China remains an important trading partner as well as a major source of Foreign Direct Investment (FDI) for Sarawak.

Industrial and Entrepreneur Development, Trade and Investment Minister Datuk Amar Awang Tengah Ali Hasan said up till November last year, the state’s export to China totalled RM5.8 billion while imports amounted to RM4.8 billion.

“We exported mainly LNG (liquefied natural gas) and petroleum products, palm oil, timber and timber products, and electrical components while we imported manufactured goods, machinery and food,” he said at the signing of memorandum of understanding (MoU) on investment, trade and economic cooperation between the state government and Yunnan Province Department of Commerce at ZhenZhuang Guesthouse in Kunming, Yunnan Province, China on Wednesday.

He also pointed out that China’s investment in Sarawak had increased over the years, with the most recent being Comtec Solar Systems Group Ltd which has invested RM1.2 billion for manufacturing solar ingots and wafer slicing while Xi’an LONGi Materials Corporation was investing RM1.066 billion in an integrated manufacturing facility producing solar ingots, wafers, cells and modules at Sama Jaya High Tech Park in Kuching.

“In agriculture, Guangken Rubber Group Co Ltd from Guangdong formed a joint venture with Sarawak Farmers’ Organisation to establish the US$20 million Standard Malaysia Rubber (SMR) factory in Debak, Sri Aman Division.

“As for our power sector, Sinohydro Corporation and Yangtze Three Gorges Technology and Economy Development Co Ltd were involved in the construction of our hydropower dams, whereas China Machinery Engineering Corporation was

the EPC (engineering, procurement and construction) contractor for two of our coal-fired power plants at Sejingkat and Mukah, and a combined cycle power plant in Bintulu,” he revealed.

On the MoU, Awang Tengah, who is also Second Resource Planning and Environment Minister, said the memorandum further built on the friendly relationship that has been established between Sarawak and Yunnan Province through the signing of Letter of Intent in 2015 on the establishment of friendship-province relationship for Kuching City North and Dali Prefecture of Yunnan.

“It is my fervent hope that with the signing of this MoU, the investment, trade and economic cooperation between Sarawak and Yunnan Province will be further enhanced through mechanisms specified in the memorandum such as sharing of information on investment, trade and economic cooperation; mutual visits; and facilitating government departments, chambers of commerce and enterprises to conduct business and investment between the two parties.

“With this cooperation and collaboration, both Yunnan Province and Sarawak will mutually benefit. The increase in investment, trade and economic cooperation between both parties will create more business and employment opportunities.”

During the ceremony, Awang Tengah along with Second Finance Minister Dato Sri Wong Soon Koh and Yunnan Province vice governor Chen Shun witnessed the signing by Assistant Minister of Industrial Development (Investment and Promotion) Datuk Julaihi Narawi representing the Ministry of Industrial and Entrepreneur Development, Trade and Investment and Yunnan Province deputy director general Zhang Hongxia.

Awang Tengah is leading the Sarawak delegation on a four-day official visit to Yunnan Province.

Also present were Assistant Minister of Entrepreneur Development Datuk Naroden Majais, Ministry of Industrial and Entrepreneur Development, Trade and Investment permanent secretary Datu Liaw Soon Eng, Consul General of Malaysia to Yunnan Province Datuk Siow Chen Pin and Yunnan Provincial People’s Association for Friendship with Foreign Countries president Zhou Hong.

Source:
courtesy of THE BORNEO POST

by Marilyn Ten

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