(Kuching, 22nd) — Sarawak Premier Datuk Patinggi Tan Sri Abang Johari Tun Openg has called on the federal government to expand the scope of investment incentives by including hydrogen production and critical raw materials for semiconductor manufacturing in their preferential policies, to further solidify Malaysia’s position as a strategic leader in ASEAN.
He directly submitted this proposal to Prime Minister Datuk Seri Anwar, urging the federal government to review and update the existing fiscal framework to attract high-value enterprises to participate in the emerging green economy sector.
Abang Johari made these remarks in his speech on Sunday evening (21st) at the Sarawak state-level Gawai Dayak Harvest Festival Dinner 2026, held at the Borneo Convention Centre Kuching (BCCK), stating that traditional tax and incentive systems are no longer sufficient to attract advanced manufacturing supply chains to the country.
"Since the current economy is undergoing a transition, perhaps the Prime Minister can reconsider the government’s incentive measures for attracting investments into new economic sectors."
He said that these incentives should especially focus on green hydrogen production and the upstream investments and critical raw materials required for semiconductor manufacturing.
Abang Johari pointed out that a modernized investment incentive mechanism is itself a form of strategic investment, which not only stimulates economic expansion but will ultimately bring more substantial tax returns to the federal government.
"By optimizing these policy frameworks, the market coverage of related products can be greatly expanded and a powerful advanced manufacturing system established. I believe that in the long term, the nation will achieve substantial returns through corporate tax revenue."
Speaking on Sarawak’s developmental advantages, he mentioned that Bintulu was recently officially certified by the World Economic Forum (WEF) as a "Transitional Industrial Cluster," becoming one of only 30 such recognized specialized industrial hubs worldwide.
He stressed that this recognition from the World Economic Forum provides a unique international platform for Sarawak to compete for high-tech manufacturing investment, and timely adjustments to the incentives by the federal government will help seize this momentum.
Abang Johari further linked this policy proposal with Malaysia’s broader regional strategic goals, stating that Sarawak is ready to become a major regional green energy hub, thus supporting the Prime Minister’s vision of making Malaysia a key strategic partner in ASEAN.
He said: "God willing, we will do everything in our power to help realize your goal of making Malaysia an important strategic partner in ASEAN."
Abang Johari made these remarks in his speech on Sunday evening (21st) at the Sarawak state-level Gawai Dayak Harvest Festival Dinner 2026, held at the Borneo Convention Centre Kuching (BCCK), stating that traditional tax and incentive systems are no longer sufficient to attract advanced manufacturing supply chains to the country.
"Since the current economy is undergoing a transition, perhaps the Prime Minister can reconsider the government’s incentive measures for attracting investments into new economic sectors."
He said that these incentives should especially focus on green hydrogen production and the upstream investments and critical raw materials required for semiconductor manufacturing.
Abang Johari pointed out that a modernized investment incentive mechanism is itself a form of strategic investment, which not only stimulates economic expansion but will ultimately bring more substantial tax returns to the federal government.
"By optimizing these policy frameworks, the market coverage of related products can be greatly expanded and a powerful advanced manufacturing system established. I believe that in the long term, the nation will achieve substantial returns through corporate tax revenue."
Speaking on Sarawak’s developmental advantages, he mentioned that Bintulu was recently officially certified by the World Economic Forum (WEF) as a "Transitional Industrial Cluster," becoming one of only 30 such recognized specialized industrial hubs worldwide.
He stressed that this recognition from the World Economic Forum provides a unique international platform for Sarawak to compete for high-tech manufacturing investment, and timely adjustments to the incentives by the federal government will help seize this momentum.
Abang Johari further linked this policy proposal with Malaysia’s broader regional strategic goals, stating that Sarawak is ready to become a major regional green energy hub, thus supporting the Prime Minister’s vision of making Malaysia a key strategic partner in ASEAN.
He said: "God willing, we will do everything in our power to help realize your goal of making Malaysia an important strategic partner in ASEAN."