The historical development of japanese investment in Malaysia 1971-1980


Scientific Essay, 2012

36 Pages


Free online reading

ABSTRACT

This study discusses the historical development of Japanese investment in Malaysia between 1971 and 1980. The research is based on the examination method of the resources available in the library and the National Archives of Malaysia. The objective of the study was to analyze the push and pull factors that contribute to the entry of Japanese investments in Malaysia during Tun Abdul Razak and Tun Hussein Onn administration. After 1970, Japanese investors began investing through a joint venture with government organizations such as the National Corporation Limited (Pernas), Majlis Amanah Rakyat (MARA) and the Federal Land Development Authority (Felda). This is in line with the NEP policy that emphasizes the participation of Bumiputera. These agencies represent Bumiputera participation. Relations between Malaysia and Japan continue to grow in 1977 through the formation of MAJECA in Malaysia and JAMECA in Japan. Japanese investment in this period was in labour-intensive industries that involve cheap labour, raw material processing and trade-related investment.

INTRODUCTION

Japanese investment in Malaysia has increased considerably since the liberalisation of Japan’s foreign investment rules in 1969. Prior to the 1960s there were only 15 Japanese firms in Malaysia. By the 1980s, the amount had increased to nearly 300 firms and Japanese investment in Malaysia amounted to almost RM 1 billion ringgit. Japan also has replaced the United States as the largest foreign investor in Malaysia. Sebelum tahun 1960 terdapat hanya 15 buah firma Jepun di Malaysia.[1] Malaysia and Japan economic relations during the administration of the Tun Abdul Razak witnessed Japan’s Official Development Assistance (ODA)[2] channelled to Malaysia to finance the bulk of the country's development projects.[3] Malaysia and Japan economic relations strengthened during the administration of Tun Hussein Onn.[4] One of the significant development was the establishment of Malaysia-Japan Economic Association (MAJECA) and Japan-Malaysia Economic Association (JAMECA)[5] by Raja Mohar Raja Badiozaman,[6] Special Economic Adviser to Tun Hussein Onn.

Kojima (1978) states that in the 1960s and 1970s, the main factors determining the Japanese investment in developing countries was the comparative advantage. Japan's industrial sector after the Second World War is labour-intensive. When Japanese development pace, the cost of labour and materials also increased, and resulted in the Japanese firms began to move their operations to developing countries with more and cheaper labour supply than the capital.

Ozawa (1979) on the other hand, stressed the importance of limited natural resources in Japan. He argued that for a country like Japan which has limited natural resources, to avoid the constraints of limiting economic growth, Japan must ensure the manufacturing of cheap raw materials from abroad through direct investment in countries with an extensive supply of natural resources. This direct investment was necessary because it has direct control over the production process and the price. The Japanese Government played a key role in ensuring a successful investment abroad through assistance provided such as financial assistance, assistance for infrastructure development, improve the image of Japan in developing countries after the Second World War, other assistance through organizations such as the Japanese Economic and Trade Organization (JETRO) and so on.

Between 1951 to 1979, North America, Central America and South America are the three most important places for Japanese investment, respectively represent 27 per cent, 26 per cent and 18 per cent of Japanese abroad investment The bulk of Japanese investment in the Asian region is in ASEAN. Each ASEAN countries has attracted major investments Japan with Indonesia accounted for 64 per cent from it or 12 per cent of the total Japanese investment abroad.[7] Japanese investments in developed countries are concentrated in the mining sector, trade and banking and insurance. In developing countries, Japanese investment are concentrated in the manufacturing and mining.

The patterns of Japanese investment abroad can be explained easily. As Japan is a country with limited natural resources, an important motif in the country's overseas trade was to get raw materials and mineral supply. So mining is an important field for Japanese investment in countries that are rich in mineral resources, regardless of the level of GDP per capita income of these countries. Japan has a large investment in the sectors of trade and banking and insurance in North America and Europe because it is a developed financial markets, while in developing countries, Japanese investment in the manufacturing sector was driven by cheap labour, access to raw materials and the desire to protect the local market.[8]

Since the Plaza Agreement[9] in September 1985, the rising cost of production in East Asia and the withdrawal of priority for duty-free products under U.S. Generalized System of Preferences (GSP)[10] resulted in an outflow of investment from East Asia in the second half of the 1980s, especially from Japan who suffer from shortage of blue collar workers.[11] While Japanese investment aimed at the United States and the European Union in the late 1970s and early 1980s, with a small number channeled to Southeast Asia, major changes have occurred since 1986.[12] The endaka phenomenon[13] witness many of Japan small companies put their operations closer to clients in the host countries. By 1990, foreign investment in Malaysia is increasingly dominated by investment from the Asia Pacific region, particularly Japan.[14] Japanese investment in Malaysia in the early 1990s dominated by proliferation of Japan’s Small and Medium Enterprises (SMEs),[15] to meet the needs of Japanese larger companies here.

The historical development of Japanese investment in Malaysia after independence has been touched by many previous researchers, among the important studies are from Chee Peng Lim Lee Poh Ping (1979 & 1983), J. Tann Kok Aun (1982), Mehmet Sami Denker (1990, 1994), Makoto Anazawa (1994) and Khadijah Md. Khalid Lee Poh Ping (2003). Although researchers saw there already too much previous research on Japanese investment in Malaysia at the time of independence, thish research will be able to complement previous studies through the analysis on the pull and push factors that contributed to the influx of Japanese investment in Malaysia during the administration period of Tun Abdul Razak and Tun Hussein Onn. The method used is based on the screening methods of the resources available in the library at the National Archives of Malaysia. The differently processed will also be able to give a new understanding to readers about the historical development of Japanese investment in the time period of the study.

