U.S. emphasizes its support for investment in Asia

U.S. emphasizes its support for investment in Asia

KUALA LUMPUR (AFP): U.S. Secretary of State Warren Christopher
met here yesterday with U.S. business people who expressed
concerns about investing in Malaysia and Vietnam, Christopher's
next stop on his Asian tour.

"The Clinton administration is determined to advance the
interests of American exporters and investors, especially in
fast-growing markets like Malaysia," promised Christopher, making
a 24-visit to Kuala Lumpur.

Some of business people expressed fears that budget cuts under
President Bill Clinton could reduce the ability of U.S. offices
in Asia to assist trade.

"Japanese embassies are more commercially-oriented," said
Roger Bertelson, vice-president of Motorola Malaysia.

He said that in Vietnam, the long U.S. embargo lifted only
this year had proved "an obvious disadvantage" to U.S. investors
by delaying their entry into the market while French and German
competitors moved in.

Sunil Sreenivasan, chief executive of Citibank Malaysia, said
among would-be U.S. investors in Vietnam "there is a lot of
caution."

"People are not comfortable with the infrastructure" in
Vietnam, where communications and power supplies remain
uncertain, he said.

The question of granting Malaysia preferential tariffs was
touched on only lightly, with Malaysian authorities favoring a
gradual approach.

Before flying on to Vietnam today, Christopher was to discuss
Bosnia with Prime Minister Mahathir Muhammad and Foreign Minister
Abdullah Badawi, and to sign a new extradition treaty.

Christopher reminded the businessmen that Malaysia is the
United States' 13th trading partner, with bilateral exchanges
worth US$20 billion per year and growing by eight per cent a
year.

U.S. companies are Malaysia's biggest source of foreign
investment, with interests worth some $9 billion, mainly in the
oil, natural gas and electronic components industries.