Malaysia and India strengthen trade and investment ties

Malaysia has expressed an intent to be part of India’s semiconductor growth story, focusing on supply chain collaboration, and shared experiences.

Malaysia has taken a significant step toward strengthening economic collaboration with India through a recent Trade and Investment Mission (TIM).

This Mission was led by YB Liew Chin Tong, Malaysia's Deputy Minister of Investment, Trade and Industry. The five-day mission, held from 17 to 21 March in New Delhi and Mumbai, focused on fostering stronger bilateral collaborations in the semiconductor sector, and chemical industry.

Focus on economic cooperation

This follows Malaysia Prime Minister Dato’ Seri Anwar Ibrahim’s visit to India, which elevated Malaysia-India ties to a Comprehensive Strategic Partnership. This Mission highlights Malaysia’s aims to deepen its commitment to strengthening economic and technological cooperation with India.

In New Delhi, Deputy Minister Liew held discussions with Shri Jitin Prasada, India’s Minister of State for Commerce and Industry, as well as Minister of State for Electronics and Information Technology. A key outcome was the agreement to collaborate on semiconductor development through a structured approach involving government agencies, businesses, and industry associations. Talks are underway for a formal semiconductor partnership agreement between both nations in the near future.

Tapping into India’s semiconductor and chemical industry growth

India is investing heavily in its semiconductor industry policy, with major global players already operating in both India and Malaysia. The mission emphasised Malaysia’s intent to be part of India’s semiconductor growth story, focusing on supply chain collaboration, and sharing experiences.

The delegation also engaged with leading Indian trade and industry bodies such as the Federation of Indian Chambers of Commerce and Industry (FICCI), the India Electronics and Semiconductor Association (IESA), and the Indian Chemical Council. These discussions aimed at strengthening industrial collaboration and ensuring resilient supply chains between the two nations.

At the Raisina Dialogue in New Delhi, Deputy Minister Liew participated in a session on digital connectivity in the Indo-Pacific. The conference, organised by India’s Observer Research Foundation (ORF) and the Ministry of External Affairs, served as a platform for discussions on global geopolitical and geoeconomics landscape.

Exploring investment potential in Maharashtra

In Mumbai, Deputy Minister Liew met with The Honourable Shri Jaykumar Jitendrasingh Rawal, Maharashtra’s Minister of Protocol and Marketing. Maharashtra, as India’s most industrialised state, is a key economic hub. Discussions revolved around potential partnerships in semiconductors, pharmaceuticals, cold chain logistics, and the food and agriculture sector, with a view to facilitating greater Malaysian business involvement in Maharashtra’s thriving economy.

A roundtable meeting with 30 Indian business leaders and representatives from eight industry associations further reinforced Malaysia’s interest in deepening economic ties with India. Mr Sivasuriyamoorthy Sundara Raja, Deputy Chief Executive Officer, Investment Promotion and Facilitation, MIDA, Mr S. Jai Shankar, Senior Director, Export Promotion & Market Access Division, MATRADE, and Ms Shamilah Perumal, Minister of Economic Affairs at the High Commission of Malaysia in New Delhi outlined Malaysia’s investment policies, industry strategies, and business opportunities aligned with national economic frameworks such as the New Industrial Master Plan (NIMP 2030), National Semiconductor Strategy (NSS), and Green Investment Strategy under the MADANI Economic Framework.

Addressing business challenges and strengthening ties

Beyond government-level discussions, Deputy Minister Liew also held talks with Malaysian companies operating in India to better understand their experiences, challenges, and growth potential in the market.

Additionally, he visited Gentari India’s solar facility in Uttar Pradesh, which has a total installed capacity of 3.5 gigawatts. A subsidiary of Petronas, Gentari India is currently the largest business-to-business provider of renewable energy in India, reflecting Malaysia’s growing footprint in India’s sustainable energy sector.

With this mission, Malaysia and India have expressed their dedication to unlocking new economic opportunities. Moving forward, MITI, along with its agencies MIDA and MATRADE, will continue working to strengthen Malaysia-India trade and investment relations, ensuring that businesses from both countries benefit from the deepening economic partnership.