KUALA LUMPUR: InvestKL’s China Special Channel (CSC) targets to achieve at least RM5bil in investments from China to Malaysia.
This is in line with the memorandum of agreement (MoA) entered into with Chinese Business Chambers to promote and strengthen the collaboration between all parties.
Invest KL CSC will act as a single window for all investment opportunities from China into Malaysia, attracting Chinese companies and global multinational corporations that are exploring in setting up new businesses and regional hubs outside of China or relocate their smart manufacturing and high value services.
The CSC was announced by Finance Minister, Lim Guan Eng when he tabled the Budget 2020 last October.
The protracted trade war between the US and China had created a unique opportunity for Malaysia to be the preferred destination for high value-added foreign direct investments (FDI).
In a speech at the signing ceremony on Monday, InvestKL chairman Datuk Seri Michael Yam said: “CSC can be an effective bridge to not just draw in new investments, but also streamline the engagement process to effectively match Chinese investors with production sites, tax incentives, and supporting talent pipeline.
“With the ongoing US-China trade tensions, large Chinese companies are seeking new locations in Southeast Asia to expand their global businesses. Malaysia not only offers an ideal location for these companies plus a vibrant ecosystem with robust infrastructure, we also have the right multicultural highly-skilled talent that these Chinese companies are attracted to.”
As the lead agency of the CSC initiative, InvestKL will evaluate and channel investment opportunities via active complimentary collaboration with other relevant agencies including the Malaysia Investment Development Authority (MIDA), Malaysia Digital Economy Corporation (MDEC), as well as regional and state investment promotion agencies.
This is to ensure effective last-mile investment facilitation, based on investment criteria such as land, infrastructure and other ecosystem needs.
InvestKL’s CSC intends to attract investors operating in key sectors including consumer technology, smart technology, renewable energy, medical technology, medical devices, electrical and electronics (E&E), mechanical engineering, chemical, and aerospace.
The focus regions include Beijing (Jing-Jin-Ji Area), Shanghai (Yangtze River Delta), and Shenzhen (Greater Bay Area), which are home to 70% of the China Fortune 500 companies, as well as innovative up-and-coming enterprises.
The four chambers of commerce and business councils that formed the alliance with InvestKL are namely, Malaysia-China Business Council (MCBC), China Enterprises Chamber of Commerce In Malaysia (CECCM), The Associated Chinese Chambers of Commerce and Industry of Malaysia (ACCIM), as well as Malaysia-China Chamber of Commerce (MCCC).