Malaysia and Egypt have significant opportunities to help each other access their respective markets as the former serves as a gateway to the dynamic ASEAN economy and the latter will serve as an entry point to the Middle Eastern and African markets.
Minister of Investment, Trade and Industry Tengku Datuk Zafrul Aziz said that these opportunities were possible following a recent meeting with senior management from over 60 leading Egyptian companies and 20 Malaysian companies.
He noted that Prime Minister Datuk Seri Anwar Ibrahim emphasised the substantial opportunities not only in the Malaysian market, but also in the expanding ASEAN market.
“With Malaysia set to assume the ASEAN chairmanship in 2025, Egypt has the chance to enhance its engagement with the ASEAN region through close collaboration with Malaysia,” he said, adding that sectors such as palm oil, pharmaceuticals, medical devices, energy, food security, infrastructure and technology were identified as strategic areas for Egyptian companies to explore.
He also highlighted that through Malaysia’s network of 16 Free Trade Agreements (FTAs), including with ASEAN, the Regional Comprehensive Economic Partnership (RCEP) and the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), Egyptian investors have the opportunity to enjoy wider access and attractive incentives to international markets beyond regional borders, including countries like Japan, Australia, Canada and Latin America.
“With strong support from MITI and Malaysia’s investor-friendly ecosystem, Egypt is now in an excellent position to leverage this platform to strengthen its presence in this fast-growing region,” Tengku Zafrul said.
Currently, Egypt stands as Malaysia’s fifth-largest trading partner in Africa, with trade value reaching RM3.35 billion in 2023.
12 Egyptian companies interested in to invest in Malaysia
At the same time, the Malaysian Investment Development Authority (MIDA) – which is an agency of the Ministry of Investment, Trade and Industry (MITI) – has identified 12 leading Egyptian manufacturing companies interested in exploring investment opportunities in Malaysia.
According to Tengku Zafrul, the companies were interested in exploring investments in the pharmaceutical, medical device, aerospace and petrochemical sectors, with the leading industry being the Egyptian manufacturing companies.
During a roundtable meeting held in Cairo, Egypt that was attended by around 60 industry and business leaders from 47 leading companies and business associations from Egypt, Tengku Zafrul pointed out that 28 high-value industrial companies including in the automotive, chemical, oleochemical, food, palm oil-based products, personal care, renewable energy (RE), logistics, finance and construction sectors were invited.
From the meeting, the minister revealed that all the companies concerned have now imported goods and services from Malaysia worth RM505.2 million.
“The roundtable meeting had generated potential exports of RM4.8 billion. This shows great trade opportunities, particularly in the high-value innovation sectors outlined under Malaysia’s New Industrial Master Plan (NIMP) 2030,” he stated.
Tengku Zafrul added that the companies present at the roundtable conference also expressed interest in acquiring various products and services from Malaysian suppliers including automotive spare parts and components, palm oil, cooking oil and fats, oleochemicals, detergents, special chemicals, solar panels and inverters, building materials as well as food and beverage (F&B) products.
Recently, the prime minister also officiated the launch of a Proton Holdings Bhd car assembly plant in Cairo, for the assembly of completely knocked down (CKD) Proton Saga cars in Egypt, which is set to begin in December.
According to Anwar, Proton is a brand that is associated with Malaysia and it is known in many countries, even in Europe.
The Proton Saga assembly plant will increase car exports to Egypt to 16,000 units between this year and 2026, generating revenue of RM570 million. An additional RM20 million in income is expected to be generated through the sale of spare parts.
Proton chairman Tan Sri Syed Faisal Albar said the national carmaker will continue to explore new markets to ensure the local car brand continues to thrive.
Syed Faisal pointed out that every year, Proton intends to make Egypt the main hub of Proton in the northern Africa region, making Egypt as the first for the company’s left-hand drive model abroad.
“We hope this platform provides the potential for Proton to expand further into neighbouring countries by making Egypt the main hub,” the chairman said.
