Chinese investors can help cut trade deficit, says Mahathir

(Aug 19): Chinese investors can help reduce the country’s trade deficit with Malaysia, the Southeast Asian nation’s prime minister said in Beijing on Sunday at an event alongside Alibaba Chairman Jack Ma.

During a question and answer session with Chinese executives who expressed concerns about investing in Malaysia given its recent change in power, Prime Minister Mahathir Mohamad insisted it still welcomed companies willing to do deals that help employ the country’s workers and improve its efficiency without harming local manufacturers in industries like steel production.

Malaysia is China’s biggest trading partner in Southeast Asia after Vietnam, with total trade of US$92.4 billion ($127 billion) last year. China runs a trade deficit with Malaysia, which exports everything from electronics and palm oil to liquefied petroleum gas, while importing machinery and equipment.

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