Latest news with #InternationalHealthcareWeek2025
The Sun
18-07-2025
- Business
- The Sun
Malaysia positioning itself to become Asean healthcare innovation and trade hub
KUALA LUMPUR: Malaysia is sharpening its focus on becoming a regional hub for healthcare innovation and trade, as its medical-related exports continue to climb and strategic opportunities in Asean expand. Malaysia External Trade Development Corporation (Matrade) deputy CEO (export acceleration) Mansor Shah Wahid shared Malaysia's progress in healthcare-related exports, stating that in 2024 alone, the country's trade in medical devices and pharmaceuticals hit RM61.31 billion. He noted that medical devices made up 76% of that value, with a 31.6% year-on-year growth, while pharmaceutical exports rose by 4% to RM3.04 billion. 'These figures are not just data points; they reflect the credibility of our regulatory system, the strength of our manufacturers, and the growing trust in made-in-Malaysia products,' Mansor said at the Malaysia Healthcare Day Forum, part of the International Healthcare Week 2025 held recently. He added that Malaysia's export destinations now stretch beyond Asean, with the United States, Germany, Japan and Australia emerging as top markets. Notably, eight of the world's top 30 medical device manufacturers operate in Malaysia, affirming the country's reputation in diagnostics, disposables and implantables. Mansor emphasised that Malaysia's strategic location in the 680-million-strong Asean market, along with its multilingual talent pool and trade agreements, positions it well to capture a larger share of the global medical devices market, which is projected to reach US$695.6 billion (RM2.95 trillion) by 2028. 'In the age of AI disruption, healthcare remains one of the few sectors where human care and judgment are irreplaceable. That's what makes this industry uniquely impactful,' he noted. Expanding on Malaysia's regional positioning, Abdul Halim Mohamed Shariff, deputy director of lifestyle and life sciences at Matrade, delivered a detailed presentation titled 'Malaysia Healthcare Trade Outlook: Trade Opportunities in Asean.' He highlighted that Asean is now the third-largest region globally by population and the fourth-largest in terms of trade volume, creating a highly lucrative landscape for healthcare expansion. 'When incomes rise, healthcare demand grows, not just in quantity but in complexity. This shift is being felt across Asean, especially in Indonesia, Vietnam, Thailand and the Philippines,' Halim said. He cited the rapid urbanisation and lifestyle changes across the region as key factors driving increased healthcare expenditure. Countries like Indonesia, with the highest population in Southeast Asia, and Singapore, with the highest per capita healthcare spending, are leading indicators of the sector's growth. Despite strong exports, Malaysia remains a significant importer of pharmaceutical products, particularly patented and specialty drugs, from Germany, the US and China. Nonetheless, the local pharmaceutical sector fulfils 70% to 80% of domestic demand for generic medications, and the government expects the local pharmaceutical market to reach US$3.5 billion by 2028. According to Halim, prescription drugs dominate the market and are forecasted to reach US$3 billion by 2028, with patented and generic drugs each contributing over US$1.4 billion. Over-the-counter (OTC) products round out the remaining market share. Malaysia's medical device exports remain its most significant healthcare segment, driven largely by the glove industry and supported by other products, such as catheters and electromedical equipment. In 2024, Malaysia's medical device exports reached US$8.7 billion, solidifying its position among the top five manufacturing sites globally, alongside countries such as Costa Rica and Puerto Rico. 'Malaysia is spending more per capita on medical equipment than several larger economies in the region. This shows our strong commitment to innovation and accessibility in medical technology,' said Halim. He added that spending on medical devices and equipment in Malaysia is expected to increase at a compound annual growth rate of 9.5%, reaching US$3.64 billion by 2028, surpassing regional counterparts in growth momentum. Countries such as Vietnam and Indonesia are also becoming increasingly attractive due to economic development and healthcare reforms. Halim cited Vietnam's accelerated urbanisation as a sign of shifting healthcare expectations and rising demand for better services and infrastructure. 'Every challenge, whether it's ageing populations, financing gaps, or healthcare reform, opens the door to new business models. We're seeing strong growth in healthtech, AI-driven diagnostics, and insurance solutions across Asean,' he said. Mansor and Halim reiterated Matrade's role as a bridge for international buyers and Malaysian exporters, with overseas offices and databases accessible to businesses seeking partners, market data, or regulatory guidance. Matrade's presence at major international expos will continue to anchor Malaysia's brand globally. At the same time, initiatives such as the eTrade Programme and Business Information Centre aim to provide exporters and foreign partners with the tools to navigate cross-border opportunities. 'We encourage foreign players to reach out to our offices worldwide. You could browse the internet, yes, but we offer more than just information. We connect you with vetted partners and real market opportunities,' said Halim. International Healthcare Week 2025, co-organised with Informa Markets, is a testament to Malaysia's ambitions. From showcasing 10 home-grown brands at the Malaysian Pavilion to convening key regulatory and investment bodies, the event reflects a unified effort to position Malaysia as a regional leader in healthcare trade. 'Malaysia is not just an entry point, it's a launchpad for the Asean region,' said Mansor. 'Let us not miss the opportunity to form partnerships that shape lives and businesses far beyond our borders.'