PUSH FACTOR FROM MALAYSIA

When Tun Abdul Razak became Prime Minister, he has adopted a policy of neutrality. This policy affirms Malaysia will not favour any block and will work to get a recognition for excluding Southeast Asia as a region of peace, freedom and neutrality in line with the objective of Zone of Peace, Freedom and Neutrality (ZOPFAN) in 1971.[16] In line with that, he visited countries in the East Block that previously he never go. This includes his trip to the Soviet Union and ending the China opposing attitude in 1974.[17]

Starting from the beginning of 1970s, the Government's policy has been set to attract more Japanese investors.[18] For example through the Government's participation in the exhibition for a week sponsored by Southeast Asian Promotion Centre for Trade, Investment and Tourism, with facilities provided by Japanese External Trade Organization (JETRO).[19] This exhibition is the first for Malaysia and the third organised by Centre for Individual Southeast Asian Countries.[20] Deputy Minister of Trade and Industry Minister at the time, Musa Hitam, said that he hoped to discuss the possibility of industry cooperation between Malaysian and Japanese entrepreneurs. He is confident that the 'Sell Malaysia' campaign will make Japanese investors aware of the interesting investment climate in Malaysia.[21]

On 11 July 1972, an investment seminar held in Osaka to attract more Japanese investors to Malaysia.[22] Malaysian Investment Centre has been opened in Tokyo by Federal Industrial Development Authority (FIDA),[23] with strong support from Musa Hitam.[24] The efforts to attracting Japanese investment to Malaysia was due to the international competition that is being faced by the Government from other developing countries in attracting investment from developed countries. The Government is of the view that efforts should be increased to achieve this goal.[25] The Government actions in attracting Japanese investment then bring benefits, with Japanese delegation arrived one by one to Malaysia.[26]

In 1974, the Japanese Government held a Japanese Expo in Malaysia.[27] This Expo aimed at improving cooperation, giving encouragement to the industry in Malaysia, contributed the investment and technical cooperation in accordance with the development policies of the Malaysian Government.[28] In late 1974, a delegation of Japanese industry as many as 16 people arrived in Malaysia. Its Deputy Chief, Takutaro Nishijma stating their goal to invest as soon as possible in Malaysia, but it is quite difficult at the time to set the time. However, they want this to be a reality in the certain form during the period of one or two years later.[29] The goal of this team is basically to investigate Malaysia’s climate for Japanese investment. Its leaders felt compelled to urge the Japanese Government that the anti Japanese sentiment due to the legacy of the Second World War should not be the deciding factor in determining their investments.[30]

The real purpose of this delegation is to find out whether the Malaysian Government stable, and whether there is a cheap and skilled labour to help Japanese investors reduce their cost. Isamu Sakamoto, head of the delegation and Vice Chairman of Osaka Foundation for Science and Technology, said Malaysia's political stability, infrastructure and human resources are better than other countries.[31] He believes many Japanese entrepreneurs are keen to invest in Malaysia. This is because the salary structure has been up significantly in most developed countries. In Japan, their pay rate far exceeding salaries in Italy, France and the British.[32] He also noted that cheap labour is an available resource that can be used in labour-intensive industries, which in turn is likely to be used to support other industries that are more advanced.[33]

In 1975, the diversity of Japanese investment overseas has provided new opportunities for business in Malaysia.[34] According to Goh Cheng Teik, Parliamentary Secretary in the Prime Minister's Department, he saw it as an opportunity to get the Japanese capital resources to finance the Third Malaysia Plan and push the Malaysian economy to a higher level.[35] He advised the statutory bodies of the Government and the private sector to not lose this opportunity and make use of the situation to seize as many investments from Japan.[36] This new situation has led to a number of trade missions to Japan,[37] one of which under the Deputy Prime Minister at that time, Dato’ Seri Dr. Mahathir Mohamad.[38] He views because of imports from China will be more expensive as a result of increase in yen value, the establishment of more favourable industry in Malaysia should be supported.[39]

It can be seen that the Government policies in attracting Japanese investment has yielded positive results in the 1970s.[40] There is a large increase in Japanese investment, particularly in the textile and electrical and electronics sectors. Both are industries that need cheap labour. In addition to the manufacturing sector, Japanese firms are also involved in the construction, trade, finance and insurance sectors.[41] Japanese financial capital, namely the banking capital, become more important in this period. Growth in the construction sector had contributed to the implementation of the Second Malaysia Plan and the Third for projects like highways, airports, ports, new towns and other infrastructure developments.[42] All of this infrastructures are intended to create an attractive atmosphere for foreign investment.[43]

In the 1970s, the Government gives emphasis to the production of a wide range of export goods[44] such as electronics, tools, furniture and canned fruit. One thing that attracted the Government at that time was to acquire a source of capital and technology to help Malaysia’s industrialisation programme, also to achieve the implementation of New Economic Policy (NEP). Malaysia’s economic diversification, particularly in the manufacturing sector,[45] becomes the Government’s key agenda as a source of foreign exchange and provide more job opportunities for the people.[46]

