About 70 German company representatives are scheduled to explore opportunities in the Johor-Singapore Special commercial Zone (JS-SEZ) as part of Germany’s efforts to expand its commercial presence in Johor.
The high-level “Team Germany” group was in Johor to enhance cross-border cooperation and investigate new investment prospects in the quickly growing economic zone, according to Silke Riecken-Daer, Germany’s ambassador to Malaysia.
“We came here together in the true spirit of a cross-border trip to Johor,” she remarked following a meeting on 13th May at Bangunan Dato Jaafar Muhammad in Kota Iskandar with Lee Ting Han, chairman of the Johor Investment, Trade, Consumer Affairs and Human Resources Committee.
Germany Trade and Invest (GTAI), the Malaysian-German Chamber of Commerce and Industry (MGCC), the Singaporean-German Chamber of Commerce (GCS), the German embassy in Singapore, and 55 German businesses with locations in Singapore and Malaysia were part of the delegation.
The group particularly valued Menteri Besar Johor, Datuk Onn Hafiz Ghazi’s participation in the conversation, according to Riecken-Daer.
“The Menteri Besar made the time to join us for a portion of the meeting, which is greatly appreciated, and we just had a very interesting initial discussion with Lee and his team,” she remarked.
Germany already has a significant investment presence in Malaysia, according to Riecken-Daer, with about 750 German businesses operating there, with about 90 German companies currently based in Johor, mainly in advanced manufacturing and industrial sectors.
She stated, “We do believe that there is potential for further growth in that respect.”
Riecken-Daer observed that German companies were becoming more interested in using the JS-SEZ plan to grow into Johor, particularly those that were already doing business in Singapore.
Here in the special economic zone that you have created, we do notice some dynamics.
“We see a lot of strategic interest in expanding operations to Johor and a lot of cross-border interest from our many Singapore-based companies,” she stated.Johor’s strategic location, marine access, land availability, and multilingual workforce, according to her, make it a desirable place to invest.
According to Riecken-Daer, German businesses are diversifying their investments and fortifying their alliances in Southeast Asia as a result of the current global uncertainties and supply chain disruptions.
We truly want to diversify our supply chains and create new alliances and investment opportunities as a middle-class country and trading nation. She stated, “I think Johor is a very good candidate for that.”
According to Lee, the majority of German businesses that are presently active in Johor are engaged in advanced manufacturing, chemical industries, and logistics, adding Johor was eager to increase collaboration with Germany in the areas of technical education and talent development.
“We are aware that Germany is very strong in technical and vocational education,” he said.
According to Lee, Johor already collaborates with German partners through the Johor Skills Development Centre, especially in the oil and gas industry.
He did, however, add that the state intended to broaden collaboration into further high-value sectors as Germany excels in advanced manufacturing, automation, electric vehicles, and the automotive sector.
