PETALING JAYA: France and Malaysia share a dynamic and steadily growing trade relationship, built on economic cooperation and investment.
France is Malaysia’s fourth largest trading partner as well as the fifth largest foreign investor to date.
In 2024, bilateral trade totalled RM15.95bil, and RM6.26bil was registered between January and May 2025.
Ties were further strengthened during Prime Minister Datuk Seri Anwar Ibrahim’s recent visit to France in July, where an emphasis on enhancing cooperation in trade and investment, defence, education and tourism took priority.
French Minister Delegate for Foreign Trade and French Nationals Abroad, Laurent Saint-Martin (pic) said however, there is still room for progress for both nations.
In addition to that, the resumption of negotiations between Malaysia and the European Union for a comprehensive and modern free trade agreement that started up earlier this year is likely to yield positive results.
According to Saint-Martin, both Malaysia and France’s economic ties are in various sectors currently, including aeronautics, chemistry, electric vehicles, and semiconductors.
“In the field of aerospace, we expanded our cooperation during Anwar’s visit with the new Airbus orders for AirAsia and Malaysia Airlines. Defence is also a key sector as France has provided plenty of military equipment to Malaysia,” he told StarBiz in an interview recently.
He added there are also a number of important emerging sectors like critical minerals that will require more collaboration.
This was evident by the signing of a memorandum of understanding between local mining company Malaco Mining Sdn Bhd and France rare earth refining and recycling expert, Carester, in July this year.
On what other sectors could see partnerships from both nations, Saint-Martin said clean energy was an increasingly important one.
“Green energy is a region-wide priority for France,” he said.
“French companies such as energy group Engie Engie and TotalEnergies SE are very much involved in this process, and are present in Malaysia through the development of a large-scale solar farm in Perak.”
In addition to that, there is a Carbon Capture and Storage facility in collaboration with Petroliam Nasional Bhd and Mitsui that has collaboration from multiple parties, including the French.
“We are therefore very much interested in developing our footprint in the sectors that enhance our sovereignties and our strategic autonomies, both in Europe and in Asia,” he said.
Meanwhile, Saint-Martin said in light of rising trade tensions, it was critical that both nations continue to enhance their resilience and strategic autonomies.
He said this was the path both French president Emmanuel Macron and Anwar had decided to chart during their last visit.
“Ensuring the security of our supplies in key sectors, such as critical minerals, semiconductors and access to carbon-free energy, will provide significant opportunities to develop our economic ties as well as our respective resilience and strategic autonomy,” he said.
Furthermore, for the future of global economic balance, Saint-Martin said the development of cooperation in the fields of artificial intelligence and digitalisation will be absolutely necessary.
On another note, Saint-Martin said there are about 300 French subsidiaries in Malaysia, as well as some 300 local companies formed by French entrepreneurs.
Both employ roughly about 30,000 people.
“They mostly operate in very important sectors of the Malaysian economy, such as pharmaceutics, electronics, and construction. These companies act as a bridge by facilitating knowledge transfer, promoting French language education, and encouraging cross-cultural understanding.
“This is a very dynamic business community, which is an invaluable asset for Franco-Malaysian ties,” he noted.
These companies don’t only employ people, but also help train the local workforce and in doing so, have helped Malaysia move up the value chains and achieve its decarbonisation target.
When it comes to the cultural and educational fields, Saint-Martin said France has focused on three main pillars to strengthen its cooperation with Malaysia.
“The Alliances Françaises in Kuala Lumpur and Penang offer a programme focused on the French language and culture, tailored to the local context, notably through the French Festival, which unfolds throughout the year through several major highlights,” he explained.
Secondly, he said the Lycée Français of Kuala Lumpur, in partnership with the German School, has established a Eurocampus.
This campus brings together both schools and has contributed to the development of talent in the country.
“Lastly, ties are further reinforced by strong educational cooperation. In public secondary schools alone, the teaching of French involves nearly 15,000 learners across approximately 118 institutions, supported by around 130 teachers, with nearly 3,250 certifications awarded annually.
“Taken together, these elements give a distinctive character to Franco-Malaysian relations in the cultural and educational spheres.”
