- Korea and Malaysia agree to bolster supply chain cooperation 2023-05-24
Trade, Industry and Energy 1st Vice Minister Jang Young-jin met with Malaysia’s Investment, Trade and Industry Deputy Minister Liew Chin Tong on May 18 to discuss measures for expanding Korea-Malaysia economic cooperation.
The two countries agreed to advance their bilateral economic cooperation on the occasion of the 40th anniversary of the Look East Policy (LEP). Malaysia is Korea’s third and fourth largest trading and investment partner in the ASEAN region, respectively, with their trade value reaching historic highs in 2022.
The two deputy ministers discussed various issues, such as accelerating the signing a memorandum of understanding (MOU) on raw materials cooperation, Malaysia’s government assistance for Korean companies’ investments in new industries like secondary batteries, entering a joint development agreement on clean hydrogen cooperation, entering an agreement on the transport and storage of carbon dioxide across borders, and resuming talks on the Korea-Malaysia free trade agreement (FTA).
Malaysia is rich in natural resources and takes up an important position in the global value chain in terms of electronic and electrical, energy and minerals. Expanding the bilateral economic cooperation is expected to strengthen the basis for establishing a mutually beneficial supply chain, increasing Korean firms’ participation in Malaysian and ASEAN markets, and bolstering the trade partnership.