Malaysia and Japan, both strong proponents of fair, open and rules-based multilateral trade, have demonstrated resilience in the face of economic headwinds. Through strategic partnerships and diversified economic linkages, our countries have built a trusted and enduring relationship rooted in shared values and mutual respect, which provides stability in an increasingly uncertain world.
In 2024, bilateral trade reached an impressive 152.75 billion ringgits ($33.39 billion), making Japan one of Malaysia’s top five trading partners. Malaysia and Japan’s common membership in the Regional Comprehensive Economic Partnership and the Comprehensive and Progressive Agreement for Trans-Pacific Partnership has also contributed to increased trade between them.
Japanese investments have long played a pivotal role in Malaysia’s industrial and economic growth. By the end of 2024, a total of 2,838 manufacturing projects had been implemented, amounting to $30.54 billion in investments. These projects generated 344,996 employment opportunities, making Japan the third-largest foreign investor in terms of implemented manufacturing projects.
Japanese investors have clearly seen how they can leverage Malaysia’s strategic position as a gateway to the Association of Southeast Asian Nation’s 700-million strong consumer market. By investing in Malaysia, Japanese investors also directly and indirectly support small and midsize enterprises, supporting Malaysia’s ambitions for industrial reforms and inclusive, sustainable growth outlined by the New Industrial Master Plan 2030.
Beyond capital and technology transfer, Japan’s investments have transformed Malaysia’s industrial and economic landscape, enhancing its appeal to other global investors. Japan’s corporate track record of success in Malaysia also sends a compelling signal to international firms seeking strategic regional footholds.
Today, the Malaysia-Japan partnership is gaining fresh momentum through joint ventures in key sectors. For example, Malaysia’s shift to renewable energy and sustainable technologies — under the National Energy Transition Roadmap — has been boosted by Japanese expertise and experience in green energy development. Additionally, joint efforts to incorporate Japanese precision engineering into Malaysia’s growing high-tech ecosystem have enhanced the country’s manufacturing competitiveness and industry innovation.
Another vital pillar of this deepening cooperation is in the digital space. Both countries share a strategic interest in artificial intelligence, next-generation connectivity and digital transformation. Malaysia’s National AI Roadmap — also integral to our nation’s broader reindustrialization ambitions — is complemented by both the New Industrial Master Plan 2030 and the National Semiconductor Strategy.
The expansion of Malaysia-Japan engagement highlights both countries’ capacity to adapt to evolving challenges. Together, we can advance sustainable development, digitalization and inclusive growth, demonstrating that the partnership is not only enduring, but also dynamic and forward-looking.
The year 2025 marks Malaysia’s turn as ASEAN chair, a responsibility assumed with pride and purpose. As chair, Malaysia is committed to strengthening regional integration, economic resilience and connectivity, while enhancing its relations with key ASEAN dialogue partners, including Japan. Hence, the expanding Malaysia-Japan collaboration stands as a cornerstone of ASEAN’s strategic progress.
Malaysia is also proud to be part of the Osaka Expo, exactly 55 years after Japan and the city’s debut as host of Expo ’70.
The Malaysia Pavilion, under the theme of “Weaving a Future in Harmony,” celebrates the intertwining of the country’s rich heritage with its ambitious future. Its bamboo facade, inspired by the intricate patterns of Malaysia’s traditional songket fabric, symbolizes unity in diversity — fundamental elements of Malaysia’s national identity. A luminous beacon at night, the pavilion merges innovation with tradition seamlessly. As a testament to the strong appeal and growing cultural connections among Malaysia, Japan and the world, the pavilion has attracted more than 1.5 million visitors to date.
Through continued partnership and shared vision, Malaysia and Japan will continue to meet global challenges together, while building a future that embodies progress, harmony and prosperity for both our peoples and the world.
