KUALA LUMPUR: American investors should explore and expand their investments throughout Malaysia including Sabah and Sarawak and not confine themselves to only Kuala Lumpur and Penang.
According to outgoing US Ambassador to Malaysia Edgard D. Kagan, Malaysia offers immense investment potential with significant investments in data centres in Johor and industrial development in Kedah.
“They should not focus only on KL or Penang but seek opportunities across the country including Sabah and Sarawak,” he told Bernama.
He said this after a recording on Bernama TV’s “The Nation: Diplomatic Dispatch” hosted by Jessy Chahal, to be aired on Feb 12.
Kagan will be joining a Washington think-tank on Asian studies. He will focus on contributing to strengthening US-Malaysia relations as a private citizen.
Kagan said Malaysia’s key strengths include its talent pool, infrastructure and integration into Western supply chains, which continue to attract long-term US investments.
This, he said, explains why Malaysia is among the largest sources of semiconductors for the United States, with Malaysian products deeply integrated into American supply chains.
“The clearest proof of this is that last year, despite the global turbulence, Malaysia’s exports to the United States grew by 14%,” said Kagan, America’s 22nd ambassador to Malaysia.
According to the Investment, Trade and Industry Ministry, trade with the United States recorded a second consecutive year of growth in 2025, expanding by 13% to RM367.47bil from 2024, accounting for 12% of Malaysia’s total trade.
Exports reached a new high, expanding by 17.2% to RM233.08bil, supported by robust demand for electrical and electronics, machinery, equipment and parts, processed food and metal manufactures.
Kagan said the greatest impact went beyond investment and exports.
American companies helped nurture and develop Malaysians who later led multinational businesses in Malaysia and abroad as top-level executives.
“It is not insignificant that the chief executive officers of Broadcom Inc and Intel Corp, two of the world’s largest technology companies, are Malaysians who began their careers working for American companies in Malaysia.
“This represents a significant intangible benefit and has strengthened the overall economic impact of the US-Malaysia relationship,” he said. — Bernama
