Malaysia Won’t Capitalize on Thailand Flooding Disaster

Malaysia could see more business from foreign auto makers concerned about the massive flooding in Thailand, but a government official says the country will not lure foreign investments away from nations stricken by natural disasters.

Deputy International Trade and Industry Minister Mukhriz Mahathir tells the Business Times newspaper many foreign investors have mentioned the need for a stable environment.

Thai flooding disrupts Honda City production.

“Malaysia, which is relatively free of natural disasters, has that to offer,” he says.

“We've recently received inquiries from sectors across the board, including automotive firms, about raising their production capacity here. Investment prospects are on the rise.”

However, Malaysia is ready to send components to Thai auto makers whose production has been halted or curtailed by weeks of flooding.

“We will try to help, to ensure the Thai firms can meet the needs of their own customers and for export from Thailand, with automotive components from Malaysia,” Mukhriz says.

Mukhriz tells Parliament that while Malaysia wants to attract more overseas investors, it will not do so at the expense of countries such as Thailand or Japan that are experiencing, or recovering from, natural disasters.

“Malaysia is quite sensitive about this and doesn't want to be seen to take advantage of difficulties facing trading partners like Japan and Thailand,” the government news agency Bernama quotes him as saying.