KUALA LUMPUR: The US-China trade war will have a positive impact on Malaysia, said Deputy Minister of international Trade and Industry Dr Ong Kian Ming.
He said interest among companies from both countries to invest in Malaysia was rising following the trade war.
“I feel interest in investing in Malaysia has become more apparent after the 14th General Elections. Now, as a result of the US-China trade war, companies from both these countries are showing rising interest towards investing in Malaysia,” he told the Dewan Negara here today.
He was answering a supplementary question from Senator Datuk Chai Kim Sen in relation to the implications of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) which can benefit Malaysia in overcoming the negative impact of the prevailing trade war.
Ong said the ministry was currently undertaking an evaluation as to whether the CPTPP could provide greater benefits in terms of attracting foreign investments resulting from the trade war.
Elaborating further, he said the government had to date made no decision on the CPTPP.
“I feel there is certainly good from the aspect of entering new markets. Although the US has withdrawn from the pact, we still have three new markets, namely Canada which is the world’s 10th biggest economy, Mexico the 15th largest and also Peru.
“Canada and Mexico have also close economic ties with the US under the North American Free Trade Agreement. This can be used a launch pad for companies from Malaysia to enter the US market, and these factors would be considered by the government in deciding whether to ratify the CPTPP or otherwise,’ he added.
Ong said to date, three countries, Mexico, Japan and Singapore had completed their respective ratification process.
He also said implementation of the trade pact would happen from early 2019, if six of the 11 CPTPP countries complete their domestic ratification process. BERNAMA