Latest news with #Vision2045AseanCommunityStrategicPlan
New Straits Times
2 days ago
- Business
- New Straits Times
Tengku Zafrul: Malaysia to gain from improved US-China cooperation
KUALA LUMPUR: Malaysia stands to gain from improved US-China cooperation, according to Minister of Investment, Trade and Industry, Datuk Seri Tengku Zafrul Tengku Abdul Aziz. At a press conference held after the Regional Socialisation of the AEC Vision 2045 Asean Community Strategic Plan today, Tengku Zafrul addressed the implications of global geopolitical developments, including former US President Donald Trump's recent statement that negotiations with China have concluded. "As a government, we view this situation positively because negotiations have moved from Geneva to London and are progressing on the right track," he said. "We hope this will bolster the global economy. As a trading partner to both the US and China, Malaysia stands to benefit if they enhance cooperation." Industry insiders believe the outcome of US-China negotiations will have a significant impact on Malaysia's economy, given the country's strong trade and investment ties with both global powers. They said improved relations between the two nations could help ease trade tensions, lower tariffs, and stabilise global supply chains, all of which would benefit Malaysia, particularly as a major exporter and regional manufacturing hub. "As Asean positions itself as a neutral trade bloc, Malaysia has the potential to act as a bridge between East and West, strengthening its role in global trade and supply chain resilience," one insider noted. Calmer US-China ties, they said, could also boost global investor confidence, drawing more capital into Malaysia. The country stands to gain further from multinational companies looking to diversify away from China under the "China +1" strategy, especially in sectors like electronics, semiconductors, and high-tech manufacturing.
New Straits Times
2 days ago
- Business
- New Straits Times
Tengku Zafrul: Foreign investors remain commited to Malaysia amid global uncertainty
KUALA LUMPUR: Foreign companies with existing investments in Malaysia continue to maintain their operations, with no signs of withdrawal despite ongoing global economic headwinds. Minister of Investment, Trade and Industry, Datuk Seri Tengku Zafrul Tengku Abdul Aziz, said this reflects the strong confidence foreign investors have in Malaysia's robust and resilient investment ecosystem. However, he noted that new investors are approaching with caution, adopting a "wait-and-see" stance amid rising geopolitical complexities. "This is particularly due to the increasingly complex geopolitical uncertainties. So far, no existing investors have expressed intentions to leave Malaysia," he said during a press conference after the Regional Socialisation of the AEC Vision 2045 Asean Community Strategic Plan. "They remain committed to their investments, and no cancellations have been announced. In our engagement sessions with investors, we found that various factors are being considered before investment decisions are made, particularly the geopolitical tensions between the United States and China." Tengku Zafrul added that forecasting future investment flows has become increasingly difficult given the rapidly evolving global landscape. On Wednesday, Malaysia reported approved investments totalling RM89.8 billion for the first quarter of 2025, marking a 3.7 per cent increase compared to the same period last year, despite challenging global economic conditions. Of this amount, foreign investments (FI) contributed RM60.4 billion, or 67.3 per cent, while domestic investments (DI) accounted for RM29.4 billion, or 32.7 per cent. Tengku Zafrul said the investment figures for the first quarter of 2025 were unexpected but a highly positive development. "Typically, investment performance in the first quarter is somewhat slow, as most investment decisions are made towards the end of the year. But this time, the figures are very encouraging," he said. "Nearly 70 per cent of the total investments were foreign direct investments (FDI), with the services sector, particularly the digital economy, emerging as the primary contributor," he explained. He added that the country's gross domestic product (GDP) growth forecast for 2025 remains on track. "We continue to see investment performance aligning with the country's GDP growth," he said.
