MayCham China • Shanghai Office: Building Bridges for Investment in Shanghai

In 2024, as Malaysia and China celebrate the 50th anniversary of diplomatic relations, MayCham China • Shanghai Office finds itself at a pivotal moment brimming with opportunities. "The relationship between Malaysia and China is exceptionally strong," said Yap Chi Hui, the Chairman of MayCham China • Shanghai Office. "We have organized a diverse array of successful events in Shanghai." He emphasized that the Shanghai Office acts as a vital bridge, facilitating close cooperation between Malaysian and Chinese enterprises in Shanghai, with robust support from various stakeholders.

A Diverse and Healthy Membership Base

MayCham China • Shanghai Office was established in April 2005 and will celebrate its 20th anniversary in 2025. The primary mission of the Shanghai Office is to promote trade, investment, and exchanges between Malaysia and China, thereby strengthening the economic ties between the two countries.

MayCham is dedicated to providing a platform for Malaysians, local communities, businesses, and government agencies to engage effectively. "Our membership predominantly consists of Malaysian businesses and professionals based in China. However, we also have a substantial number of Chinese and foreign enterprises and individuals, especially those involved in or looking to invest in Malaysia," added Yap. The Shanghai Office boasts a diverse membership base spanning various industry, with a balanced proportion of corporate and individual members. "We also maintain close collaboration with both Chinese and Malaysian chambers of commerce, exchanging resources and deepening exchanges to maximize benefits and opportunities for our members," explained Yap.

The Shanghai Office has successfully organized and participated in numerous activities in Shanghai, primarily in three main areas: (1) Governmental activities - official visits by government officials, regular meetings with local government departments, etc.; (2) Business activities - business forums, seminars, trade and investment roadshows, exhibitions, corporate and delegation visits, etc.; (3) Community activities - charitable events, fundraising initiatives, etc...

As a key ASEAN member, the Shanghai Office maintains strong ties with chambers of commerce from other ASEAN countries like Indonesia, Singapore, Thailand, and the Philippines. "We actively participate in events organized by both Chinese and international chambers to help our members expand their networks," said Yap.

Shanghais Visionary Blueprint Attracts Foreign Enterprises

In Shanghai, Malaysian enterprises operate in a wide range of sectors, including financial services, manufacturing, information services, technology, trade, and hospitality. Some are involved in high-end industries such as chip manufacturing and supplying oil and gas to the Chinese market. Notably, some attractions at Shanghai Disneyland are supported by Malaysian companies, which are highly popular with visitors. The Parkson Shopping Center on Middle Huaihai Road, invested in by a Malaysian company and opened in the 1990s, has become a landmark commercial facility in Shanghai.

Yap attributed the healthy development of Malaysian enterprises in Shanghai to the citys favorable business environment. "Shanghai is exceptionally attractive and sets a benchmark for China. Many foreign companies enter China through Shanghai, hoping to use this leading city as a starting point," he commented. Yap praised the Shanghai government for its ongoing support for foreign investment and its outstanding industrial planning, which intentionally expands development space to attract deeper engagement from foreign enterprises. He noted the progression from early hubs like Zhangjiang and Jinqiao to newer developments such as Lingang. "Gaohang Town in Pudong is another example of rapid change, as is Chongming. My recent visit to Chongming left me impressed with its limitless future prospects. Shanghais government clearly has a grand vision with forward-thinking strategies, and the citys development potential remains vast," Yap added.

Enhancing the Role as the Bridge to Promote Bilateral Business Cooperation

As Shanghai intensifies its efforts to promote foreign investment, the city hasinitiated a comprehensive foreign investment coordination mechanism. This welcomes international chambers in Shanghai to become critical channels for sourcing foreign projects and disseminating information.

"MayCham can better play its role as a bridge to facilitate cooperation between Chinese and Malaysian enterprises," said Yap. Drawing from his role as the head of Maybank Shanghai, he highlighted how the Chamber helps companies navigate the challenges of investing in a foreign country, providing them with investment and financing services.

Yap also emphasized that Shanghai is ideal for foreign enterprises to establish their headquarters and R&D centers, while production and manufacturing can be efficiently placed in surrounding provinces and cities to maximize resource advantages. He cited an example where a Malaysian aeronautical engineer and his team in Shanghai designed and developed the E20 eVTOL electric aircraft, which recently completed its first test flight at Hengdian General Airport. This model optimizes resources and benefits all parties involved.

Yap hopes Shanghais investment promotion efforts will enhance information timely dissemination of project opportunities. "Identifying available investment locations and participating projects is crucial for foreign companies. Improving these aspects will significantly enhance the connection between foreign investment projects," he stated. He also called for the simplification of approval processes and the continuation of one-stop services, which greatly facilitate business operations for foreign enterprises.

Yap stressed the importance of the governments regular interactions with foreign enterprises, suggesting not only continuing to host forums but also arranging one-on-one visits to effectively gather feedback and address their needs.

As a banking professional, Yap underscored the importance of post-investment services for enterprises in Shanghai. This fosters a positive environment for more foreign enterprises and reflects Shanghais commitment to a favorable business climate.

Yap expressed his appreciation for the Shanghai Investment Promotion Partnership (SIPP) mechanism and hopes for sustained communication and cooperation among the Shanghai Foreign Investment Development Board, SIPP and MayCham China in Shanghai, to collectively drive Shanghais future growth.