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May 2020 Issue

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May 2020 Issue M A L A Y S I A N I N V E S T M E N T D E V E L O P M E N T A U T H O R I T Y I 2 M s 0 a s 2 y E - N E W S L E T T E R u A M O N T H L Y I N D U S T R Y U P D A T E F O R G L O B A L I N V E S T O R S A N D M O R E ! 0 e Content National Chamber Of Commerce and Industry of Malaysia (NCCIM) Webinar Malaysia: Reactivating the Russian- with Dato' Azman Mahmud, Opportunities Malaysian Cooperation: CEO of MIDA Beyond the Pandemic The Trade Representation of the Russian Federation in Malaysia COVID-19: A Catalyst Sustaining Quality for Malaysia's Investments in the Industry 4.0 New Normal COVID-19: Opportunities for e-Learning Malaysia's Industry Lighthouse Project: The Beacon of Malaysia's Future Industries Events and Highlights Adapting for the Future: The Electronic Manufacturing Services Industry Malaysia-Russia Business Council: Renewed Efforts to Enhance Economic Ties The Port of Tanjung Pelepas: Malaysia’s Technologically Advanced Container Terminal It's easy! Just scan and follow us to be part of our social media community today. MTwIitter DURL : @officAialMIDA | Facebook URL : @officialMIDA | Instagram URL: @officialMIDA LinkedInURL : @officialMIDA | Youtube URL : @officialMIDA E-NEWSLETTE May R2020 Highlights Sustaining Quality Investments in the New Normal alaysia's move to break M the chain of infections through the implementation of the Movement Control Order (MCO) beginning 18 March 2020 is proving to be effective with Malaysia handling the situation relatively well. In tandem, to ensure the resilience of the country's economy, most of the economic sectors have been allowed to operate subject to strict adherence to health and safety guidelines. The Ministry of International Trade and Industry (MITI) was at the forefront in providing Executive Officer of MIDA at Additionally, Bank Negara the necessary approval for the webinar session organised by Malaysia in its statement companies producing essential the EU-Malaysia Chamber on 13 May 2020 said the products and services to stay of Commerce and Industry country’s economic growth had in operation during the MCO (EUMCCI) on 14 May 2020. moderated to 0.7 per cent in period conditionally. the first quarter of 2020 amidst The webinar, entitled ‘How a challenging global economic “The Malaysian Investment Malaysia is Coping with COVID-19 and trade environment. The Development Authority (MIDA) and the Mitigation Measures: Malaysian economy is expected has been instrumental in the MIDA’s Role to Sustain Quality to gradually pick up in the evaluation process by providing Investment Post COVID-19 second half of 2020 as the pertinent inputs to MITI for the attracted more than 200 Government has started final approval to the companies. participants. easing MCO restrictions by While many of us work from allowing more economic home since the beginning of Dato’ Azman highlighted that, activities to operate under the MCO, we had many MIDA based on the survey conducted Conditional MCO (CMCO). officers stationed at MITI, by the Federation of Malaysian around the clock, to facilitate Manufacturers (FMM) and PRIHATIN Economic Stimulus the approval process for MIDA, the MCO has severely Package Supports Businesses companies to operate. During impacted the manufacturing MCO, MIDA continued to sector especially the 3+2 sectors, The PRIHATIN Economic evaluate investment applications namely electrical and electronics, Stimulus Package that has been as well as applications for import chemical, machinery and put in place by the Government duty and sales tax exemptions. equipment, aerospace and does not only address the The National Committee on medical devices. The estimated adverse health and social Investment (NCI) also considered impact from the survey includes impact of the on-going COVID- investment applications every RM21 billion in financial losses, 19 outbreak but also supports week through circulation,” said RM40 billion in export losses and businesses through an RM100 MDato’ AzIman MDahmud, CAhief 190,000 job losses. billion allocation. E-NEWSLETTEMay 202R0 | 1 Some measures within the A significant initiative to be Our local companies are well stimulus package that are undertaken by MIDA is the supported by the Government relevant to companies include: establishment of a mechanism to be reliable suppliers in the in MIDA to facilitate all MNCs’ supply chain network,” Monthly wage subsidy, necessary approvals required said Dato’ Azman. between RM600 to RM1,200 at the federal, state and local for employees earning less authorities’ levels. This is to In closing, Dato’ Azman than RM4,000 per month; ensure speedy implementation emphasised, “MIDA assures A reduction of 25 per cent for of manufacturing projects. our EU investors that once we the levy on foreign workers overcome this challenging for all companies with work The Ministry of Finance (MOF) chapter, Malaysia will be permits that expire during has set up a focus group to stronger in