BEIJING: Malaysia has secured a record RM170 billion in investment commitments from China.
This is a result of 19 memoranda of understanding between businesses in China and Malaysia.
Prime Minister Datuk Seri Anwar Ibrahim said this showed the confidence of the investors in the country.
"We have achieved the commitment of RM170 billion in investments from China. I must thank the investors for giving their cooperation and for giving us confidence.
"This is historic. It is good for Malaysia and the future," he said at the Malaysia-China Business Forum, which was attended by 1,000 business leaders from both countries, here today.
The prime minister is in China to deepen bilateral political and trade relationships.
Earlier, in his keynote address at the forum, Anwar urged Chinese investors and business leaders to leverage the strong bilateral ties and seize the numerous opportunities offered by the Malaysian government.
"I assure you that on my watch, we will ensure that the ease of doing business and undertaking investments in Malaysia will be at the optimal level.
"So build more partnerships with Malaysian companies, particularly in strategic sectors to advance deeper interlinkages," he said.
China has remained Malaysia's largest trading partner for 14 consecutive years, with total trade at US$110.6 billion in 2022.
It was the biggest foreign direct investor in Malaysia last year, with investments amounting to US$12.5 billion.
According to statistics from the Foreign Affairs Ministry, exports to China increased 9.4 per cent to US$47.84 billion in 2022, and imports stood at US$62.78 billion, or an increase of 20.7 per cent compared with the previous year.
Anwar, who is also finance minister, said Malaysia's position as the preferred investment destination has been solidified by the presence of renowned Chinese companies such as Risen Energy, Huawei, Longi Solar, Bytedance, Jinko Solar, EVE Energy, Alliance Steel, Alibaba Group, Geely Auto Group, Xiamen University and many others.
"It is my hope that these companies, which have invested in strategic areas, will continue to expand their presence and work with local partners as well as the government to build new capabilities, develop key industries, and create high-paying jobs for Malaysians."
He said Malaysia would continue to work with China in the Belt and Road Initiative and expand economic cooperation in new growth areas such as green development and the digital economy.
On the regional front, he said Malaysia would work closely with other Asean member states to ensure that the Asean-China Free Trade Area (ACFTA) benefits all parties.
He said the upgrade of the ACFTA would not only deepen trade and investment in the region but also broaden economic benefits with the inclusion of new sectors, namely the digital economy, green economy, competition and consumer protection, as well as micro, small and medium enterprises.
"At the same time, the Straits of Malacca will be kept free and safe for economic and trade flows and international stability.
"It is our moral and historical duty to keep it that way," he said.
The prime minister also witnessed the exchange of 19 MoUs between the companies.
Among the notable MoUs were the heads of agreement between DRB-Hicom Bhd and Zhejiang Geely Holding Group Co. Ltd on the development and commercialisation of an automotive high-technology valley in Tanjung Malim, Perak, for new energy vehicles; and one between the Associated Chinese Chambers of Commerce and Industry of Malaysia and the China Chamber of Commerce for the import and export of machinery and electronic products.
Other MoUs were between Digital Way Group Sdn Bhd, China Silk Road Group Ltd, and China Kairous Capital to jointly establish a Malaysia-China digital and development fund in China and Malaysia, as well as one on the proposed development of a waste-to-energy plant in Malaysia.
International Trade and Industry
Minister Tengku Datuk Seri Zafrul Tengku Abdul Aziz said the MoUs signified the importance of collaboration between companies from China and Malaysia.
"This visit is a very productive one, and a step in the right direction for us," he told the Malaysian media after the event.
He said the ministry would monitor the MoUs to ensure that the commitments are fully realised.
Besides Tengku Zafrul, the prime minister's delegation to China comprised Foreign Minister Datuk Seri Dr Zambry Abdul Kadir, Transport Minister Anthony Loke, Local Government Development Minister Nga Kor Ming, Science, Technology and Innovation Minister Chang Lih Kang and Tourism, Arts and Culture Minister Datuk Seri Tiong King Sing. Bernama