Joint Press Release Of The Second Annual Ministerial Dialogue Between The Ministry Of Trade And Industry, Singapore; And The Ministry Of Investment, Trade And Industry, Malaysia

1. H.E. Gan Kim Yong, Deputy Prime Minister and Minister for Trade and Industry, Singapore (MTI) and YB Senator Tengku Datuk Seri Utama Zafrul Tengku Abdul Aziz, Minister of Investment, Trade and Industry, Malaysia (MITI) co-chaired the Second Annual Ministerial Dialogue (AMD) in Singapore on 13 June 2024. Both co-chairs reaffirmed the importance of strengthening bilateral economic cooperation between Singapore and Malaysia and agreed to continue close collaboration.
2. Launched in 2023, the Annual Ministerial Dialogue between MTI and MITI serves to strengthen bilateral economic cooperation and explore synergies in new and forward-looking areas like the Digital Economy and Green Economy. During the second AMD, the co-chairs welcomed the establishment of a new supply chain cooperation workgroup to strengthen supply chain resilience. The co-chairs also took stock of progress in trade and investment, as well as cooperation under the Frameworks on Cooperation in the Digital Economy and Green Economy signed on 30 January 2023.
3. Singapore and Malaysia share excellent trade and investment ties. In 2023, Malaysia was Singapore’s third largest trading partner with bilateral trade of USD92.1 billion (SGD123.6 billion).1 Singapore was also Malaysia’s largest source of foreign investment, contributing USD9.6 billion (RM43.7 billion) or 23.2% of Malaysia's total foreign investments in 2023.2 
4. The co-chairs welcomed the establishment of a new Supply Chain Cooperation Workgroup (SCWG) between MTI and MITI, building upon Singapore and Malaysia’s common interests in supply chain resilience. The COVID-19 pandemic had shown the impact of supply chain disruptions to both our economies. During the pandemic, both countries had put in place processes to enable goods and workers to move across borders. Our experiences highlight the interdependency of our economies, and the potential for stronger cooperation to enhance the resilience of our supply chains before the next global disruption. The co-chairs hence agreed to form the SCWG that will convene regular exchanges and explore how to enhance supply chain resilience. The SCWG will be co-led by MTI and MITI.
   
   Progress on Digital Economy and Green Economy Cooperation
5. Under the Framework on Cooperation in Digital Economy, the co-chairs welcomed key bilateral cooperation activities in trade facilitation; cloud computing; real-time payment system connectivity; standards for e-commerce transactions and 
   last mile delivery; and anti-online scam protection. These initiatives contribute towards digitalising cross-border trade activities and interoperability. These are also areas that Singapore and Malaysia are discussing with our regional partners under the ASEAN Digital Economy Framework Agreement. 
6. The co-chairs further acknowledged that the ASEAN Unique Business Identification Number (UBIN) Initiative is underway, as the Implementation Roadmap to Establish Regionally Comparable and Recognised UBIN in ASEAN is expected to be completed later this year. The Roadmap will provide opportunities for Singapore and Malaysia to explore further bilateral initiatives that will support regional market integration. The co-chairs also noted on-going discussions between both sides on cross-border e-invoicing initiatives, which will enable Singapore businesses to 
   send invoices more easily to Malaysian customers (and vice versa) when both countries adopt the Peppol International (PINT) Specifications standard by the end of this year.
7. Under the Framework on Cooperation in Green Economy, the co-chairs welcomed the progress made by Enterprise Singapore (EnterpriseSG) and the Malaysia External Trade Development Corporation (MATRADE) in the Capacity Development Programme for Exporters. The programme includes a webinar series to help Singapore and Malaysia small and medium-sized enterprises (SMEs) embark on sustainable practices and meet sustainability requirements when exporting products to overseas markets. The first run of the webinar, “Going Green from the 
   Lenses of Singapore and Malaysia”, was held on 2 October 2023, and the second run with different topics related to green economy is expected to be held in 3Q2024. 
8. Singapore and Malaysia continue to hold information exchanges between policymakers to enhance mutual understanding and explore opportunities for collaboration in the digital and green economies. Both Ministries recognised that cybersecurity plays a significant role in securing digital trade especially as both countries embrace cross-border digital transactions. The Cyber Security Agency of Singapore (CSA) and Malaysia’s National Cyber Security Agency (NACSA) plan to conduct a session to exchange perspectives on cybersecurity topics such as Secure by-Design and Cyber Resilience towards promoting cyber security measures for businesses. Singapore's Ministry of Transport (MOT) and MITI organised a Singapore-Malaysia Electric Vehicles (EV) workshop on 22 September 2023 in 
   Singapore. The workshop brought together relevant agencies from both countries to discuss developments in EV master planning, charging system standards, and industry development, with a second workshop planned for 2024.  
   
   Business Development Support for Malaysia and Singapore Businesses
9. The co-chairs welcomed the launch of the updated Malaysia-Singapore Third Country Business Development Fund (MSBDF) in March 2024. Led by EnterpriseSG and MIDA, the updated MSBDF mechanism provides support for Singapore and Malaysia’s trade associations and businesses to undertake joint 
   business missions, conduct feasibility studies for collaboration in third countries, as well as joint pilots. Since the launch of the updated MSBDF, applications were received from businesses to undertake joint missions. For example, the Singapore Fashion Council and the Malaysian Textile Manufacturers Association recently launched a business mission to Thailand in June 2024, to explore collaboration opportunities with Thai suppliers, retailers and manufacturers.
10. The co-chairs also welcomed outreach efforts taken by both MTI and MITI to help businesses better understand and utilise Free Trade Agreements (FTAs), in particular the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP). An Outreach Session on Promoting Stronger Malaysia Singapore Business Cooperation through Utilisation of the CPPTP, jointly organised by MTI, MITI, and the Malaysia-Singapore Business Council (MSBC), was held in Kuala Lumpur on 6 June 2024 and was attended by businesses from both countries. Businesses were able to learn from the insights and experiences of both countries on implementing and utilising the CPTPP to maximise the benefits and opportunities offered by the Agreement, along with other FTAs.
    
    Conclusion
11. By making advancements in digital and green economy partnerships, as well as exploring new ways to deepen our trade flow through FTAs and supply chain resilience, both countries continue to build upon each other’s strengths and capabilities. The co-chairs also reaffirmed a shared commitment to open and free trade. This includes exploring ways to work with other countries in the region and around the world in positive and constructive ways. With Malaysia’s ASEAN Chairmanship in 2025, there are opportunities for Singapore and Malaysia to partner and advance interests in the region. The co-chairs affirmed the strong commitment to continue high-level exchanges and work together bilaterally and within ASEAN to bring mutual benefits to our people, businesses and economies. 

Sourced from the Jointly issued by the Ministry Of Trade And Industry, Singapore; And Ministry Of Investment, Trade And Industry, Malaysia.