rebuilding its the period of 1 April to 31 formulate the nation’s Short competitiveness and will remain December 2020; and Term Recovery Plan. Out of the a strategic investment location Accelerated capital allowances six sub-working groups, MIDA in Asia. With this goal in mind, over two years, on machinery is contributing significantly MIDA will continue working and equipment including ICT. to four sub-groups, namely closely with the Chambers to the Healthcare Operational support the growth of their Turning a Setback Into a Requirements, Building members’ businesses in Comeback Capabilities and Providing Jobs, Malaysia.” Growth and Resilience of Our “Malaysia will remain an Companies, as well as Short Watch the full video on investor-friendly destination Term Growth and Investor @OfficialMIDA YouTube channel: for long term growth, for both Confidence. https://www.youtube.com/watch foreign and domestic businesses ?v=xdjXpHflav8 alike. As highlighted by the "One of the main challenges Prime Minister of Malaysia, arising from COVID-19 is the reopening of economic the issue of supply chain sectors will be followed by the disruptions. In making implementation of Malaysia's companies’ supply chain more economic recovery strategy. resilience, Malaysia is offering The Government and the private itself as a new alternative base sector will need to strengthen for Asia. We look forward our partnership to revitalise to having more European and reform the nation's companies enhancing their economy in facing the new existing operations in Malaysia. global landscape post COVID- 19,” said Dato’ Azman. MIDA E-NEWSLETTEMay 202R0 | 2 Highlights capability. Some companies require capital injection for National Chamber expansion, structured financing for new projects, joint venture Of Commerce and partners or merger and acquisition. During the webinar session, Dato’ Azman launched Industry of Malaysia the latest MIDA’s initiative, namely the Malaysia’s (NCCIM) Webinar Lighthouse Project, and invite local companies to be onboard in integrating themselves in with Dato' Azman these lighthouse operations. Mahmud, CEO of The Lighthouse Project consists of industry players that have taken Smart Manufacturing MIDA technology from pilot to he Malaysian Investment economy post COVID-19. To integration at scale, thus T Development Authority reduce the economic impact achieving significant financial (MIDA) organised a live webinar of COVID-19 and sustain and operational benefits. The session with the National businesses, the Government term “lighthouse” denotes that Chamber of Commerce and continuously seeks new these factories can act as Industry of Malaysia (NCCIM) on approaches and strategies beacons to guide their supply 21 May 2020. The session, which to facilitate the growth and chain and others that are still featured a keynote address by competitiveness of local looking to apply technologies Dato' Azman Mahmud, CEO of companies, particularly SMEs, such as artificial intelligence, MIDA was joined by Tan Sri Datuk in the domestic arena and additive manufacturing and Ter Leong Yap, President, NCCIM; global markets”. advanced analytics as well as Dato’ Low Kian Chuan, Secretary overcoming challenges in General NCCIM; Mr Tan Weng The Government, through upgrading existing production Hock, Managing DirectorMalaysia, MIDA, has also provided more systems. United BC Team Sdn. Bhd. (UBCT); opportunities for companies Mr. Mohd Shazlan Bin Mohd to move towards digitalisation This also forms part of MIDA’s Anwar, Group Managing Director, or Industry 4.0 through various continuous effort in driving the Virtual Instrument and System initiatives, particularly for initiatives of Malaysia’s national Innovation Sdn. Bhd. (VISI). the SMEs. MIDA encourages policy on Industry 4.0, into SMEs to tap into MIDA’s Domestic reality. The full video is The webinar discussed Investment Coordination Platform accessible at: on matters relating to the (DICP) which provides the missing https://www.facebook.com/4561 impact of COVID-19 and the link between businesses, funding 09417812491/posts/2945078155 Movement Control Order (MCO) technology and research 582259/ on the economy, as well as the measures and support undertaken by the Government to mitigate the adverse impact of the pandemic. According to Dato’ Azman, “As we now have moved into the next phase, it is time to Reboot, MRestart Iand RDevitalise ouAr E-NEWSLETT EMay 202R0 | 3 Highlights Malaysia: Opportunities Beyond the Pandemic he Malaysian Investment to the country’s favourable T Development Authority performance. China emerged (MIDA) participated as one of on top with an index score of the panellists in the webinar 85. The survey assessed the entitled ‘Post Covid-19 Economic response of governments Situation Prediction in Malaysia’, across four key performance organised by the Chinese indicators such as national Enterprises Chambers of political leadership, corporate Commerce in Malaysia (CECCM) leadership, community and on 15 May 2020. The session media.
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