One important objective of NEP is the economic and structural imbalances between regions in Malaysia.[47] In view of the regional gap, the Government has made intensive efforts to improve the relative position of the poor states of Kedah, Perlis, Kelantan and Terengganu.[48] One of the strategies used to achieve this goal is the provision of special fiscal incentives to Japanese firms who are willing to relocate their operations in areas that are less advanced.[49] However, most Japanese firms still choose to relocate their operations in states that are more advanced, particularly Selangor, Penang, Johor and Perak.[50]

Japanese firms choose to operating in the West Coast area because historically, West Coast area been first developed by British. This was followed by the development of mining activities based on the West Coast area. The West Coast area has already receiving foreign investors to produce and developing their economic activities since British era. An advanced infrastructure facilities in the West Coast area also helped to attract foreign investors. In Malaysia, most of the people prefer to migrate to big cities such as Kuala Lumpur. This caused the city to be packed with excess population. Due to industrial locations closer to large cities, it is more favourable to the investor to get cheap labour.

The introduction of Free Trade Zones (FTZs)[51] and special incentives for the electronics industry and other labour-intensive industries have created good conditions for export-oriented firms.[52] In the early 1970s, electrical and electronics firms that are export-oriented houses their operations in the Free Trade Zones, especially in Selangor.[53] Through the First[54] and Second Malaysia Plan, the Japanese factories have been given the opportunity to move their operations to a developed new areas. Previously, Japanese factories is limited in Penang and Kuala Lumpur.[55] The Government has opened and planned new enterprise area in Seremban, Melaka, Ipoh and Kuala Kangsar.[56]

There are three main reasons why electronics industry are given priority by the Government at this moment. First, since the early 1970s the request for electronics industry are so high in developing countries because of its ability to provide employment opportunities. Countries such as South Korea, Hong Kong, Taiwan, Singapore, India and Sri Lanka offers place to the electronics industry because their unemployment problem. Malaysia is also taking this action. Second, because electronics industry open more jobs to women, the Government feels it can balance the job opportunities for both sexes. Third, electronics industry can also offer many jobs compared to extractive industry.

From 1970s, Japanese import-replacement firms generally are not allowed by the Government to set up a wholly foreign ownership subsidiary.[57] They invest for developing and protecting their market share behind tariffs. Japanese firms that export their products has a directly business relationship with local wholesalers or indirect contacts through Sogo Shosha.[58] Before that, they just set up a partnership with a local partners and then with Sogo Shosha and local partners. Japanese import-replacement firms that have local partners have benefited in terms of their business contacts network, reduce financial exposure, and reduce management risk.[59]

Between 1973 and 1974, there has been a decline in Japanese investment.[60] This has been explained by the First Secretary of the Embassy of Japan, S. Wakaboyashi, who claimed that Japanese investors are generally reluctant to engage in overseas commitments. He also pointed out that Malaysia's investment regulations are getting tight. Japanese investment in Malaysia decreased marginally in 1975 as a result of the introduction of the Industrial Coordination Act (ICA) and the Petroleum Development Act (PDA).[61]

The Industrial Coordination Act was the instrument used by the Government to achieve the objective of NEP in the industrial sector. The goal of the Petroleum Development Act is to ensure that the Government has little control over the petroleum industry since it is depleting resources and Malaysia’s oil reserves are expected to last up till 1980s based on the current rate of production. Both of this Acts gives authority to the Government to intervene in the operations of manufacturing firms.[62] This Acts get protests from Japanese investors. This prompted some Japanese investment moved to other countries that are more attractive in Southeast Asia. The criticism of Japan against Malaysian investment rules can be linked with the increase of Malaysia’s economic nationalism in the mid 1970s.[63] However, K. Senoo, the Chief Representative of Mitsui United Bank, said Japanese investors are expected to enter Malaysia as soon as Japan’s economic situation improved.[64]

Japan’s economic recession caused by the collapse of the Bretton Woods system in 1971,[65] followed by a trade deficit relationship with the United States[66] and the world oil crisis in 1973[67] are the reasons identified for the lack of investment abroad by Japanese firms in that period.[68] The significant reduction of Japanese investment in Malaysia in the mid-1970s was due to the oil crisis felt so strong in Japan at that time.[69] This oil crisis also resulted in Japan began to diversify their industrial investment.

Malaysia and Japan relationship continues to evolve in 1977 through the establishment of MAJECA in Malaysia[70] and JAMECA in Japan. In addition there is also Government support institutions in order to promote the entry of foreign investors, such as the Malaysian Investment Development Authority (MIDA). It will work with Capital Investment Committee (CIC) which is headed by a Minister. Underneath there is a manufacturer's representative and internal and external investors that representing Private Sector Advisory Panel (PSAP) to advise CIC. The availability of this close relationship allows the Government to have a deep knowledge on the growth of the industry in accordance with the requirements of the private sector. Malaysian Industrial Development Finance Berhad (MIDF) has also been set up to help companies run into financial difficulties. In 1963 it has been working with the World Bank to expand its services. Other than that there is a least 40 commercial banks and the stock market is growing very well in Malaysia. Ministry of Trade and Industry’s decision to put its office in 24 foreign countries also have played a role to bring in foreign investors.[71]

One other study found Japan invest in Malaysia because there is cheap labour.[72] The importance of Japanese capital in import-replacement industry resulted in it taking advantage of Malaysia's export-orientation policy. Japan exploit ‘comparative advantages’ (in the form of cheap labour) to produce labour-intensive industry goods such as electronic products. The offshore operation method is to import 100 percent of their inputs from the holding company and export 100 percent of the output that are installed or produced in Malaysia to holding company for further fabrication and re-exports. Value creation in the state (the contribution of economics) and business networking (economic integration) is minimum.[73]

