27 April, KUALA LUMPUR – The Second Belt and Road Forum for International Cooperation in Beijing, China recently concluded with newly forged ties between various government and private sector entities. Among the delegates invited to participate in the forum was Sunsuria Berhad’s (Sunsuria) Executive Chairman Tan Sri Datuk Ter Leong Yap, who represented the company to ink business collaborations with two Chinese firms.
Witnessed by YB Tan Kok Wai, Special Envoy of Malaysia to the People’s Republic of China, Ter signed a Memorandum of Understanding (MOU) with Chinese logistics provider Sinotrans Limited (Sinotrans) to explore business opportunities in Smart Logistics Park and Business, as well as a Strategic Cooperation Agreement (SCA) with Chinese automotive design and engineering firm IAT Automobile Technology Co., Ltd (IAT) on ASEAN Automotive Design & Innovation Centre for product research & design, talent development and smart technology.
Leveraging the strategic geographical location of Malaysia as a transit hub, Sunsuria also stands to gain from the experience and networks of its Chinese partners to explore and expand the above business opportunities.
During the signing ceremony, Tan applauded the record-high volume of China-Malaysia bilateral trade in last year amounting to USD108.6 billion (RM443.9 billion) — an increase of 683 times since the establishment of the 45-year diplomatic relationship between Malaysia and China. Strong bilateral ties are set to improve further and trade volume expected to increase as the respective nations’ leaders share a mutual ‘win-win’ understanding. Tan commended Sunsuria for its quick response in seizing opportunities under the Belt Road Initiative to promote working relationships with Chinese-based corporations.
The MOU signed with Sinotrans’ Managing Director, Mr Li Guan Peng will see Sunsuria collaborating with Sinotrans to establish and operate a logistics-related business in Malaysia, in line with China’s Belt and Road Initiative. The proposed joint-venture stands to benefit from Malaysia’s strategic geographical location as a regional logistics hub, as well as upcoming projects such as the Malaysian-China Kuantan Industrial Park, Regional Logistic Hub, East-Coast Rail Link Project Logistic and E-Commerce Business.
Listed on the Hong Kong Stock Exchange and the Shanghai A-Share Market, Sinotrans is one of China’s largest third party logistics providers. Principally engaged in freight forwarding, Sinotrans has operations in logistics, storage and terminal services, truck transportation, shipping transportation and express services.
Meanwhile, under the SCA signed with Dr Xuan Qi Wu, the Managing Director of IAT, Sunsuria aims to form a joint-venture company together with IAT, one of China’s leading independent automotive design and engineering entities, to establish the ASEAN Automotive Design and Innovation Center (AADIC), a research, development and innovation hub to undertake automotive product design, industry talent development through training & learning, car sharing, test track and cutting-edge technology services in order to improve operational efficiency for the automotive industry in Malaysia and Southeast Asia.
The AADIC is set up to be the main operation centre to import electric vehicles that have been legally modified in China, and to obtain a car-sharing operations license in Malaysia. Sunsuria’s flagship integrated development, Sunsuria City, will be the launchpad of the first fleet of 100 imported electric vehicles.
IAT, which designs and develops cars for almost every major Chinese automaker will look into prospective partnerships with schools and enterprises to cultivate local Malaysian talent and services in the automotive sector.
Under the arrangement of the Malaysian Investment Development Authority (MIDA), Minister of International Trade and Industry Malaysia, YB Datuk Ignatius Darrell Leiking attended the presentation of collaborations and exchange of ideas between Sunsuria and IAT.
Leiking expressed his optimism that the partnership will promote technology transfer and strengthen the quality of training in Malaysia.
“We are looking forward to participating in the AADIC, as the initiative will make Malaysia the central focus of ASEAN in cutting-edge automotive research, talent development in the automotive industry, as well as improving the quality of the students through advanced technology, management processes and engineering research and development. Besides, this will provide more practical training for the students in improving their capability in design and development,” said Ter during the presentation.
“I am pleased to announce Sunsuria’s partnerships with Sinotrans Limited and IAT Automobile Technology Co., Ltd as they reflect our commitment towards continuous improvement and innovation. By tapping into Sinotrans’ vast experience, we are confident that Sunsuria will be able to capitalise on the Smart Logistics Park and Business at the opportune time with the strong growth of cross-border e-commerce, while the Belt and Road Initiative goes into full swing with major infrastructural projects underway. Through a diversified portfolio of innovative business ventures, we look forward to delivering even more value to our stakeholders.
Also, by leveraging on IAT’s technical expertise and international network, electric car-sharing will soon be a reality in Sunsuria City, living up to the township’s ‘Smart, Livable and Sustainable’ concept of integrated connectivity and intelligent convenience,” said Ter.
Also, by leveraging on IAT’s technical expertise and international network, electric car-sharing will soon be a reality in Sunsuria City, living up to the township’s ‘Smart, Livable and Sustainable’ concept of integrated connectivity and intelligent convenience,” said Ter.