EU-Malaysia bilateral trade expected to remain strong

KUALA LUMPUR: The strong trade and investment momentum between the European Union (EU) and Malaysia is expected to continue this year, driven by the conducive business environment in the country.

Last year, the bilateral trade grew to RM143.97bil from RM135.78bil in 2013, while investments from the EU to Malaysia rose to RM8.69bil last year from RM5.11bil.

International Trade and Industry Ministry secretary-general Datuk Rebecca Fatima Sta Maria said Malaysia remained an important destination for EU investors and the grouping was Asean’s second largest trading partner.

“My meeting with the EU business community showed that they are very optimistic over the business environment in Malaysia.

“Also, many were talking about expanding their businesses and none about downsizing,”she told reporters on the sidelines of the EU-Malaysia Trade and Investment Forum 2015 here yesterday.

Also present were EU Ambassador and Head of Delegation to Malaysia Luc Vandebon and Minister Counsellor and Head of Trade and Economic Relations Section Sandra Callagan.

Sta Maria said currently, there are several projects in the pipeline involving EU investors and the ministry would continue to facilitate the business deals.

Meanwhile, on the free trade agreement (FTA) between Malaysia and the EU, she said both parties were still looking at the parameters and evaluating whether they were ready to carry on with the agreement. — Bernama

Callagan said the EU was hopeful that Malaysia would revived the FTA discussions which was halted since last year.

She said with Malaysia being involved in the Trans-Pacific Partnership Agreement (TPPA), it was hopeful that it would change the country's view on the importance of the Malaysia-EU FTA.

Initiated in 2010, the FTA was initially targeted to be finalised in 2013 but was delayed to last year, during which discussions were halted.

Organised by the EU-Malaysia Chamber of Commerce and Industry (EUMCCI) with the theme "Meeting Challenges for Growth in Asean", the forum focused on the Asean business integration and its challenges and opportunities. — Bernama