NANNING, CHINA, 10 September 2016: As the East Coast Economic Region (ECER)’s trade with China continues to grow despite the challenging business environment, the East Coast Economic Region Development Council (ECERDC) is firm in its commitment to attract greater investments from China as well as forge stronger partnerships with the country’s government agencies and private players. ECERDC participates in the 13th China-ASEAN EXPO 2016 (CAEXPO 2016), in Nanning, China, building on the success of its previous participation which has resulted into key investment opportunities and strengthened ECER’s reputation in global markets.
Capitalising on the already strong trade ties with China, ECERDC will conduct a series of business meetings with identified potential investors and partners. Many of these potential investors had participated in the Second Investment Promotion Conference for Malaysia-China “Two Countries, Twin Parks” held earlier in Kuala Lumpur this year. This reflects a positive development which signifies China’s continued confidence in investing in ECER. In addition, ECERDC will also be engaging the top management of existing China investors at the ECER as part of its continuous effort to coordinate and facilitate current investments within the economic region.
“China has emerged as one of the world’s largest outbound direct investors today. Backed by the ‘One Belt One Road’ and Silk Road initiatives, we believe that the pace of potential investments into the ECER from China will expand further, creating more jobs and spurring economic growth in the region,” said Datuk Seri Jebasingam Issace John, Chief Executive Officer of ECERDC.
“Today, more and more companies and manufacturers are looking to build global value chains at cost competitive locations. CAEXPO has proven to be an effective, strategic entry platform to showcase the various investment opportunities in ECER to potential investors, especially given the increasing interest in real estate, high-end manufacturing and resource-based industries at our the key industrial parks. Hence, we have put in place a series of meetings and networking events with various Chinese investors to discuss the opportunities within the ECER,” Datuk Seri Issace added.
The Malaysian Pavillion at the Nanning International Convention and Exhibition Centre (NICEC) was opened by Minister of International Trade and Industry II, YB Dato’ Seri Ong Ka Chuan today. YB Dato’ Seri Ong Ka Chuan leads the Malaysian delegation to CAEXPO, while the ECERDC team is led by Datuk Seri Issace.
Several key industrial parks and investment opportunities within the ECER will be promoted at the CAEXPO 2016. These include the Malaysia-China Kuantan Industrial Park (MCKIP), Kuantan Integrated Biopark, Gambang and Pasir Mas Halal Park, Kertih Biopolymer Park and the Kuala Terengganu City Centre, among others.
ECERDC aims to attract RM110 billion worth of investments by 2020, creating 60,000 entrepreneurs and 200,000 jobs. As at May 2016, the ECERDC has achieved 82% of its RM110 billion investment target, with RM90.8 billion in committed and approved investments as well as another RM25.2 billion in potential investments. This in turn has also generated over 97,683 job opportunities for the people in the region.
Of the total foreign investment in ECER, more than RM13.6 billion or 38.5% are made up of China investors, centred mostly at the Malaysia-China Kuantan Industrial Park (MCKIP), which is located within the ECER Special Economic Zone (SEZ). With the increasing demand for land from China investors, MCKIP which began in 2013 with 1,400 acres, was given the approval last year to be expanded to 3,000 acres. This reflects a positive development which signifies China’s continued confidence in investing in ECER.
Earlier this year, MCKIP secured investments worth RM1.58 billion from China and Malaysia, reflecting investors’ solid confidence in ECER. LJ Hightech Material Sdn. Bhd. has committed to invest RM1 billion in high-technology production-based centre to produce concrete panels for construction industries and activated rubber powder while Guangxi Investment Group has committed to invest RM580 million in an aluminium component manufacturing facility.
“The ECER is rapidly transforming into one of Malaysia’s most dynamic regions, offering diverse business opportunities for international investors who are looking to make fresh investments or expand their existing facilities. The Government, through ECERDC, will continue to invest in strategic game-changing infrastructure such as ports, highways and industrial parks while introducing various incentives and business-friendly policies to ensure that the region remains a premier investment destination,” said Datuk Seri Issace.
CAEXPO 2016 will be held in Nanning, China from 11 to 14 September 2016, with the theme “Building the 21st Century Maritime Silk Road, Forging an Even-closer China-ASEAN Community of Common Destiny”. First organised in 2004, the annual event has brought together government and ministerial officials, government-linked companies as well as private corporations from China and ASEAN to promote trade and economic cooperation. This is ECERDC’s fifth participation at CAEXPO.
In addition to CAEXPO 2016, ECERDC will also be working with the Ministry of International Trade and Industry (MITI) and Malaysian Investment Development Authority (MIDA) to intensify efforts to attract trade and investments in ECER from China by participating in the “1Malaysia Promotion Programme” in Shanghai between 10 and 11 November 2016.