With improved cross-border movement, Chinese businesses are eager to expand operations and tap into Singapore’s logistics facilities.

The soon-to-be-launched Johor-Singapore Special Economic Zone (SEZ) is generating significant interest, not just from Singaporean firms, but also from Chinese companies seeking to reduce costs and enhance operational efficiency. These businesses are particularly focused on the potential for better movement of goods and people across the Causeway, which is expected to streamline access to Singapore’s extensive logistical infrastructure and simplify travel for business partners.

While the official agreement to establish the SEZ is set to be signed on January 7 during the 11th Malaysia-Singapore Leaders’ Retreat in Putrajaya, Johor has already attracted attention from a range of Chinese enterprises looking to benefit from its strategic location.

Lee Ting Han, chairman of Johor’s investment, trade, consumer affairs, and human resources committee, highlighted the growing trend of Chinese businesses choosing the state as a base for expansion, with the SEZ offering promising opportunities for them to enhance connectivity and reduce operational costs.