ECERDC identifies 8 potential investments worth RM2.48 billion for Malaysia-China Kuantan Industrial Park

ECERDC identifies 8 potential investments worth RM2.48 billion for Malaysia-China Kuantan Industrial Park

KUALA LUMPUR, March 28 — The East Coast Economic Region Development Council (ECERDC) has identified eight potential investors, seven of them from China, totalled RM2.48 billion for the Malaysia-China Kuantan Industrial Park (MCKIP).

They come from various sectors, including aluminium components processing, heavy machinery manufacturing and petroleum refining industries, ECERDC Chief Executive Officer Datuk Seri Jebasingam Issace John said.

“The momentum and construction progress at MCKIP, which is also Malaysia’s first industrial park to be accorded with a National Industrial Park status, has seen it continuing to attract foreign direct investments (FDI), particularly from China,” he said in a statement Monday.

Jebasingam said ECERDC had also concluded the third Joint Cooperation Council meeting for the “twin parks” MCKIP and China-Malaysia Qinzhou Industrial Park on a high note with a number of positive discussions and announcements.

He said a significant business milestone reached at the meeting was the signing of an Expression of Interest agreement between MCKIP’s master developer MCKIP Sdn Bhd (MCKIPSB) and Guangxi Zhongli Enterprise Group (Zhongli).

This marked Zhongli’s interest in purchasing land within MCKIP to set up its porcelain production facilities worth RM2 billion, he added.

He said that the arrangement was also an outcome of an earlier memorandum of understanding between Zhongli, ECERDC and MCKIPSB, signed on Sept 19 last year.

On MCKIP progress, he said the industrial park made a big impact on the East Coast Economic Region’s (ECER) industrial development and together with the ongoing Kuantan Port expansion, both projects had attracted RM13.5 billion in investments.

Both projects are expected to create 16,015 jobs, entrepreneurial opportunities and other economic spin-offs for Pahang residents, he added.

He said MCKIP’s first investor, Alliance Steel Sdn Bhd, remained as ECER’s single largest investor with RM5.6 billion in approved investments.

“Earthworks for its integrated steel complex were completed in December last year and construction began in February this year. The steel mill is scheduled to begin operations in late 2017.

“In June this year, we will begin earthworks for the 540-acre (218.5 hectares) phase 2 of MCKIP. In addition, we will also be expanding the park by another 1,000 acres (404.6 hectares) under phase 3,” he said.

Meanwhile, he said the expansion of the Kuantan Port would add a new deepwater terminal that could accommodate vessels of up to 200,000 deadweight tonnage and is scheduled to commence operations late next year.

He said with the completion of the new deepwater terminal, the Kuantan Port would be the main gateway to China and the Far East and act as a shipping hub linking Malaysia and China.

In another development, Jebasingam said the Kuantan Municipal Council would host Qinzhou Day from April 1 to 3, lining up events, including renaming a street in the Gebeng Industrial Area to “Qinzhou Road”, an investment promotion conference, and art and cultural exchanges.

— BERNAMA

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