Kedah has taken a decisive step onto the global investment stage through a landmark Head of Agreement (HOA) valued at US$20 billion, signed between seven influential entities from Malaysia and China, including the state’s investment promotion agency, Invest Kedah Sdn Bhd.
This high-impact partnership, formed under the China-Malaysia ‘Two Countries, Twin Parks’ initiative, commemorates the 50th anniversary of diplomatic ties between both nations. It signifies a major stride toward regional economic integration and industrial collaboration, positioning Kedah as a rising hub for high-value foreign direct investment (FDI).
“This historic agreement underscores Kedah’s readiness to engage with international partners. With robust infrastructure, forward-looking policies, and sustainable industrial zones, we are prepared to catalyse the next wave of economic growth,” said Noor Ikhsan, Chief Operating Officer of Invest Kedah.
Strategic Roles for Synergistic Growth
Each of the seven participating organisations will contribute to specific aspects of the initiative:
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Invest Kedah Sdn Bhd – Driving FDI inflows and promoting Kedah’s industrial zones.
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Industrial Globalisation Alliance – Leading overall strategy under China’s Belt and Road Initiative (BRI).
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Shenzhen Government Procurement Association – Managing industrial resource integration from the Chinese side.
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AREA Real Estate Advisory Sdn Bhd – Overseeing Kedah’s industrial development and investor coordination.
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Malaysia Promas International Business Society (PROMAS) – Promoting the investment framework and supporting HALAL certification.
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Malaysia-Shamchun Chamber of Commerce – Enabling cross-border business dialogue.
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The Marq International Sdn Bhd – Appointed as the exclusive real estate partner for industrial land development.
Spotlight on Kedah’s Emerging Industrial Powerhouses
At the heart of this initiative are two key developments within the Kedah Special Border Economic Zone (SBEZ) in Bukit Kayu Hitam:
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PENTAS Industrial City Green-Managed Park (1,546 acres by DELAPAN)
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Qew Smart Integrated Industrial Park (258 acres by Qew Group)
Both parks are envisioned as next-generation smart, green industrial ecosystems, tailored for high-growth sectors such as advanced manufacturing, clean technology, halal production, and integrated logistics.
Invest Kedah will remain central to facilitating investor engagement — offering advisory services, easing regulatory processes, and linking investors with local supply chains, incentives, and support networks.
Unlocking Opportunities in the Global Halal Economy
With support from PROMAS and the Department of Islamic Development Malaysia (JAKIM), Kedah is also set to become a strategic base for halal-certified industries aiming for international expansion. This includes Shenzhen-based manufacturers seeking to penetrate new consumer markets through trusted halal credentials.
Beyond capital inflows, the collaboration is expected to accelerate job creation, enable technology transfer, and enhance industrial value chains across borders. By 2027, the partnership aims to fully realise its US$20 billion investment target, firmly establishing Malaysia — and Kedah in particular — as a pivotal node in Shenzhen’s global industrial strategy.
“This agreement is more than a financial milestone; it’s a blueprint for long-term transformation. Together, we’re shaping a sustainable and inclusive future for Kedah, Malaysia, and our global partners,” Noor Ikhsan concluded.–SME