While the stability of Malaysian economy is often seen as a guarantee of profits, political stability is also considered very important to safeguard the assets of Japanese firms, providing guarantee of acquisition and nasionalisation, as well as workers unrest and others. In Malaysia, government laws that put limits on activities of trade associations, official efforts to determine the level of staff salaries,[74] and the rights of Government to intervene in a dispute between employer and employee has been given a high assessment in the decision of Japanese firms to site in Malaysia. Two areas that promise Japanese investment in Malaysia are raw materials sources developing and processing and export-oriented type. Generally, Tun Abdul Razak and Tun Hussein Onn administrations saw more Japanese new investment from Tunku Abdul Rahman administration.[75]

PUSH FACTOR FROM JAPAN

During the period 1970 to 1980, the Japanese Government responsible directly for Japanese investment in Malaysia. By the early 1970s, Japan experienced a shortage of labour, salary increases by 25 percent between 1971-1972, lack of raw materials and rising transportation costs. In addition there are also changes in government policies against Japanese investment abroad and the yen revolution had resulted in trading and international markets difficulties. Therefore it is save for Japanese entrepreneurs to establish factories in Southeast Asia.[76]

In 1972, Japanese investment moved according to Tanaka plan.[77] This plan encourages the transfer of certain industries overseas and these industries basically involve land, labour, pollution-intensive[78] and industries that use low-skilled labour, such as the textile sector.[79] While this industries are encouraged to other countries, the Japanese Government promotes the growth of high-tech industry in Japan.[80] One study found at the beginning of 1970s, the most prestigious business council in Japan has proposed the strategic restructuring of Japanese economy in the decade. The manufacturing process that are low value and high pollution will be exported while the clean and high-tech industry will be developed in Japan.[81] In addition, the oil crisis of 1973-74 has speed up Japanese investment overseas and its depanding towards other countries for industrial inputs and agricultural commodities.

The increase of land value in Japan are another factor that pushing Japanese industries abroad. Japanese manufacturing firms need to compete for land with the booming residential and services sector. In addition, there are extensive land speculation, raised more the value of land price. As a result, a significant amount of money needed to acquire land for the expansion of the company's operations. Meanwhile, resource-oriented investment was more pronounced since there are a lot of raw materials sources in Malaysia. This type of investment is taken to increase the production of raw materials resources that needed by Japan, and thereby help to ensure inflow of input materials for Japanese industry. This types of investments generally occur in agriculture, mining, forestry, and fisheries. In view of the importance of natural resources to countries that lack resources such as Japan, Japanese investment in all of this sectors are expected to rise.[82]

The changes in Japan's foreign policy toward ASEAN also influenced the inclusion of investment to the region. The main problem that has persisted between both sides is a trading relationship that is not balanced, where goods from Southeast Asian countries are not easy to penetrate Japanese market. An effort to build official diplomatic relations with ASEAN has already begun in 1957. At the time, Prime Minister Kishi Nobusuke propose establishment of Asia Construction Funds. The Fund aims to unify Japan, the United States and ASEAN. However, ASEAN does not welcome the initiative because it does not agree with the Vietnam War made by the United States (1955-1975). From 1960s to the 1970s, Japan approaches ASEAN again because its economic growth surged and ASEAN economies are also rising.

Japan feels confident of this smooth bilateral relationship until 1972 when Thailand boycott Japanese goods. Malaysia also opposed the production of Japanese synthetic rubber (plastic).[83] From 1973 to 1975, anti-Japan demonstration occurred in the universities in ASEAN. When Prime Minister Kakuei Tanaka visited Thailand and Indonesia in January 1973, this visit led to a disorder in both countries.[84] ASEAN eventually agreeing Japanese visits after the United States of America withdraw its forces from Vietnam in 1975.

When Prime Minister Takeo Fukuda visited Malaysia in 1977, he promises economic aid loan amounting to US $1 billion for ASEAN economic development projects. He also promises to increase imports from Southeast Asia. In Manila, which is his last stopover, he announced three things. First is Japan will not become a military power, second Japan will establish an honest closer relationship with countries in Southeast Asia, and third Japan will collaborate balancely with countries in Southeast Asia.[85] His economic policy was then known as the Fukuda Doctrine in 1977.[86]

Under the Fukuda Doctrine, Japan stressed its commitment to achieve peace and never becoming a military power again. The Fukuda Doctrine give a new image to Japan, where Takeo Fukuda at that time publicly apologized for the atrocities committed by the Japanese army during the Second World War. After that it has been a catalyst for efforts to build good relations in diplomacy between Japan and countries in the region.[87] The emphasis of ASEAN as the core of Japanese policy in Southeast Asia makes the Fukuda Doctrine as a transition point for Japan-ASEAN relations. The Fukuda Doctrine also marked Japan’s official recognization to ASEAN as a regional organization and the main actor of South East Asia region. A special Japan-ASEAN relation is considered to be the deciding factor for the region’s stability and prosperity.[88]

