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November 26, 2009 18:49 PM

MIDA Targets RM1.5 Billion In FDI From US Mission

KUALA LUMPUR, Nov 26 (Bernama) -- The Malaysian Industrial Development Authority (MIDA) is targeting RM1.5 billion in foreign direct investments (FDIs) from a trade and investment mission to the United States next month.

The six-day mission, from Dec 7 to 12, is aimed at strengthening networking and business joint ventures to attract new investments to Malaysia and promote Malaysian products and services.

MIDA deputy director-general I Datuk Afifuddin Abdul Kadir said the US mission was timely, considering the current global economic slowdown and the need to increase promotion and marketing activities to further enhance trade as well as the inflow of FDI.

During the mission, MIDA chairman Tan Sri Dr Sulaiman Mahbob will visit American companies in the information and communications technology (ICT) sector and electronics industries in Los Angeles and San Francisco to discuss the potential of investing in Malaysia, he said.

"Between Los Angeles and San Franciso is Silicon Valley where many ICT and electronics companies such as Seagate, Western Digital and Google are located," he told reporters at a media briefing here Thursday.

Currently, a total of 629 American companies are operating in Malaysia with their investments valued at RM38.9 billion.

From 2005 to September 2009, a total of 148 US manufacturing projects with a total investment of RM19.6 billion were approved, Afifuddin said.

During the January to September 2009 period, 12 projects were approved with a total investment of RM289 million, he said.

The investment was mainly in electronics and electrical products, petroleum products, chemical and chemical products, transport equipment, basic metal products, and machinery and equipment.

Among the major US companies operating in Malaysia are Intel, Titan, On Semiconductor, Agilent Technologies, Western Digital, Silterra, Texas Instruments and Motorola.

The US was the Malaysia's second largest trading partner last year, accounting for 11.7 per cent of Malaysia's global trade. Total trade between two countries was valued at RM139.2 billion.

For the January to September 2009 period, total trade between Malaysia and the US decreased by 26.4 per cent to RM79.1 billion from RM107.5 billion in the same period in 2008 due to the global economic downturn.

Total exports declined by 32.2 per cent to RM43.7 billion while total imports dropped 17.7 per cent to RM35.4 billion during the period.

"The bilateral trade between the two countries, though decreased, is still good compared to other countries," Afifuddin said.

During the mission, seminars on "Malaysia-US Business Opportunities" will be organised in Los Angeles on Dec 8 and San Francisco on Dec 10.

Executive roundtable meetings with American captains of industries will be held in Los Angeles on Dec 9 and San Francisco on Dec 11.

At the meetings, MIDA will highlight business opportunities in Malaysia and update the American business community on recent measures taken by the government to enhance business environment in Malaysia.

The 63-member delegation will comprise representatives from state governments, Permodalan Nasional Bhd, Companies Commission of Malaysia, Halal Industry Development Corporation, Malaysian Biotechnology Corporation Sdn Bhd, and Malaysian Palm Oil Council.

Also included are senior executives of Malaysian companies as well as officials from the Ministry of International Trade and Industry, Malaysia External Trade Development Corporation and MIDA.

-- BERNAMA

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