JOHOR BARU: An Asean Industrial Park has been proposed within the Johor-Singapore Special Economic Zone (JS-SEZ) to drive technology transfer, boost competitiveness and diversify supply chains across the region.
Johor Mentri Besar Datuk Onn Hafiz Ghazi mooted the park to attract strategic investments from Regional Comprehensive Economic Partnership (RCEP) member countries, focusing on high-value sectors such as advanced manufacturing, green technology and the digital economy.
"We also hope it will offer customised incentives such as tax breaks, simplified talent mobility and temporary relaxation of fund repatriation rules to make the park highly attractive to foreign investors," he said in his opening remarks at the inaugural JS-SEZ Joint Business and Investment Forum in Persada Johor here on Monday (April 21).
The Johor government also proposed the creation of a Johor regulatory sandbox in JS-SEZ to strengthen the area, said Onn Hafiz.
He said this would create a supervised, flexible environment for testing innovative technologies, policies and business models, particularly in emerging sectors constrained by current regulations.
"We can start with areas like the Ibrahim Technopolis, Ladang Air Manis and Forest City to attract investment and foster cross-border innovation in areas such as fintech (financial technoilogy), smart logistics, renewable energy and autonomous tech.
"Through time-limited regulatory exemptions, the sandbox will enable participating companies, universities and consortiums to achieve faster development cycles, public-private collaboration and real-world policy experimentation.
"We trust that these proposals will receive the necessary consideration and support from our federal and Singaporean colleagues," he said.
Meanwhile, Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Abdul Aziz said he welcomes both proposals.
"I think it aligns with Asean's aspirations to enhance supply chain efficiency and resilience. I think work needs to begin quickly and I will also get MTI (Singapore's Ministry of Trade and Industry) on board," he said.
The forum, themed "JS-SEZ: Bridging Economies, Strengthening Supply Chains", saw the participation of some 1,000 high-level policymakers, business leaders, government-linked companies, institutional investors and industry representatives.
The two-day event is one of the largest forums on economic cooperation between Malaysia and Singapore.
