KUALA LUMPUR, April 1 — The United States’ (US) Ambassador to Malaysia Edgard D. Kagan has expressed confidence in the continued investments of American firms in Malaysia, attributing their interest in its market potential and its integration into global trade networks.
He underscored the enduring economic partnership between the US and Malaysia and highlighted the significant investments and job opportunities generated by American companies in the region.
“We are very proud that US investments in Malaysia have created over 300,000 jobs,” Kagan said on Bernama TV’s ‘The Nation’ programme today.
Malaysia has benefitted extraordinarily from global trade and has prospered as a result of its engagement in international trade.
“One of the things that became very clear during the pandemic was that there were challenges in areas, for instance, like supply chains, which traditional trade did not really address,” he said.
Kagan also highlighted the importance of Malaysia’s participation in the Indo-Pacific Economic Framework (IPEF) and emphasised Malaysia’s role in shaping international trade norms and standards.
IPEF encompasses 14 countries in the Indo-Pacific region, representing about 40 per cent of global gross domestic product (GDP).
It was set up under US President Joe Biden’s administration to address long-term economic issues, enabling partners to nimbly respond and keep pace with new global challenges and opportunities.
The 14 countries are Australia, Brunei, Fiji, India, Indonesia, Japan, Malaysia, New Zealand, the Philippines, Singapore, South Korea, Thailand, the US, and Vietnam.
He said these countries are extraordinarily important and are not limited to those that are part of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), which comprises Malaysia, Vietnam, Brunei, Singapore, Indonesia, Thailand, and the Philippines.
“We are going to grow. I think that having a seat at the table, helping shape the outcomes, reflects Malaysia’s long-standing engagement on trade,” Kagan said, referring to the IPEF.
He added that Malaysia’s long-standing engagement in helping set the norms that govern international trade signals to investors that it wants to be part of setting the highest possible standards.
“You can see the impact of that by the initiatives, the additional flows of investment from American companies into Malaysia since the IPEF was announced,” he said.
Kagan also highlighted the strong US-Malaysia economic ties, citing over RM150 billion worth of foreign direct investments (FDIs) since 2021. The US is Malaysia’s top investor.
— Bernama
