China-Malaysia twin industrial parks are set to boost investment and cooperation between the two countries, as well as in the region under the China-proposed Belt and Road initiative, officials said.
Companies from both countries signed a series of agreements on investments related to the Qinzhou Industrial Park in Guangxi, China, and the Kuantan Industrial Park in Malaysia, respectively, including an investment by Guangxi Investment Group to set up an aluminum component manufacturing facility in Malaysia.
Officials said the high level of interest shown thus far toward the twin parks underscores the long-standing partnership the two nations have enjoyed in driving economic growth in the region.
Zhang Xiaoqin, vice governor of Guangxi, told an investment promotion conference here that the twin parks would bring about new growth and opportunities.
Since the two sides joining hands to expand the Kuantan Port less than two years ago, the port has seen doubling in both the volume of cargo it handled and its revenue, Zhang said.
The Kuantan Industrial Park was launched in 2013 and is the first in Malaysia to be jointly developed with China. Its target industries include energy-saving and environment-friendly technologies, alternative and renewable energies, high-end equipment manufacturing and the manufacture of advanced materials.
In the Kuantan Industrial Park a modern integrated steel plant to produce high carbon steel and H-shaped steel is scheduled to become operational in 2017, with an annual production capacity of 3.5 million tons. A porcelain production plant with a total investment of $600 million is also expected to be built.
In Qinzhou the infrastructure for the first area of the industrial park is now ready for projects to move in.
Ong Ka Chuan, minister II of Malaysia’s International Trade and Industry Ministry, said Malaysia should seek the opportunities to participate in the Belt and Road initiative, to boost connectivity with the Belt and Road countries, particularly within Southeast Asian countries through institutions like the Asian Infrastructure Investment Bank.
Meanwhile, the two-day World Economic Forum (WEF) for the Asean kicked off in the Malaysian capital of Kuala Lumpur on Wednesday.
The Asean is composed of Brunei Darussalam, Cambodia, Indonesia, Lao PDR, Malaysia, Myanmar, the Philippines, Singapore, Thailand and Vietnam. The association was set up on August 8, 1967, to accelerate economic, social and cultural development in the region.
Leaders of Asean member-countries are expected to attend the Kuala Lumpur forum, themed “Shaping the Asean Agenda for Inclusion and Growth.”
The program of the forum will involve three major topics: driving sustainable growth and social inclusion; mastering the fourth industrial revolution; and strengthening regional relationships.
The agenda of the meetings and speeches in the framework of the forum will include enhancing productivity through technology shifts, strengthening social-protection systems and promoting stability through efficient governance.
According to the WEF, the forum is set to launch new reports on the future of jobs in Asean countries, as well as other issues of economic development within the association.