Taking advantage of supply chain reconfiguration — Jason Loh | Malay Mail

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JUNE 1 — The post-Covid 19 supply chain landscape offers us an opportunity to take advantage of the coming reconfiguration — one that strikes the balance between protectionism and the pre-Covid situation. This is especially true of manufacturing, which is one of our economy’s top three...

JUNE 1 — The post-Covid 19 supply chain landscape offers us an opportunity to take advantage of the coming reconfiguration — one that strikes the balance between protectionism and the pre-Covid situation.

Leverage on relocation by multinational companies from China which has already happened as a result of the US-China trade war — with even Chinese companies looking here as an alternative base; and at the same time Rather, the argument is that the MCO/Covid-19 has exposed our supply chain as not diffused or diversified enough. Post-MCO/Covid-19, it has to be even more extensive and expansive than ever before. This applies domestically as well as externally .This would still keep the supply lines and global value chain and logistics open as much as possible despite the prolonged impact of Covid-19.

In terms of FDI, we need to ensure that our SMEs can take advantage of the relocation by tapping into the supply chain , and that knowledge transfer is localised in the long-term through digitalisation, sub-contracting, research and collaborations. Our DIA are mainly in South-east Asia, including Papua New Guinea. Investments range from banking , oil palm plantations , mining and logging , to manufacturing and services .

 

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