INVESTMENT OPPORTUNITIES
IN MALAYSIA EU Circular Economy Mission to Malaysia | 10 June 2019
www.mida.gov.my
Nelson Samuel Director Foreign Investment Promotion Division
Malaysian Investment Development Authority
2 2
• Briefings
• Data on industries
• Meetings with companies
• Visits to production facilities & service
providers
• Visits to potential locations
• Manufacturing License
• Tax Incentives
• Expatriate Posts
• Import Duty Exemptions
• Representative/Regional Office
• Principal Hub/OHQ
1. PROMOTION
2. APPROVAL
3. IMPLEMENTATION • Handholding
• Post Invest
• Talent
STEP 3
Representative
Office Regional Office
Sales
Office
Principal Hub/Operational HQ
Regional and global businesses and operation to
manage, control, and support key functions
including management of risks, decision making,
strategic business activities, trading, finance,
management and human resource
Production
Facility R&D/
Competence Centre
Training
Centre
STEP 2
STEP 1
First Point of Contact
MIDA - First Point of Contact
• New York • San Jose • Chicago
• London
• Stockholm • Munich • Frankfurt • Milan
• Paris
• Tokyo
• Osaka
Sydney Singapore
Mumbai
Dubai
12 state offices
20 overseas offices and 12 state offices
• Beijing • Guangzhou • Shanghai • Taiwan
Seoul
Truly International
Investment Policies & Incentives
6
Focus Areas
Manufacturing Sector Services Sector
• Manufacturing sector was re-energized towards producing more high value-added, diverse and complex products to accelerate innovation and technology adoption.
• The catalytic subsectors:
• High potential growth subsectors:
• In enabling the services sector to move up the value chain and provide strong linkages with other sectors, the focus will be given to the following subsectors
Medical Devices
Machinery &
Equipment
Aerospace
Chemicals
and Chemical
Products
Electrical and
Electronics
ICT Services
Hotel &Tourism
Medical Tourism
Green Technology
Going Green
Manufacturing Sector Services Sector Green Technology Master Plan as the national strategic plan and implementation framework to catalyse Green Growth towards sustainable development and high income nation by 2020 and to position Malaysia as a Green Technology hub by 2030;
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Circular Economy
Manufacturing Sector Services Sector
60% or 100% on
qualifying capital
expenditure for 5
years
60% on qualifying
capital expenditure
for 15 consecutive
years
For raw materials
/ components
and machinery
and equipment
Income tax
exemption ranging
from 70% or 100%
for a period of 5 or
10 years
Import Duty
Exemption Reinvestment
Allowance Investment
Tax Allowance Pioneer
Status
9
Less Developed Area
100% income tax exemption for
up to 15 years
Major Tax Incentives 20-25 years
PS ITA RA Note: Waste recycling is eligible for either PS or ITA while Green project only avail for ITA.
US$ Billion
Overall Investment Approved in the Economy (2008 –2018)
0
10
20
30
40
50
60
70
80
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
Primary Manufacturing Services
10
USD48.7 bil.
Approved Investments in the Manufacturing Sector (2008 – 2018)
0
5
10
15
20
25
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
DDI
FDI
11
USD21.1 bil.
66%
34%
US$ Billion
12
9.18
7.73
2.92
1.97 1.24 1.22
0.74 0.55 0.54 0.48
Germany Netherlands United
Kingdom
France Spain Sweden Denmark Ireland Italy Luxembourg
Investments Implemented by EU Countries (Manufacturing) as at 2018
USD’ Bil.
Germany 440 46,872
9,183,350,428
32,577,650,857
Netherlands 248 39,321
7,727,623,605
28,574,584,847
United Kingdom
460 38,509
2,918,661,431
9,914,670,244
Spain 7 1,499
1,218,276,099
4,215,715,394
France 122 10,559
1,239,324,415
4,068,188,755
Sweden 92 5,827
736,869,797
2,462,343,034
Denmark 68 5,087
549,768,330
1,855,231,542
Ireland 10 1,739
478,640,760
1,755,163,725
Italy 75 4,598
354,225,649
1,316,996,309
Luxembourg 12 3,204
344,155,370
1,312,533,034
Belgium 32 1,897
357,599,265
1,261,446,759
As at December 2018, 1,632 projects
with the EU’s participation have been
implemented worth RM90.9 billion
(US$25.6 billion) with 165,616
employment opportunities.
Over 5,000 companies from more than 50 countries 13
OIL & GAS ENGINEERING SERVICES
ELECTRIC & ELECTRONIC MACHINERY & EQUIPMENT
PRINCIPAL HUB
POTENTIAL INVESTMENT/
COLLABORATION
E-COMMERCE
REGIONAL ESTABLISHMENT
INDUSTRIAL MACHINERY
ADVANCED TECHNOLOGY
MACHINERY & EQUIPMENT
MEDICAL DEVICES
TRANSPORTATION EQUIPMENT
4.0 4.0 INDUSTRY
POTENTIAL COLLABORATION BETWEEN EUROPE AND MALAYSIA
AUTOMOTIVE
HALAL
PHARMACEUTICAL CHEMICAL PRODUCTS AEROSPACE
Harmonious
Industrial Relations Quality of Life
50 years -Strong
Industry Base
STRATEGIC LOCATION
Stable Banking System
15
Liberal Investment
Policies
Pro-business
Government
Political and Economic
Stability
Young, Trainable and
Educated Labour Force
An Unsurpassed Lifestyle
Home to Tropical Paradise We Embrace Multiculturalism
Well Developed Infrastructure/
Connectivity
IP Protection Excellent Facilities -
Convention and Conferences
Liberal Business
Environment
Capital: Kuala Lumpur Population: 32 Mil. Land Area: 330,399 sq km
English speaking language
16
Thank You MIDA HEADQUARTERS MIDA Sentral No. 5 Jalan Stesen Sentral 5 KL Sentral, 50470 Kuala Lumpur Tel: 603 – 2267 3633 Fax: 603 – 2274 7970 Email: [email protected]