Malaysia's Shipping Industry Remains Resilient -- Shipping Association Malaysia

PETALING JAYA, Aug 18 (Bernama) -- Malaysia's shipping industry remained resilience by meeting the rising global demand and generating profit despite the global trade uncertainties, said Shipping Association Malaysia (SAM) chairman Ooi Lean Hin.

He said the industry continues to channel substantial investments into expanding capacity and advancing renewable and green fuel technologies, positioning the industry for the new global trade order.

“The industry has invested to meet the increasing demand on decarbonisation targets set by the International Maritime Organisation 

“The huge profits achieved by the industry over the last five years have largely been reinvested into new buildings (infrastructure), ensuring that shipping services remain resilient and future-ready," he said in his opening remarks at the Gateway to Asia: Maximising Trade Growth Between Hong Kong and Malaysia seminar here today.

Ooi said the landscape of global trade is rapidly shifting, driven by economic growth dynamics of emerging markets, geopolitical tensions and trade wars.

He noted that the rise in protectionism over a free trade order mainly due to the imposition of United States (US) President Donald Trump's tariffs has disrupted global supply chains 

"The US tariffs, apart from creating huge swings in demand and volumes, are also driving a lot of supply chain realignments away from China to parts of Southeast Asia.

"However, this creates new opportunities for Malaysia and other regional peers such as Vietnam, Thailand and Indonesia, to attract more foreign direct investments," he said.

Meanwhile, Hong Kong Economic and Trade Office director-general Libera Cheng encourages Malaysian shipowners and operators to register their vessels in Hong Kong to benefit from the country's vast accessibilities to major markets and government incentives.

"In Hong Kong, we have access to over 500 points worldwide and very competitive tax policies and assurance of high safety and environmental standards.

“Therefore, we are looking forward to work with the Malaysian maritime sector and shipping sector on sustainable maritime development, sharing best practices, assessing new fuel technologies, benefitting from digital advancement and innovation to improve port and shipping operations," she said.

-- BERNAMA