The Star
17-07-2025
- Business
- The Star
Trade deals must support economic reforms and growth, says minister
KUALA LUMPUR: Poor deals will have long-term repercussions on Malaysia, and that is why Putrajaya has several principles when it negotiates with the US, says Investment, Trade and Industry Minister (Miti) Tengku Datuk Seri Zafrul Abdul Aziz. Tengku Zafrul said Putrajaya's negotiating stance with the US is that any deals reached between the two countries must support Malaysia's economic reforms and sustainable growth policies. 'Our negotiating stance is always to ensure that whatever deal we land on will support the country's economic reforms and sustainable growth policies. 'Catchy, feel-good headlines last a few days, a week at the most. 'But poor deals will have long-term consequences on our people, industries and economy. 'I am certain negative long-term outcomes are not what the public wants nor what current and future taxpayers need,' said Tengku Zafrul in his opening remarks at the International Healthcare Week 2025 (IHW 2025) here yesterday. He also said Putrajaya will never sacrifice the country's sovereignty or sideline other trading partners in trying to close a deal with the US. 'Our people's rights, our country's sovereignty and trust with our valued partners are not bargaining chips,' added Tengku Zafrul. Malaysia is currently facing a 25% tariff rate for all exports entering the US and Putrajaya has until Aug 1 to negotiate with the US. According to Tengku Zafrul, trade negotiations are a complex multi-stakeholder process, where relevant ministries and agencies must be consulted to ensure a smooth implementation after negotiations. 'For context, the average duration for a regular trade negotiation is 18 months. For Miti, the fastest on record thus far is 11 months,' said Tengku Zafrul, referring to the recently signed comprehensive partnership agreement between Malaysia and the United Arab Emirates (UAE). 'So, we need to be realistic about trade deals that can be completed within 90 days,' he added. Tengku Zafrul also said that Putrajaya wants to ensure that any agreement with the US supports an open, rules-based and fair, multilateral trade, with the World Trade Organisation at its core. 'The agreement must also safeguard market access, while recognising the need of emerging countries like Malaysia to develop sustainable supply chains and economies,' said the minister. He also said that Malaysia values its economic ties with the US, noting that last year, Malaysia-US trade rose to nearly 30% to RM324.9bil, with Malaysia being an important source for products such as electrical and electronics (E&E), machinery, rubber gloves and palm oil. He said that Malaysia has been an important production base for US investments for at least five decades. 'From 1980-2024, there have been 169 American investment projects in Malaysia (RM77.5bil), in sectors such as E&E, machinery and scientific equipment,' he added. Tengku Zafrul said that for the past 50 years, these companies have received various investment incentives such as investment tax allowances, automation capital allowance and high-impact grants which are valued at RM4.1bil cumulatively. Annual incentives, he said, in the recent years have been between RM800,000 and RM1.2bil. 'So, we will continue to uphold the principles of positive reciprocity and fair competition while working alongside industry to innovate, diversify and maintain our resilience in the global market. 'These developments are also strong reminders of how and why we must always be ready, agile and adaptable to external shocks,' said Tengku Zafrul. Speaking to reporters at the sidelines of IHW 2025, he said that Malaysia is still negotiating a deal to lower tariffs with the United States ahead of the Aug 1 deadline. The minister said that while US President Donald Trump announced that Indonesia has struck a deal for a 19% tariff rate, he has not obtained further information from the Indonesian government. 'Let's wait for Indonesia's announcement. We are still in negotiations, we have until Aug 1. 'We still have time; most importantly, we must ensure that this is a negotiation that is beneficial to both countries. It must be win-win,' added Tengku Zafrul. Trump yesterday announced that Indonesian goods entering the US will face a 19% tariff, significantly lower than the 32% rate given to Jakarta earlier this month. Malaysia is facing a 25% tariff rate, up 1% from the initial 24% rate announced in April. Earlier this month, Trump announced varying tariff rates on 14 countries to take effect on Aug 1, including a 25% rate on Malaysia, Japan, South Korea, Tunisia and Kazakhstan. Other countries were hit with higher rates such as Cambodia (36%), Thailand (36%) and 40% in Laos and Myanmar, respectively.
