Kuala lumpur: 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 and E) sector, said an economist.
According to BERNAMA News Agency, Williams Business Consultancy Sdn Bhd founder and director Geoffrey Williams stated that Japan's greater involvement in regional technology cooperation would be welcomed and could yield significant economic gains in areas such as E and 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 and E, semiconductors, and AI," he told Bernama.
Williams made these remarks in response to a news report quoting Malaysia's Foreign Minister, Datuk Seri Mohamad Hasan, who expressed ASEAN's interest in Japan playing a greater role in technology transfer and front-end semiconductor investment. Mohamad's comments came ahead of the 47th ASEAN Summit and Related Summits.
The event is set to mark the diplomatic debut of Japan's new Prime Minister, Sanae Takaichi, who plans to travel to Kuala Lumpur for ASEAN-related meetings and bilateral talks with her Malaysian counterpart and ASEAN Chair, Prime Minister Datuk Seri Anwar Ibrahim.
Williams emphasized that 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 aligns with ASEAN's ambitions to strengthen digital connectivity and innovation, fostering 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 and E, where they have been lagging in recent times," he said.
Williams also noted that Japan's technological strengths extend across multiple high-value sectors that could form the next phase of cooperation with ASEAN. Japan is recognized for its advanced technology in areas like robotics and consumer electronics and continues to lead in innovation, particularly in transportation, aerospace, and specialised fields such as advanced healthcare and robotics for an ageing population.
He concluded that while these are potential areas for cooperation, policy stability is necessary to ensure long-term outcomes.
It was reported that Takaichi announced her government is preparing a stimulus package exceeding US$92.19 billion (USD1 = 4.22), focusing on three pillars: tackling inflation, investing in growth industries, and strengthening national security. The package will include investments in growth sectors like artificial intelligence and semiconductors, as the government emphasizes strategic economic development.