Top Swedish firms that have been investing in Malaysia’s industrial development since the nation achieved its independence are lending their expertise in the country’s green economy transition by focusing on the sustainability agenda.
This collaboration aligns with both nations’ commitment to environmental protection, forming the core for enhanced trade and investment linkages between both countries.
Sweden’s Ambassador to Malaysia, Niklas Wiberg said that Malaysia’s policy shift toward a green economy is expected to attract more foreign investors, especially Swedish firms with expertise in renewable energy (RE) and circular economy practices.
He highlighted significant contributions by Swedish firms in Malaysia toward RE and innovative solutions, adding that sectors like green energy and telecommunications offer further opportunities for Swedish investment in sustainable practices.
“Swedish companies drive the grid transition here in Malaysia through RE, energy innovations and promoting circular economy practices in a very clear way,” he said during an interview with Malaysia’s national news agency, BERNAMA.
According to Wiberg, leading Swedish companies like Atlas Copco (energy solutions), Alfa Laval (water and waste treatment), SKF (automotive and industrial engineering) and Sandvik (multinational engineering) have incorporated sustainable practices in their Malaysian operations, with a focus on RE and innovative energy solutions.
Automotive giants Volvo and Scania are also focusing on green mobility, producing electric and hybrid vehicles and promoting biofuels.
“Similarly, retail giant IEA integrates sustainability into its operations, offering energy-efficient products including their renowned furniture using RE,” he said.
Swedish telecommunications leader Ericsson is also making strides, partnering with Digital Nasional Bhd (DNB) to develop Malaysia’s 5G network while prioritising energy efficiency in the telecommunications sector.
“DNB and Ericsson’s collaboration in rolling out one of the world’s best 5G networks in record time is incredibly impressive. I think a lot of governments are looking at the Malaysian model with great interest,” he added.
Turning to electric vehicles (EVs), Wiberg said that in Sweden and the countries he had served, the tipping point for increasing EV usage was having strong supporting infrastructure place.
This includes vehicle charging facilities at workplaces and at homes, making it possible for consumers ‘to go electric if they wish to do so’, as Sweden provides subsidies for electric cars, trucks and buses.
To support Malaysia’s green goals, the Swedish Embassy and Business Sweden introduced the ‘Pioneer the Possible’ platform in 2023, showcasing Swedish innovation in sustainable practices.
“Through this platform, we have continued to make significant progress by building partnerships with our partners here in Malaysia, focusing on sustainable innovation and resource efficiency,” he continued.
Strengthening partnerships for a greener Malaysia
As Sweden’s envoy to Malaysia, Wiberg said his mission as ambassador is to strengthen these partnerships and explore new opportunities for joint initiatives in line with the common sustainability goals and efforts for a greener future in Malaysia as well as for the wider region.
He noted that Malaysia has ambitious plans when it comes to digital and green transition, as evidenced by the National Energy Transition Roadmap (NETR), New Industrial Master Plan (NIMP) 2030 and the Malaysia Digital Economy Blueprint.
He added that not only has Malaysia secured free trade agreements with regional economies, but the nation also expanded trade and investment with countries outside the region.
There are also government incentives to invest in Malaysia, particularly in the technology and green energy sectors.
“An even stronger demand for sustainable products goes a long way towards making Malaysia an appealing destination for Swedish firms,” Wiberg noted.
As such, he said Sweden hopes to build further on the sustainability agenda and provide the competency that Malaysia is keen to acquire, based on the areas identified in the government’s national development plans.
Competition between China and the EU in the EV industry
“China is also making great electric cars, but its essential to foster initiatives for a truly competitive market,” he said, stressing the need for fair practices that encourage innovation while promoting sustainability.
Along with the US and Canada, the European Union has imposed countervailing duties on imports of battery electric vehicles (BEVs) from China after its investigation concluded that the EV value chain in China benefits from unfair subsidization.
“Sweden always supports a competitive market that is fair to producers and consumers,” he added.
At the same time, Wiberg highlighted that the automotive sector is going through a pivotal transformation, adding that Swedish automakers are rapidly advancing towards full electrification, with ambitious plans to produce nearly 100% EVs by 2030.
The post Swedish Firms Supporting Malaysia’s Green Transition With Sustainable Investments first appeared on Energy Asia.