KUALA LUMPUR – Standard Chartered’s new research ‘Future of Trade 2030: Trends and markets to watch’ stated that Malaysia will be a key driver of global trade growth moving forward, with its exports projected to grow at an average annual rate of more than 8% to cross US$498 billion (US$1=RM4.22) by 2030.
In a statement on December 7, Standard Chartered said the research also found that 43% of global corporates currently do or plan to source/manufacture in Malaysia within the next five to 10 years.
“This is evidence that Malaysia will be a major driver of global trade growth over the next decade,” it said.
The report projected that global exports will almost double from US$17.4 trillion to US$29.7 trillion over the next decade.
According to the report, future growth corridors in China and Singapore will continue to be the largest export corridors for Malaysia, accounting for 19% and 17% of total exports in 2030, respectively.
“India is a fast-growing export corridor for Malaysia with 11.8% average annual growth from 2020 to 2030.
“Malaysia is investing to become a regional logistics hub and building advanced manufacturing capabilities,” it said.
The report said that among sectors which will dominate exports in 2030 are machinery and electricals metals and minerals, as well as agricultural and food.
Standard Chartered Malaysia managing director and chief executive officer Abrar A. Anwar said trade connectivity is a crucial engine in promoting economic development and the international expansion of Malaysian companies.
“In addition to expanding intra-regional trade pathways, the corridors of the future will still cut across continents. Against this backdrop, we work closely with the Malaysian External Trade Development Corporation (MATRADE) to focus on making globalisation work for Malaysian businesses, ranging from small and medium enterprises (SMEs) to multinationals, and drive a more sustainable and inclusive model for global trade.
“This includes growing our range of sustainable finance solutions to help our clients implement sustainable and fair-trade practices across their supply chains,” he added.