KOTA KINABALU: China-based corporations are urged to explore the possibilities of investing in various sectors in Sabah.

Datuk Phoong Jin Zhe, Minister of Industrial Development and Entrepreneurship of Sabah, said the mutual visa exemption between China and Malaysia would facilitate trades between Sabah and China.

“Trade volume between Sabah and China has doubled from 10 billion yuan (RM6 billion) in 2018 to 20 billion yuan last year.

“Based on the current trend of smooth collaboration between China and Sabah, I believe the figure will continue to surge,” Phoong said at the launch of trade and investment networking session between Sabah and China’s Guangdong province last Saturday.

The Guangdong representatives were led by Cheng Nonghao, secretary-general of the Guangdong Province Federation of Returned Overseas Chinese.

Phoong said Sabah’s industrial development had attracted many companies from China to invest in the state, including Kibing Group which has up a photovoltaic glass plant at Kota Kinabalu Industrial Park.

“Kibing Group’s second phase investment in Sabah is still ongoing.

“The estimated investment sum is more than RM10 billion, making Sabah one of the region’s largest production bases for photovoltaic glass,” he continued.

Phoong said Sabah is currently upgrading its facilities, infrastructure and port.

The state is also planning to upgrade Kota Kinabalu International Airport next year to meet the surge in demand.

Phoong said the gross domestic product (GDP) for the manufacturing sectors in Sabah recorded a robust growth of 4.4 per cent, making it the fastest growing state in Malaysia, while its service sector recorded 4.5 per cent growth due to strong recovery in tourism.

“Sabah’s tourism sector has recovered strongly and has exceeded pre-pandemic levels.

“GDP from the service sector crossed the RM42 billion mark last year. It was between RM38 billion and RM39 billion in 2019,” he said.