The Fukuda Doctrine mechanisms are helping ASEAN development and economic co-operation and development. The Fukuda Doctrine also acts as a new Japanese regional framework to manage relations between Southeast Asian countries.[89] Japan began its political role as mediator on the conflict of Indochina (1978-1994).[90] Japan hopes to encourage peaceful coexistence relationship between ASEAN and Indochina.[91] The Fukuda Doctrine acted as a framework for Japan to engage in regional politics.[92] Japan’s political role are adjusted and executed through the framework of Japan-ASEAN relations. Therefore, Japan can be avoided from political criticism. This will benefit Japan because its influence could grow in the region. This resulted in ASEAN depend on Japan not only as a source of economic development, but also the political resources to ensure political stability in the region. Then this seems to reflect a Greater East Asia Co-Prosperity Sphere that existed in the region where the economics, politics, security and culture fields of South East Asia region placed under Japanese influence.[93]

In increasing trade relations with Malaysia, Japan has established trade organizations in Kuala Lumpur and other parts of the country. Among them are Japan External Trade Organisation (JETRO), Malayan-Japan Industrial and Technical Consulting Bureau and The Industrial and The Industrial Co-operation Office.[94] The main objective of JETRO is creating enterprises to increase the foreign trade of Japan. Malayan-Japan Industrial and Technical Consulting Bureau were aimed at increasing the sale of heavy machinery and industrial equipment. While the role of The Industrial and The Industrial Co-operation Office is helping Malaysian businessmen to contact Japanese businessmen as well as giving advice on import and export.[95]

CONCLUSION

There are several pull factors that contribute to the inclusion of Japanese investment in Malaysia during the period of Tun Abdul Razak and Tun Hussein Onn administrations. First is the Malaysian Government policies that have been established since the early 1970s to attract more Japanese investors. For example, the introduction of Free Trade Zones (FTZs) and special incentives for the electronics industry and other labour-intensive industries that have created good conditions for export-oriented firms. Second are the establishment of MAJECA in Malaysia. Third are the supply of cheap labour. Fourth are a more complete infrastructure construction in Malaysia to promote the entry of foreign investment. Fifth are the benefits derived by Japanese investors under joint venture with local entrepreneurs under New Economic Policy plan. Sixth are the important role played by Japanese banks branches and Japanese insurance companies based in Malaysia in helping Japanese investment expansion.

There are also several push factors that contributing to the inclusion of Japanese investment in Malaysia during the period of Tun Abdul Razak and Tun Hussein Onn administrations.First is the recognition of Japan towards ASEAN that established the Fukuda Doctrine. Second are the increasing production costs increasing problem in Japan as a result of salary increases, which in turn exacerbated by the rising of yen’s value in 1971. Third are the role of Tanaka plan that helped to transfer Japan’s non-essential industry overseas. Fourth are the 1973-1974 oil crisis problems that has speed up Japanese investments abroad because of its dependent on other countries for industrial inputs and agricultural commodities. Fifth are the increase of land’s value Japan that pushing Japanese industries abroad. Sixth are the establishment of the JAMECA in Japan.

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Siti Muhaza binti Sh. Zainal . 1994. Hubungan Ekonomi Bilateral Malaysia-Jepun: 1981-1991, Ancaman Atau Peluang?. Master’s Thesis. Political Science Department, Universiti Kebangsaan Malaysia. Straits Echo. 1974. 23 October.

Sukadevan Prakash Lachmanan. 1999. The Role of Japanese Direct Investment in Malaysian Manufacturing Sector. Dissertation Master of Economics. Faculty of Economics and Administration, Universiti Malaya.

Sumanthy a/p Murugaiah. 1997/1998. Perdagangan Dan Pelaburan Jepun Di Negeri Sembilan 1957-1990. Bachelor’s Thesis. History Department, Universiti Kebangsaan Malaysia.

Susumu Awanohara. 1978. Working on the yen shift. Far Eastern Economic Review. 17 November: 77-78.

Takafusa Nakamura & Grace, Bernard R.G. 1985. Pembangunan Ekonomi Negeri Jepun Moden. Translated by Prof Madya Dr. M. Rajendran. Jepun: Kementerian Hal Ehwal Luar Negeri.

Tan Sock Cheong. 1994. Bantuan Luar Amerika Syarikat dan Jepun Kepada Malaysia: Satu Perspektif Sejarah Perbandingan (1957-1980). Bachelor’s Thesis. History Department, Universiti Kebangsaan Malaysia.

Tatsuya Watanabe. 2005. History of Japan’s ODA in Brief. In Reality of Aid Asia-Pacific & IBON Foundation. Reality of Aid Asia-Pasific, Fifty Years of Japan ODA: A Critical Review of ODA Reform, pp. 3-60. Manila: Ibon Books.

Terutomo Ozawa. 1979. Japanese Style: The Political Economy of Outward Dependency. Princeton, New Jersey: Princeton University Press.

Tham Siew Yean, Liew Chei Siang & Marziah Mokhtar. 2011. Foreign Direct Investment and Spillovers in Malaysia. In Chalongphob Sussangkarn, Yung Chul Park & Sung Jin Kang (editors). Foreign Direct Investments in Asia, pp. 51-83. London: Routledge.

The Star. 1973. 14 March.

The Straits Times. 1964. 27 September.

Trade Abroad. 1976. Issue No. 5.

Woon Yoke Sun. 1990. The Role of Japanese Direct Foreign Investment in the Malaysian Manufacturing Sector. Dissertation Master of Economics. Faculty of Economics and Administration, Universiti Malaya.

Yoshi Tsurumi. 1976. The Japanese are Coming: A Multinational Interaction of Firms and Politics. Massachusetts: Ballinger Publishing Company.

[...]


