Posted on April 14, 2025
KUALA LUMPUR: The proposed tariffs imposed by US President Donald Trump may pose challenges but they could also strengthen trade and commercial relations between Malaysia and the European Union (EU).
Port of Antwerp-Bruges International (PoABI) director Mario Lievens said the tariffs will undoubtedly have an effect, marking a shift from nearly 50 years of globalisation to an era of deglobalisation.
“This is why we emphasise that Malaysia and Europe need reliable and trustworthy partners. This global gateway project aims to connect Asia to Europe through Malaysia and vice versa,” he said at the press conference following the presentation of the Lumut Maritime Industrial City (LuMIC) feasibility study masterplan.
Belgium ambassador to Malaysia Peter Van Acker praised Prime Minister Datuk Seri Anwar Ibrahim’s measured response to the imposed tariffs.
“I think he took a very balanced approach. When it comes to trade, Malaysia is not heavily exposed to the United States, as only about 13 per cent of Malaysia’s trade goes to the US.
“What he [Anwar] essentially said is that we should also look at other partnerships, specifically mentioning the EU.
“Therefore, the ongoing discussion about the Free Trade Agreement between Malaysia and the EU is crucial. We are working on this to further stimulate trade between our two regions,” he added.
Mario and Peter were responding to media questions regarding whether Trump’s tariffs could affect investor confidence, considering the scale of LuMIC and its emphasis on attracting global trade and investment.
Meanwhile, the final results of the EU-funded feasibility study on the LuMIC will allow the Perak State Development Corp (PKNPk), in collaboration with PoABI, to proceed with the project’s development proposal and masterplan, aiming to attract RM72 billion (€15 billion) in investments over the next 25 years.
According to Perak Menteri Besar Datuk Seri Saarani Mohamad, the LuMIC development is expected to unfold in phases over 25 years, potentially generating over 50,000 job opportunities and creating new prospects for entrepreneurs and local businesses.
PKNPk chief executive Datuk Redza Rafiq Abdul Razak said the LuMIC masterplan includes various industrial zones supported by green fuel infrastructure, industrial parks, and circular economy clusters.
He said these initiatives align with Malaysia’s sustainability commitments and the United Nations sustainable developmental goals (SDGs), and the development of LuMIC will occur in three strategic phases.
The first phase, from 2023 to 2025, focuses on master planning and investment positioning. This phase, now completed, involved conducting a detailed feasibility study, engaging stakeholders, and creating a clear investor roadmap.
The second phase, from 2026 to 2030, will focus on infrastructure rollout and attracting investors, with the development of supporting infrastructure and industrial zones.
Post 2030, LuMIC will enter a phase of full industrialization and export-driven growth, solidifying its position as a key player on the global stage.
“Even before today’s presentation, we launched a global promotional campaign across Europe, Asia, targeted local markets, and Brazil, positioning Perak and Malaysia as leaders in sustainable maritime and industrial development,” he said.
