Promising prospects, better supprt: (From left) Lai and Abd Latif.
JOHOR BARU: Business leaders have called for clearer information about the Johor-Singapore Special Economic Zone (JS-SEZ), especially over its 11 identified focus areas and the types of industries targeted.
Johor Associated Chinese Chambers of Commerce and Industry president Datuk Jeffrey Lai Jiun Jye said many foreign investors are unaware of the exact locations and regulatory specifics of the JS-SEZ despite the state government identifying the areas for development.
“We need more detailed policy direction and clearer articulation on how these areas will be developed and which industries will be supported,” he said when contacted here yesterday.
Lai added that each of the 11 focus areas may have different industrial applications and tax frameworks, and many foreign investors – especially those from China – are not sure of the opportunities available.
He also said that the ongoing global tariff war has increased the urgency for companies to look for alternative investment destinations.
“China remains Malaysia’s largest trade partner. Due to the shifting tariff rates, many Chinese businesses are looking to diversify their operations and Johor is becoming a key destination,” he said.
Lai stressed that while the JS-SEZ is an excellent opportunity to attract multinational investment, equal support must also be extended to local small and medium enterprises (SMEs), which make up 97% of all businesses in Malaysia.
“Of that number, only 1.7% are considered small; the rest are micro-businesses. If we want long-term growth and resilience, the state must also support the growth of local entrepreneurs from micro to small and medium scale.
“Unlike multinational corporations, local SMEs are committed to staying and contributing to the state regardless of cost shifts,” Lai added, urging government agencies and financial institutions to increase engagement and assistance, including financing, for local SMEs to grow alongside foreign direct investment.
Johor Bumiputera Chambers of Entrepreneurs and Traders vice- president Datuk Abd Latif Bandi said local entrepreneurs have expressed concern about missing out on early JS-SEZ opportunities due to a lack of timely information.
“There is a risk that small businesses may miss the boat, especially those who are just starting. We hope the state can ensure better dissemination of information and include local entrepreneurs in the planning process,” he said.
Abd Latif noted there are promising prospects for local suppliers in areas such as logistics and printing services, but emphasised the need for clearer guidelines and business matching.
“We welcome the JS-SEZ framework, but we need proper follow-through,” he said.
He also highlighted challenges faced by entrepreneurs in accessing government aid or financing.
“There are cases where, even after settling outstanding debts, business owners must wait six months before their status is updated.
“This delay prevents them from receiving financial assistance or loans,” he said, adding that regulatory flexibility should be considered to help entrepreneurs stay afloat,” he added.
Abd Latif also called for better support for NGOs.
He said foreign worker and education issues must be addressed to protect local jobs and social cohesion.
