Malaysia’s Johor state is proposing its economic and petrochemical hubs as sites for a special zone with neighboring Singapore as it aims to become the ‘Shenzhen of Southeast Asia’, according to a report in the Star.
The proposed area includes Iskandar Malaysia and Pengerang on the state’s east coast, Johor Menteri Besar Onn Hafiz Ghazi said at the state assembly on Sunday. If approved, the Johor-Singapore Special Economic Zone would be almost twice the size of Shenzhen, China, at 3,505 square kilometers.
Both countries agreed to establish the zone in January, and Malaysia plans to finalize and sign a pact by the end of the year, Onn Hafiz said. Official agreements with Singapore on the economic zone are expected to begin in June, he added.
The special economic zone could turn Johor into the Shenzhen of Southeast Asia, the report quoted Onn Hafiz, noting the similarities between the regions’ geographical composition. Johor also proposes 16 economic sectors as part of the zone, including electricity and electronics, manufacturing, healthcare and tourism, he said.
Iskandar Malaysia is a 2,217 square kilometer economic corridor established in 2006 that encompasses most of Johor’s strategic infrastructure and real estate projects. That includes Johor Bahru’s city center and Country Garden’s struggling $100 billion megacity Forest City.
Pengerang is home to the Pengerang Integrated Petroleum Complex, a major petrochemical facility that also includes the Pengerang Energy Complex being developed by Singapore’s ChemOne Holdings.
