ISKANDAR PUTERI: Germany is looking to deepen its economic footprint in Johor, with about 70 German business representatives set to explore opportunities in the Johor-Singapore Special Economic Zone (JS-SEZ).
Germany’s ambassador to Malaysia Silke Riecken-Daer said the high-level “Team Germany” delegation was in Johor to strengthen cross-border cooperation and explore new investment opportunities in the rapidly developing economic zone.
“We came here together in the true spirit of a cross-border trip to Johor,” she said after a meeting with Johor investment, trade, consumer affairs and human resources committee chairman Lee Ting Han at Bangunan Dato Jaafar Muhammad in Kota Iskandar here on Wednesday (May 13).
The delegation included representatives from the German embassy in Singapore, the Malaysian-German Chamber of Commerce and Industry (MGCC), the Singaporean-German Chamber of Commerce (GCS), Germany Trade and Invest (GTAI) and 55 German companies based in Malaysia and Singapore.
Riecken-Daer said the delegation also appreciated the presence of Johor Mentri Besar Datuk Onn Hafiz Ghazi, who joined part of the discussion.
“We just had a very interesting initial discussion with Lee and his team, and also the Mentri Besar found the time to join us for part of the meeting, which is very much appreciated,” she said.
Riecken-Daer said Germany already has a strong investment presence in Malaysia, with around 750 German companies operating nationwide.
She said about 90 German companies are currently based in Johor, mainly in advanced manufacturing and industrial sectors.
“We do feel that there is potential for further growth in that respect,” she said.
Riecken-Daer noted that German firms, especially those already operating in Singapore, were showing increasing interest in expanding into Johor through the JS-SEZ initiative.
“We do observe a sense of dynamics here in the special economic zone, which you have designed.
“We see a lot of cross-border interest from our many companies who are based in Singapore and a lot of strategic interest in expanding operations to Johor,” she said.
She described Johor as an attractive investment destination due to its strategic location, maritime access, availability of land and a skilled multilingual workforce.
“I remember standing in the boardroom overlooking the Straits, seeing the vastness of Johor, while also viewing across Singapore and even Indonesia on the horizon.
“So that is very impressive,” she said.
Riecken-Daer said current global uncertainties and supply chain disruptions were prompting German companies to diversify investments and strengthen partnerships in Southeast Asia.
“As a trading nation and a middle-class power, we really have an interest in diversifying our supply chains, forging new partnerships and investment opportunities.
“I think Johor is a very good candidate for that,” she said.
Meanwhile, Lee said most German companies currently operating in Johor are involved in advanced manufacturing, chemical industries and logistics.
He added that Johor was keen to strengthen cooperation with Germany in talent development and technical education.
“We are aware that Germany is very strong in technical and vocational education,” he said.
Lee said Johor already has existing collaboration with German partners through the Johor Skills Development Centre, particularly in the oil and gas sector.
However, he said the state hoped to expand cooperation into other high-value industries.
“Advanced manufacturing, automation, electric vehicles and the automotive industry are areas where Germany is very strong.
“We can continue discussions to establish further cooperation,” he added.
