Malaysia rolls out red carpet for German businesses

German Prime Minister Olaf Scholz held talks with his Malaysian counterpart Anwar Ibrahim on March 12, who is on a six-day official visit to Germany, to discuss measures to bolster the bilateral relations and issues of mutual concern.

The two leaders discussed the progress of Malaysia-Germany relations, particularly economic cooperation, education, environment, export of palm oil, as well as exchanged views on global issues of mutual interest, including the humanitarian crisis in Gaza Strip.

PM Anwar welcomed more German businesses to take advantage of Malaysia’s strategic location in Southeast Asia and its developed infrastructure as a preferred investment destination.

He highlighted that Germany is its largest trading partner in European Union with total investment of nearly $15 billion.

Leading German companies, including Infineon Technologies AG, have chosen Malaysia as their important hub, he said, adding that Malaysia looks forward to greater collaboration, not only in enhancing trade and investment but also to strengthening bilateral relations in all fields, he said.

For his part, the German PM expressed his desire to further strengthen the partnership between the two countries. He said this is completely consistent with Germany's goal of diversifying economic relationships in the world, especially in Asia.

The two sides emphasised the need to establish a lasting ceasefire in the Gaza Strip, release hostages and provide immediate humanitarian assistance for the Palestinian people.

In addition, the two leaders called on the international community to strive to achieve a two-state solution to resolve the decades-long conflict in the Middle East.

In 2023, Malaysia’s total trade with Germany increased by 5.9% to 13.56 billion USD as compared to 12.79 billion USD in 2022. There are over 700 German companies based in Malaysia, creating 65,000 jobs.