrated circuits where the United States accounts for 14%, is Malaysia able to reduce imports from other key sources such as Taiwan, Singapore, China and Japan to increase US-originated imports? 'This may be possible in the long term as supply chains evolve, but a tall order in the short term,' said Aw. To meet its investment commitment, Aw further approximated that Malaysia is to invest US$7bil each year in the United States over the next 10 years. Citing the country's balance of payments data, he reported that Malaysia's direct investment abroad in 2024 totalled to around US$13.9bil. 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Countries with trade agreements in place, including Malaysia, will enjoy a more level playing field compared to those without such deals, although that group is shrinking over time,' she said. She added that sectors such as semiconductors and data centres may particularly benefit, especially if they can leverage their foreign involvement to foster stronger technological integration with the US economy. This means aligning and linking both countries' supply chains to enable knowledge and technology transfer back home, as outward foreign direct investment also plays a role here by allowing domestic firms to acquire capabilities abroad and upgrade their operations locally based on global best practices. 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