KUALA LUMPUR: Japan and Malaysia can turn shared challenges into shared opportunities and help build resilient, responsible and future-ready enterprises across Asia by combining Japan’s technological and industrial excellence with increasingly more competitive, multilingual educational institutions.
Japan ambassador to Malaysia Shikata Noriyuki said Malaysia has strengths in its dynamism, connectivity and talent, and Japan has reinforced its strong commitment to Asean and Malaysia under Prime Minister Takaichi Sanae’s leadership.
“In this context, Takaichi’s growth strategy identifies 17 strategic fields, including green transformation, energy security, AI, semiconductors and others. These fields are advanced through digital transformation and public-private cooperation, focusing on sustainable investment in crisis management and growth.
“Many of these areas align closely with Malaysia’s policy priorities. Japan and Malaysia’s cooperation focuses on the four key areas as integral components,” Noriyuki told delegates at the 2026 Asia Economic & Entrepreneurship Summit today.
Touching on technology and industrial transformation, Noriyuki said Malaysia has established itself as a key player in the global semiconductor ecosystem, accounting for approximately 13% of global semiconductor assembly, testing and packaging.
He said this cements Malaysia’s shift into higher-value front-end semiconductor projects beyond traditional assembly and testing, in cooperation with a Japanese edge semiconductor assembly, testing, and packaging.
Japanese companies complement this by leading in advanced materials, precision engineering, and manufacturing technologies.
“Together, these strengths form a robust regional technology ecosystem,” he added.
Within this domain, Noriyuki noted that cooperation between the two countries extends to AI and digital technologies, exemplified by the establishment of the Japan-Malaysia AI Platform in June, which fosters co- creation of AI solutions as well as AI safety and security.
In June, Tokyo Artisan Intelligence Co Ltd, a Japanese edge AI startup from Tokyo Tohoku University, announced a strategic collaboration framework agreement with Oppstar Technology Sdn Bhd, a prominent Malaysian integrated circuit design company, to co-develop low-power, reconfigurable edge AI semiconductor chips.
Furthermore, the growing collaboration on critical minerals and rare earth supply chains, which are vital for semiconductors, electric vehicles, and clean energy technologies, supports supply chain resilience and diversification.
Noriyuki said there are also opportunities for Japan and Malaysia to work together in various related strategic fields including advanced medical research such as clinical drug discovery, quantum technology, materials science, disaster preparedness, and satellite data utilisation.
The animation and content industries, smart agriculture, shipping and shipbuilding are promising sectors under this umbrella, he added.
“Malaysia also serves as a trusted energy partner to Japan, particularly through liquefied natural gas (LNG) supply. Both countries are committed to advancing a sustainable energy future. I believe efforts are in place to develop Malaysia as a production hub for green hydrogen and ammonia, aligning with Japan’s green transformation strategy,” the ambassador said.
“In addition, Malaysia’s tropical climate supports projects involving algae-derived bio-based feedstocks and sustainable aviation fuel, contributing further to clean energy goals.”
Further, he said Japan and Malaysia must focus on maritime security and safety, as well as regional stability. The sea lanes connecting Japan and Malaysia-including the Strait of Malacca, the South China Sea and the East China Sea-are vital for trade, energy security, and economic well-being.
“Ensuring these remain safe, secure, and open is a shared priority. Japan and Malaysia, as maritime nations, are committed to the rule of law, freedom of navigation, and peaceful resolution of disputes. Strengthening maritime security and safety contributes to regional stability and prosperity in the Indo-Pacific,” Noriyuki said.
He also emphasised the importance of people-to-people ties.
“While technology, energy, and security are crucial,the foundation of our relationship is built upon people-to-people connections. Governments create regulatory frameworks, but lasting relationships are built by students, researchers, engineers, entrepreneurs and citizens learning and working together.
“These ties facilitate collaboration across industries, research, resilient governance, and promote a sustainable, prosperous future.
“In summary, these four key areas-technology and industrial transformation, energy security and transition, maritime security and safety and regional stability, and people-to-people ties—form the pillars of Japan-Malaysia cooperation,” Noriyuki said.
Looking ahead to 2027, Noriyuki said the 70th anniversary of diplomatic relations between Japan and Malaysia will be an excellent occasion to reflect on the achievements of both countries and deepen creative collaboration.
The 2026 Asia Economic & Entrepreneurship Summit, now in its 10th year, brought together over 150 business leaders, economists, policy experts and entrepreneurs against a backdrop of geopolitical tensions, energy and commodity shocks, shifting capital flows and increasingly fractured global trade.
