China, Malaysia bonds bolstered by 'Belt and Road'

By Chen Boyuan

China.org.cn, July 16, 2015

China's "Belt and Road" initiatives will mean more business opportunities for Malaysia, agreed government leaders, entrepreneurs and scholars from both countries at the "One Belt and One Road" China-Malaysia Business Dialogue held Wednesday, July 15 in Beijing.

Malaysia is situated in a geographically strategic place on the 21st Century Maritime Silk Road, part of China's "Belt and Road" initiatives. That means that the initiative presents "unprecedented development opportunities" for both Malaysia and China, asserted Zhou Li, Vice Minister of the International Department of the Central Committee of the Communist Party of China (IDCPC).

Zhou urged local governments and business sectors from both countries to deepen "practical cooperation" to make the most of the long-standing friendship between the two countries’ governments and amicable ties between their main political parties.

The CPC and the Malaysian Chinese Association, one of the three major component parties of the ruling National Front coalition in Malaysia, have maintained good relations for more than 20 years, facilitating business exchange, Zhou said. He also added that the interparty rapport between the CPC and the MCA is a supplement to their 41 years of diplomatic ties.

"Over the past 40 years, the two countries have continued to enhance mutual political trust while ensuring a smooth channel for interparty communications. The closeness of economic cooperation between the two countries today is unprecedented," Zhou said.

The volume of bilateral trade between China and Malaysia stood at US$102.02 billion in 2014, more than 500 times the 1974 figure of less than US$200 million. China has also been Malaysia's largest trading partner for many consecutive years.

Liow Tiong Lai, president of the Malaysia Chinese Association and Malaysia's minister of transport, said Malaysia was keen to participate in the shaping of the "Belt and Road" initiatives. As for specific measures, Liow said the Malaysian government would call on countries along the 21st Century Maritime Silk Road to form a port alliance to further streamline shipping and trade, accelerate the construction of free trade zones and industrial parks to attract more investment from Chinese companies, and encourage bilateral business cooperation in the halal foods industry.

"Malaysian entrepreneurs and Chinese businessmen are buddies. We will strive together for a unified objective," said Liow.

He said Malaysia welcomes Chinese investment and will allow foreign stakes of as much as 30 percent to 40 percent in its ports. Liow added that the Malaysian government will ensure the safe and easy passage through the strategic Malacca Strait.

"’Belt and Road’ is homophonic with the phrase 'to lead the way' in Chinese. Malaysia wishes to share the fruits of development with China by participating in the Belt and Road, and to that end, Malaysia is fully prepared to be a full-time partner," Liow said.