[1] Chee Peng Lim & Lee Poh Ping, Japanese Direct Investment in Malaysia, with Special Reference to Japaese Joint Ventures in Sueo Sekiguchi (pnyt.), ASEAN - JAPAN RELATIONS Investment, Singapore, Institute of Southeast Asian Studies, 1983, p. 61.

[2] For more information about the history of Japan's ODA to Malaysia, kindly see Tatsuya Watanabe, History of Japan’s ODA in Brief dlm. Reality of Aid Asia-Pacific & IBON Foundation, Reality of Aid Asia-Pasific, Fifty Years of Japan ODA: A Critical Review of ODA Reform, Manila, Ibon Books, 2005, pp. 3-60. See also E.M. Doherty, Japan's Expanding Foreign Aid Program in Asian Affairs 14 (3), 1987, pp. 129-149. See also Tan Sock Cheong, Bantuan Luar Amerika Syarikat dan Jepun Kepada Malaysia: Satu Perspektif Sejarah Perbandingan (1957-1980), Bachelor’s Thesis, History Department, Universiti Kebangsaan Malaysia, 1994, Chapter 3.

[3] Siti Muhaza binti Sh. Zainal , Hubungan Ekonomi Bilateral Malaysia-Jepun: 1981-1991, Ancaman Atau Peluang?, Master’s Thesis, Political Science Department, Universiti Kebangsaan Malaysia, 1994, p. 49. See also Narongchai Arkrasanee, ASEAN-Japan Relation Trade and Development, Singapore, ISEAS, 1983, p. 1. See also Mehmet Sami Denker, Internationalization of the Malaysian Economy: Role of Japan, Ph.D. Thesis, Universiti Malaya, 1990, pp. 609-615. See also Junichi Yamada, Role of Japanese Official Development Assistance in Southeast Asia: Special Reference to Malaysia, Ph.D. Thesis, Faculty of Economics and Administration, Universiti Malaya, 1996, pp. 127-129. See also Ahmad Ali Seman, Hubungan Ekonomi Malaysia-Jepun: 1980-1990 in Badriyah Haji Salleh & Tan Liok Ee (editors), Alam Pensejarahan: Dari Pelbagai Perspektif, Kuala Lumpur, Dewan Bahasa dan Pustaka, p. 336. The second yen credit loan agreement was 36,000 million yen from 1972 to 1976.

[4] For more information on Malaysia's foreign policy under the leadership of Tun Abdul Razak, kindly see Ooi Loy Mui, Sejarah Ekonomi Malaysia-Jepun: Kecenderungan Dasar Pandang Ke Timur Sehingga Membawa Kepada Penerapan Sistem Penglibatan Gaya Jepun di Malaysia Dari Tahun 1957-1980an, Bachelor of Arts Thesis, History Department, Universiti Kebangsaan Malaysia, 1997/1998, pp. 48-52.

[5] Md Nasrudin Md Akhir, Asmadi Hassan & Rohayati Paidi, Organisasi dan Institusi Jepun, Kuala Lumpur, Jabatan Pengajian Asia Timur, Fakulti Sastera dan Sains Sosial, Universiti Malaya, 2008, p. 197.

[6] Khadijah Md. Khalid & Lee Poh Ping, Whither The Look East Policy, Bangi, Penerbit Universiti Kebangsaan Malaysia, 2003, p. 69

[7] Chew Soon Beng & Pushpa Thambipillai, Japan and Southeast Asia in Manfred Pohl (editor), Japan 1980/81: Politics and Economy, Issued under the auspices of the Institute of Asian Affairs and Institute of Southeast Asian Studies, Singapore, Maruzen Asia, 1981, p. 164.

[8] Ibid., p. 165.

[9] The Plaza Agreement was an agreement between the Government of France, West Germany, Japan, the United States and British. The Plaza Agreement agreeing to do depreciation on the United States dollar against the Japanese Yen and German Mark, through intervention in the foreign exchange market. All five Governments signed the deal on 22 September 1985 at the Plaza Hotel, New York. There are two reasons for the weakening of the value of the dollar, which is reducing the current account deficit of the United States and help the US economy out of the recession that began in the early 1980s.

[10] U.S. Generalized System of Preferences (GSP) is a program designed to encourage economic growth in developing countries by providing preferential duty-free entry for up to 5000 products when imported from one of the 128 countries and territories specified. For more information about GSP, kindly see Office of the United States Trade Representative, U.S. Generalized System of Preferences (GSP) Guidebook, Washington, D.C., Office of the United States Trade Representative, 2012, pp. 1-35.

[11] Tham Siew Yean, Liew Chei Siang & Marziah Mokhtar, Foreign Direct Investment and Spillovers in Malaysia in Chalongphob Sussangkarn, Yung Chul Park & Sung Jin Kang (editors), Foreign Direct Investments in Asia, London, Routledge, 2011, hlm. 54. For more information about Japanese blue collar workers, kindly see Robert E. Cole, Japanese Blue Collar: The Changing Tradition, Berkeley, University of California Press, 1971.

[12] For more information, kindly see Roger Farrell, Japanese Foreign Direct Investment in the World Economy 1951-1997, Pacific Economic Paper No. 299, Canberra, Australian-Japan Research Centre, 2000. See also Anonymous, Japanese firms to move factories overseas in New Straits Times, 4 September 1986.

[13] The phenomenon in which the value of the Japanese Yen is high against the currencies of other countries.

[14] Anonymous, Asian policy in New Straits Times, 17 October 1988.