The Star
17-07-2025
- Business
- The Star
M'sia courts global healthcare investors
KUALA LUMPUR: Malaysia is well positioned to tap into the high growth of the global healthcare sector due to Putrajaya's strong industrial reform agenda, robust industrial ecosystem, progressive policies and investor-friendly environment, said Tengku Datuk Seri Zafrul Abdul Aziz. The Investment, Trade and Industry Minister (Miti) said that from pharmaceuticals and medical devices to healthcare services and medical tourism, the healthcare sector is a catalyst for high-value job creation, innovation and exports. According to Tengku Zafrul, the medical devices market is projected to grow by 63% from RM2.53 trillion in 2024 to RM4.13 trillion by 2032. 'The global healthcare sector has proven to be not only resilient but also transformative, offering immense opportunities in medical devices, pharmaceuticals, biotechnology and digital health solutions,' he said in his opening remarks at the three-day International Healthcare Week 2025 (IHW 2025), which began here yesterday. 'Thanks to our strong industrial reform agenda, robust industrial ecosystem, progressive policies, investor-friendly environment and a skilled, industry-ready workforce, Malaysia's healthcare industry is well-positioned to capture this growth.' Tengku Zafrul also said that last year alone, the medical devices and pharmaceutical industries garnered RM2.13bil in combined investments, creating over 2,700 high-value jobs across manufacturing, research and development, and regulatory services. 'Today, eight of the world's top 30 medical device companies have established operations in Malaysia,' he said, adding that Malaysia is home to over 300 healthcare companies. Tengku Zafrul said that from January to May this year, pharmaceutical exports have increased by 7.8%. 'This is also due to our industrial reform initiatives. Reform builds industrial resilience, which in turn feeds our exports' resilience,' he noted. On the IHW, Tengku Zafrul said it is not just a healthcare event but also a platform to bring together global thought leaders, innovators, policymakers and investors to shape the future of South-East Asia's healthcare sector. 'I feel that the IHW 2025 represents more than an exhibition – it is a call to action to strengthen collaboration, accelerate innovation and ensure that our healthcare systems remain inclusive, sustainable and future-ready. 'I'm proud that Malaysia is playing host to this global gathering and I am confident that over the course of the next few days, this platform will generate meaningful dialogue, strategic partnerships and tangible business outcomes that benefit all participants,' added Tengku Zafrul. Malaysia External Trade Development Corp (Matrade) chairman Datuk Seri Reezal Merican Naina Merican said Malaysia needs to capitalise on its ever-growing healthcare industry to counteract uncertainties in global trade. He said this was due to incredible growth in the nation's medical device sector, which spiked by 27.7% to RM46.5bil in trade value last year, with exports increasing by 31.6%. 'Malaysia will need to develop a national strategic roadmap for the healthcare industry going forward,' Reezal Merican said. 'We have evolved from producing basic medical supplies to manufacturing sophisticated healthcare technologies, and are now being recognised as one of the top destinations for healthcare travellers. 'This roadmap will be our blueprint for us to solidify Malaysia's position as a global leader in healthcare. 'This is key because as more challenges in the global trade and economy appear, we need to be able to navigate with agile approaches to international trade dynamics, and evolving global relationships,' he said during his speech at the event. Held in Kuala Lumpur for the second time, the IHW 2025 is showcasing over 900 exhibitors from key healthcare industries from medical devices to pharmaceuticals, and is expected to draw over 21,000 visitors from now to tomorrow. Among the notable conferences that will take place at the event are the Conference of Pharmaceutical Ingredients South East Asia and World Health Expo KL.
The Star
16-07-2025
- Business
- The Star
Share resources among Asean to offset Trump's tariff, says Perantim
KUALA LUMPUR: A harmonisation of Asean medical device industry regulations will be the key to protecting the regional industry from Trump's tariffs, says the Malaysian Medical Device Manufacturers Association (Perantim). Perantim president Johari Abu Kasim said this was due to most Asean exporters already beginning to notice a slowdown in exports to the United States as uncertainties surrounding the tariffs continue. 'We must invest and promote innovation in healthcare as a region now or risk being left behind by the rest of the world. 'Raw materials are in abundance here but other Asean countries might not have the same, so there has to be a structure in place for us to share resources among Asean partners,' he said during the International Healthcare Week 2025 on Wednesday (July 16). He also suggested that Asean countries develop a reciprocal acceptance of market access and tax frameworks to enable easier integration. Perantim innovation advisor Roy Chin said that Trump's tariffs on other countries like China had also severely impacted healthcare device innovation in Asean directly. 'The tariffs have impacted the supply of circuit boards, sensors and power systems used in imaging, diagnostics and robotic systems from China. 'This has led to research and development delays due to sourcing shifts and the need to find and test for alternative suppliers,' he said during the same conference. To overcome this, Chin suggested that Asean medical device developers shift towards modular software-driven innovations that are not as susceptible to tariffs. He also called on industry players to invest in localised R&D hubs and also partake in co-development programmes with universities or startups in tariff-safe countries. 'This would shorten supply chains for prototype testing and speed up innovation without depending on tariff-prone imports from China." Chin added that Asean governments should work towards simplifying licensing requirements across the region, similar to those in the European Union. 'This can be done through the existing Asean Medical Device Directive to harmonise classification, registration and post-market surveillance of medical device products, as well as expediting customs between member states. 'We should also look to encourage co-development of domestic component ecosystems such as precision parts in the region by providing better tax incentives, free trade zones or even investment tax allowances,' he added.
