Malaysia’s solution for companies looking to escape economic hardship in the European Union is an interesting one: come to Malaysia.

Deputy Minister of International Trade & Industry Mukhriz Mahathir, speaking at the KL International Trade Forum 2010, said Southeast Asia’s current higher growth potential and lower production costs made Malaysia attractive enough to entice companies in specific industries out of their home markets. So attractive, in fact, that re-exporting back to Europe would still be cost effective.

Malaysia would look to the electrical, electronic, chemical and green tech industries for potential movers, with Mukhriz giving the example of Q-Cells, the German solar photovoltaic panel manufacturer whose Malaysian plant became the first outside Germany in 2008. Malaysia was already in talks with a number of European companies to discuss the benefits of relocation, he said.

source & article: The Edge Malaysia