Malaysia, Japan strengthen economic security cooperation

Kuala Lumpur (ANTARA) - Malaysia and Japan have agreed to strengthen economic security cooperation, including the resilience of critical mineral and rare earth element supply chains.

The agreement was announced during a meeting between Malaysian Prime Minister Anwar Ibrahim and Japanese Prime Minister Sanae Takaichi in Tokyo, Japan, on Wednesday (10/6).

In a joint statement, both leaders expressed concern regarding various forms of economic coercion. They also highlighted the use of non-market policies and practices, as well as arbitrary export restrictions, which could negatively impact global supply chains.

Both nations agreed to deepen cooperation to strengthen supply chain resilience, particularly for critical materials, and to promote transparent, secure, sustainable, and reliable supply chains among trusted partners.

Furthermore, the two countries agreed to expand cooperation with like-minded nations, including Australia and France, in the development of critical mineral supply chains.

Malaysia welcomed Japan’s announcement regarding a contribution of US$20 million (approximately IDR 356.7 billion) to the Critical Minerals-to-Manufacturing Financing Partnership Facility (CMM-FPF) launched by the Asian Development Bank (ADB). This facility is intended to strengthen critical mineral supply chains in the Asian region, including Malaysia.

Anwar also welcomed the Resilient and Inclusive Supply-chain Enhancement (RISE) Partnership initiative, spearheaded by the World Bank Group, to strengthen critical mineral supply chains within ASEAN, including Malaysia.