The Sun
16-07-2025
- Health
- The Sun
Malaysia ready to lead, build a more resilient and healthier world: Tengku Zafrul
KUALA LUMPUR: Malaysia is striving to establish itself as a global healthcare hub, underpinned by industrial reform, international partnerships and growing trade diplomacy. 'It is a declaration that Malaysia is ready to lead, collaborate and build a healthier, more resilient future not just for our nation, but for the world,' Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Tengku Abdul Aziz said in his keynote address when launching International Healthcare Week 2025 (IHW 2025) at Malaysia International Trade and Exhibition Centre here today. Tengku Zafrul identified healthcare as one of five priority sectors under Malaysia's industrial policy framework, citing strong performance in 2024. The sector attracted RM2.13 billion in investments in medical devices and pharmaceuticals, generated over 2,700 high-value jobs, and recorded a 7.8% increase in pharmaceutical exports during the first five months of 2025. The minister noted that Malaysia now hosts eight of the world's top 30 medical device manufacturers and over 300 healthcare companies, driven by a skilled workforce, mature supply chain and investor confidence. Tengku Zafrul said Malaysia, as Asean Chair in 2025, Malaysia is using IHW as a platform to promote deeper regional healthcare integration. He emphasised the importance of inclusivity, adding that no Asean member is left behind in advancing towards a more united, resilient and future-ready Southeast Asia. The event highlights Malaysia's readiness to lead globally in healthcare innovation, trade and strategic partnerships, despite growing external trade pressures, Tengku Zafrul said. 'Let us work together to shape a healthier, more connected and innovative future for Asean and the world.' IHW 2025, the region's largest healthcare event is co-hosted with Informa Markets, and features five major healthcare trade shows in one venue, covering medical devices, pharmaceuticals, diagnostics, digital health and medical technology. With over 900 exhibitors, more than 21,000 visitors from 50 countries, and 125 conferences, the event reflects Malaysia's growing ambition to lead Asean's healthcare transformation. Meanwhile, in addressing recent tensions surrounding US reciprocal tariffs, Tengku Zafrul assured stakeholders that Malaysia remains committed to protecting domestic industries. 'We are actively engaging with our US counterparts in good faith to seek clarity, minimise disruption and reach a mutually beneficial outcome,' he said, adding that Malaysia would never sacrifice sovereignty or sideline other trading partners. Tengku Zafrul acknowledged that Malaysia is facing an Aug 1 deadline to conclude ongoing tariff negotiations with the US, with pharmaceutical exports potentially subject to tariffs as high as 200%. 'We are closely monitoring developments, and contingency plans are being put in place. But let me be clear, quick fixes may win headlines, but poor trade deals will hurt Malaysia for years. We remain committed to an open, fair and rules-based multilateral trading system under the WTO (World Trade Organization),' he said. Tengku Zafrul emphasised the importance of these relationships in the face of global uncertainty, noting that incentives and reform strategies support them. Malaysia-US trade surged nearly 30% to RM324.9 billion in 2024, while American investments into Malaysia totalled RM77.5 billion since 1980. Informa Markets president and CEO Margaret Ma Connolly reaffirmed Malaysia's strategic value as a healthcare destination and trade gateway in Asia. 'Malaysia's leadership and supportive initiatives position it as a gateway for global healthcare collaboration. IHW 2025 is a pivotal event to elevate regional healthcare cooperation and economic growth.' She said the co-location of five flagship exhibitions under one roof offers a complete view of the healthcare value chain, making it a must-attend platform for global innovators. Spanning 26,000 square metres, IHW 2025 integrates CPHI Southeast Asia (pharmaceutical supply chain), WHX Kuala Lumpur (medical devices and hospital technology), WHX Labs (diagnostics and laboratory equipment), Medtec Southeast Asia (medical device design and manufacturing) and HIMSS APAC (digital health innovations), providing attendees with a comprehensive showcase of the latest in healthcare technologies and solutions. 'IHW 2025 brings together thought leaders, innovators, policymakers and investors to shape the future of healthcare across Asean and beyond,' Connolly said.
