JAPAN’S RENEWED TECHNOLOGY FOCUS CAN RESHAPE ASEAN SUPPLY CHAINS, SAYS ECONOMIST
By Nurunnasihah Ahmad Rashid
KUALA LUMPUR, Oct 25 (Bernama) -- Japan’s renewed focus on semiconductor and technology partnerships under its new leadership could reshape regional supply chains and spur investment across ASEAN, particularly in Malaysia’s electrical and electronics (E&E) sector, said an economist.
Williams Business Consultancy Sdn Bhd founder and director Geoffrey Williams said Japan’s greater involvement in regional technology cooperation would be welcomed and could yield significant economic gains in areas such as E&E, semiconductors, and artificial intelligence (AI).
“It will be welcomed for Japan to take a bigger role in regional technology transfer, and it would have a positive economic impact on ASEAN and Malaysia in E&E, semiconductors, and AI,” he told Bernama.
Williams said this in response to a recent news report quoting Malaysia’s Foreign Minister, Datuk Seri Mohamad Hasan, who stated that ASEAN wants Japan to play a greater role in technology transfer and front-end semiconductor investment.
Mohamad made his comment ahead of the 47th ASEAN Summit and Related Summits.
The event will mark the diplomatic debut of Japan’s new Prime Minister, Sanae Takaichi, who is scheduled to leave for Kuala Lumpur this evening to attend ASEAN-related meetings and hold bilateral talks with her Malaysian counterpart and ASEAN Chair, Prime Minister Datuk Seri Anwar Ibrahim.
Williams said Malaysia and Japan share a long history of industrial collaboration that can be leveraged for new joint ventures, foreign direct investment (FDI), and technology transfer.
He added that Japan’s domestic push to revitalise its semiconductor and AI industries also aligns with ASEAN’s ambitions to strengthen digital connectivity and innovation, creating a mutually reinforcing cycle of growth.
“For Japan, this will also be beneficial to raise their regional and global technology presence in key areas such as AI, semiconductors and E&E, where they have been lagging in recent times,” he said.
Beyond semiconductors, Williams said Japan’s technological strengths extend across multiple high-value sectors that could form the next phase of cooperation with ASEAN.
“Japan is known for its advanced technology in areas like robotics and consumer electronics and continues to be a leader in innovation, particularly in transportation, aerospace and specialised fields such as advanced healthcare and robotics for an ageing population.
“All these are potential areas of cooperation, but they do need policy stability to ensure long-term outcomes,” he added.
It was reported that Takaichi announced that her government is preparing a stimulus package of more than US$92.19 billion (USD1 = 4.22) built around three pillars: tackling inflation, investing in growth industries and strengthening national security.
The package will also include investments in growth sectors such as artificial intelligence and semiconductors as the government focuses on strategic economic development.
-- BERNAMA
