M'sia, China firms in industrial park JV
Malaysian developers S P Setia and Rimbunan Hijau Group have signed a joint venture contract with China's Qinzhou Jingu Investment Co to develop the China-Malaysia Qinzhou Industrial Park.
China-Malaysia Qinzhou Industrial Park Development Co (JV Co), will develop the QIP and is expecting to generate gross revenue of 2.7 billion ringgit (Bt26.3 billion) from the QIP’s start-up phase.
In a statement, S P Setia said the income would be derived from land sales to industrial and commercial entities seeking to set up business in the QIP.
It also said that the start-up phase, spanning over 787 hectares comprising industrial and residential projects as well as schools, hotels, community centres, parks, playgrounds and green spaces is expected to take about three years to be completed.
The QIP has a total planned area of 5,499 hectares and would be the third industrial park in China that is under a government-to-government initiative.
S P Setia and Rimbunan Hijau’s participation in JV Co would be via a Malaysian consortium known as Qinzhou Development (Malaysia) Consortium.
The Malaysian consortium will hold 49 per cent of the shares in JV Company.
The contract signing was witnessed by Malaysian International Trade and Industry Minister Mustapa Mohamed, GuangXi Zhuang Autonomous Region Governor Chen Wu, the prime minister’s special envoy to China Ong Ka Ting, Chinese ambassador to Malaysia Chai Xi and GuangXi Zhuang Autonomous Region vice governor Zhang Xiaoqin.
In his opening remarks, Mustapa said the QIP project was progressing well and that it reflected the close relationship between China and Malaysia.
“Together with the Malaysia-China Kuantan Industrial Park (MCKIP), it is an important platform to foster closer ties between the industries and both countries,” he said.
More than 500 companies have made inspection visits to the QIP.