[15] See J. Tann Kok Aun, I Go East: Learning From The Japanese Experience, Kuala Lumpur, Milimex Corpn. Publishers, 1982, p. 131. Small and Medium Enterprises make up 90 percent of the total manufacturing companies in Japan. See also Anonymous, Japan’s small firms recover in New Straits Times, 23 April 1988.

[16] Irene Tay Ying Chee, Hubungan Jepun-ASEAN 1967-1994, Bachelor’s Thesis of Political Science, Political Science Department, Universiti Kebangsaan Malaysia, 1995, p. 26.

[17] Sumanthy a/p Murugaiah, Perdagangan Dan Pelaburan Jepun Di Negeri Sembilan 1957-1990, Bachelor’s Thesis, History Department, Universiti Kebangsaan Malaysia, 1997/1998, p. 87. See also Chamil Wariya, Pergolakan Antarabangsa: Perkembangan dan Isu Utama Sejak 1945, Kuala Lumpur, AMK Interaksi Sdn. Bhd., 1984, p. 199.

[18] Mehmet Sami Denker, Internationalization of the Malaysian Economy: Role of Japan, Ph.D. Thesis, Universiti Malaya, 1990, hlm. 447.

[19] Mehmet Sami Denker, The Evolution Of Japanese Investment In Malaysia in K.S. Jomo (editor), Japan and Malaysian Development: In the shadow of the rising sun, London, Routledge, 1994, p. 47. See also Foo Lai-Reen Joanne, Pelaburan Langsung Teknologi Tinggi Jepun Di Malaysia, Master’s Thesis of Philosophy, Universiti Kebangsaan Malaysia, 2003, p. 14. See also Irene Tay Ying Chee, Hubungan Jepun-ASEAN 1967-1994, Bachelor’ Thesis of Political Science, Political Science Department, Universiti Kebangsaan Malaysia, 1995, p. 64.

[20] Mehmet Sami Denker, Internationalization of the Malaysian Economy: Role of Japan, Ph.D. Thesis, Universiti Malaya, 1990, p. 448.

[21] The Star, 14 March 1973. See also Mehmet Sami Denker, Internationalization of the Malaysian Economy: Role of Japan, Ph.D. Thesis, Universiti Malaya, 1990, p. 448.

[22] Mehmet Sami Denker, The Evolution Of Japanese Investment In Malaysia in K.S. Jomo (editor), Japan and Malaysian Development: In the shadow of the rising sun, London, Routledge, 1994, p. 47. See also Foo Lai-Reen Joanne, Pelaburan Langsung Teknologi Tinggi Jepun Di Malaysia, Master’s Thesis of Philosophy, Universiti Kebangsaan Malaysia, 2003, p. 14.

[23] Later referred as MIDA, FIDA is a government agency that established to advise the Federal and State Governments about industrial development policies, advising local and foreign enterprises on Malaysian industrial sector, manage business licensing and exemption from tariffs or import duties, and co-ordinating the Malaysian industrial development.

[24] New Straits Times, 12 July 1973. See also Alvin D. Coox, Japan and the South East Asia Configuration, New York, Praeger, 1981, p. 86. See also Ahmad Ali Seman, Hubungan Ekonomi Malaysia-Jepun: 1980-1990 in Badriyah Haji Salleh & Tan Liok Ee (editors), Alam Pensejarahan: Dari Pelbagai Perspektif, Kuala Lumpur, Dewan Bahasa dan Pustaka, 1996, p. 337.

[25] New Straits Times, 12 July 1973. See also Mehmet Sami Denker, Internationalization of the Malaysian Economy: Role of Japan, Ph.D. Thesis, Universiti Malaya, 1990, p. 448.

[26] See also Anonymous, The Malaysian Business Interview: Mr Shigeru Hiroto, Ambassador of Japan in Malaysian Business, December 1973, p. 43. In his speech, he said Malaysia is important for Japanese traders to expand operations abroad. This is because Malaysia's positive atmosphere for foreign investment and the internal market also available.

[27] Tan Sock Cheong, Bantuan Luar Amerika Syarikat dan Jepun Kepada Malaysia: Satu Perspektif Sejarah Perbandingan (1957-1980), Bachelor’s Thesis, History Department, Universiti Kebangsaan Malaysia, 1994, p. 98.

[28] Malaysian Business, April 1974, p. 48.

[29] New Straits Times, 21 October 1974. See also Mehmet Sami Denker, Internationalization of the Malaysian Economy: Role of Japan, Ph.D. Thesis, Universiti Malaya, 1990, p. 449.

[30] See Ooi Loy Mui, Sejarah Ekonomi Malaysia-Jepun: Kecenderungan Dasar Pandang Ke Timur Sehingga Membawa Kepada Penerapan Sistem Penglibatan Gaya Jepun di Malaysia Dari Tahun 1957-1980an, Bachelor of Arts Thesis, History Department, Universiti Kebangsaan Malaysia, 1997/1998, p. 48. In 1971, the Japanese Government has provided two ships weighing 12,000 tonnes each to Malaysia as the payment of blood debts. See also Far Eastern Economic Review, 19 February 1970, p. 47. See also Mehmet Sami Denker, Internationalization of the Malaysian Economy: Role of Japan, Ph.D. Thesis, Universiti Malaya, 1990, p. 449.

