Back to list

Taiwan's scrapping of US$12 b plant a big loss: Malaysian vice PM

2013/12/05 23:17:50

Kuala Lumpur, Dec. 5 (CNA) Taiwan's Kuokuang Petrochemical Technology Co.'s scrapping of plans for a refining complex in Malaysia is a disappointment for the country, which stood to win 40 billion ringgits (US$12.39 billion) in investment from the project, Malaysian Deputy Prime Minister Tan Sri Mahyiddin has said.

The company had wanted to set up an integrated refining and petrochemical complex in Pengerang in the Malaysian state of Johor, but the project was scrapped after they received what he called misleading information that gave the impression Malaysia's investment environment is unfriendly to business, he said.

Calling the complex one of Malaysia's priority projects, he said the country will not be discouraged and will seek other overseas investors to fund it.

Taiwan's state-owned CPC Corp. is the largest stakeholder in Kuokuang with 43 percent, while the rest of the company is held by other private Taiwanese investors.

(By Kuay Chau Churh and Lilian Wu)