PETALING JAYA: The investment, trade and industry ministry (Miti) is working on an initiative to streamline the roles and functions of all 31 investment promotion agencies (IPAs) in Malaysia.
Its minister Tengku Zafrul Aziz said the National Investment Council had acknowledged existing external threats to Malaysia’s competitiveness and thus, has entrusted Miti to ease the process of conducting business by realigning the IPA landscape.
“While we (have) just started this initiative, I would like to invite both existing and new investors to share their experiences and suggestions on how we can eliminate pain points and vastly improve investors’ journey in Malaysia.
“We at Miti are always open to constructive feedback,” he said during the Proton and Aapico Hitech Public Company Ltd joint venture announcement here today.
Aapico, one of Thailand’s largest automotive parts companies, will team up with Proton to produce dies, jigs, hot stamping parts, body assembled parts and chassis components.
Under the agreement, Aapico will acquire a 60% stake in Advance Vehicle Engineering Global Sdn Bhd, which will be renamed as Aapico Avee Sdn Bhd, from Proton. Proton will retain the remaining 40% equity.
The partnership will witness Aapico making an initial investment of RM40 million into the joint venture’s 20-acre facility.
Developing automotive sector
Meanwhile, he said the National Automotive Policy (NAP) led by Miti ensures that the automotive industry will continue to thrive in the coming years based on clear goals and targets for its future direction.
“Currently, we have over 30 manufacturers and vehicle assemblers who leverage the country’s ease of doing business and well-established automotive ecosystem to meet the growing domestic and regional demands for their brands.
“The presence of these manufacturers has also had a positive spillover impact on the domestic supply chain, represented by the 641 parts and components makers in the country,” he said.
While the automotive sector contributed RM64.5 billion to the national gross domestic product (GDP) in 2022, the NAP aims to increase its contribution to RM104.2 billion by 2030.
“Additionally, we are targeting RM12.3 billion worth of CBU (completely built up) vehicles exports by 2030,” Tengku Zafrul said.
“Furthermore, we anticipate Proton and its partners to work closely with Miti in realising the targets of our upcoming New Industrial Master Plan 2030, which aims to transform our manufacturing industry and propel Malaysia towards more sustainable and inclusive economic growth.”
Source: https://www.freemalaysiatoday.com/category/business/2023/07/03/miti-to-streamline-investment-promotion-agencies-functions/