Khaled: G2G partners expected to share tech and boost local industry
PORT DICKSON: Malaysia will only pursue government-to-government (G2G) defence procurement deals with countries it trusts and that are willing to transfer technology to help develop the nation’s defence industry, says Defence Minister Datuk Seri Mohamed Khaled Nordin.
He said trust and technology transfer were among the key criteria guiding Malaysia’s G2G defence procurements.
“It has to be countries that can be trusted and are prepared to undertake technology transfers, which in turn will help develop Malaysia’s defence industry,” he told reporters after a programme with army personnel here yesterday
Mohamed Khaled said G2G procurements not only offer better pricing but also provide greater assurance over the supply of defence assets.
“G2G procurements are more transparent alongside better prices due to the lack of a middleman,” he added.
He stressed that while the government handles the procurement process, the Malaysian Armed Forces determine the operational requirements and technical specifications of the assets to be acquired.
Mohamed Khaled said several defence projects have been identified for procurement through the G2G mechanism.
He added two memorandum of understanding have been signed, one with Turkiye and another with South Korea.
“Several other countries have also expressed interest, such as Italy and France,” he added.
On Friday, Prime Minister Datuk Seri Anwar Ibrahim said Malaysia had reduced the procurement cost of its Littoral Mission Ships by 15% through direct G2G negotiations with Turkiye.
He added that he had raised the proposal with Turkiye President Recep Tayyip Erdogan in one of their conversations.
“Erdogan replied that it was a very good proposition and we have since cut costs by about 15%,” said Anwar during a programme with army personnel.