[31] Foo Lai-Reen Joanne, Pelaburan Langsung Teknologi Tinggi Jepun Di Malaysia, Master’s Thesis of Philosophy, Universiti Kebangsaan Malaysia, 2003, p. 14. See also Sukadevan Prakash Lachmanan, The Role of Japanese Direct Investment in Malaysian Manufacturing Sector, Dissertation Master of Economics, Faculty of Economics and Administration, Universiti Malaya, 1999, p. 28.

[32] Straits Echo, 23 October 1974. See also Foo Lai-Reen Joanne, Pelaburan Langsung Teknologi Tinggi Jepun Di Malaysia, Master’s Thesis of Philosophy, Universiti Kebangsaan Malaysia, 2003, p. 14. See also Mehmet Sami Denker, Internationalization of the Malaysian Economy: Role of Japan, Ph.D. Thesis, Universiti Malaya, 1990, p. 450. See also Sukadevan Prakash Lachmanan, The Role of Japanese Direct Investment in Malaysian Manufacturing Sector, Dissertation Master of Economics, Faculty of Economics and Administration, Universiti Malaya, 1999, p. 27.

[33] New Straits Times, 23 October 1974. See also Mehmet Sami Denker, Internationalization of the Malaysian Economy: Role of Japan, Ph.D. Thesis, Universiti Malaya, 1990, p. 450. See also Sukadevan Prakash Lachmanan, The Role of Japanese Direct Investment in Malaysian Manufacturing Sector, Dissertation Master of Economics, Faculty of Economics and Administration, Universiti Malaya, 1999, p. 28.

[34] Ibid., p. 28.

[35] New Straits Times, 29 December 1975. See also Mehmet Sami Denker, Internationalization of the Malaysian Economy: Role of Japan, Ph.D. Thesis, Universiti Malaya, 1990, p. 451.

[36] New Straits Times, 29 December 1975. See also Mehmet Sami Denker, Internationalization of the Malaysian Economy: Role of Japan, Ph.D. Thesis, Universiti Malaya, 1990, p. 452.

[37] See Khadijah Md. Khalid & Lee Poh Ping, Whither The Look East Policy, Bangi, Penerbit Universiti Kebangsaan Malaysia, 2003, p. 65. In the early 1970s, Malaysian investment delegation to Japan usually consists of either Minister or Deputy Minister from the Ministry such as the Ministry of Commerce, senior officials from Bank Negara, EPU, MIDA and other government agencies. This is to allow foreign investors to know in advance the incentives provided by the Government and investment environment in Malaysia.

[38] His entourage will include several businessmen from Malay traders and Chinese corporate leaders. For more information, kindly see Hardev Kaur, Official missions abroad reflect on country in New Straits Times, 23 June 1997. In addition to the investment mission, Dato ' Seri Dr. Mahathir Mohamad also discuss yen loan with Prime Minister Fukuda. For more information, kindly see Susumu Awanohara, Working on the yen shift in Far Eastern Economic Review 17 November 1978, pp. 77-78.

[39] New Straits Times, 26 August 1978. See also Mehmet Sami Denker, Internationalization of the Malaysian Economy: Role of Japan, Ph.D. Thesis, Universiti Malaya, 1990, p. 452.

[40] Hideki Imaoka, Japanese Management in Malaysia in Southeast Asian Studies 22 (4), 1985, pp. 339-342.

[41] Foo Lai-Reen Joanne, Pelaburan Langsung Teknologi Tinggi Jepun Di Malaysia, Master’s Thesis of Philosophy, Universiti Kebangsaan Malaysia, 2003, p. 15.

[42] Ibid., p. 15. See also Mehmet Sami Denker, The Evolution Of Japanese Investment In Malaysia in K.S. Jomo (editor), Japan and Malaysian Development: In the shadow of the rising sun, London, Routledge, 1994, p. 50. See also Mehmet Sami Denker, Internationalization of the Malaysian Economy: Role of Japan, Ph.D. Thesis, Universiti Malaya, 1990, p. 453.

[43] Sukadevan Prakash Lachmanan, The Role of Japanese Direct Investment in Malaysian Manufacturing Sector, Dissertation Master of Economics, Faculty of Economics and Administration, Universiti Malaya, 1999, p. 28.

[44] Makoto Sakurai, East Asian Trade and Investment Policies in Toshihiko Kawagoe & Sueo Sekiguchi (editors), East Asian Economies: Transformation and Challenges, Singapore, Institute of Southeast Asian Studies, 1995, p. 189. See also Ahmad Ali Seman, Hubungan Ekonomi Malaysia-Jepun: 1980-1990 in Badriyah Haji Salleh & Tan Liok Ee (editors), Alam Pensejarahan: Dari Pelbagai Perspektif, Kuala Lumpur, Dewan Bahasa dan Pustaka, 1996, pp. 336, 337.

[45] Khadijah Md. Khalid & Lee Poh Ping, Whither The Look East Policy, Bangi, Penerbit Universiti Kebangsaan Malaysia, 2003, p. 63.

[46] Ibid., p. 62. See also Ahmad Ali Seman, Hubungan Ekonomi Malaysia-Jepun: 1980-1990 in Badriyah Haji Salleh & Tan Liok Ee (editors), Alam Pensejarahan: Dari Pelbagai Perspektif, Kuala Lumpur, Dewan Bahasa dan Pustaka, 1996, p. 340. See also Fong Chan Onn, Technological Leap: Malaysian Industry in Transition, Singapore, Oxford University Press, 1986, p. 23.

[47] Sumanthy a/p Murugaiah, Perdagangan Dan Pelaburan Jepun Di Negeri Sembilan 1957-1990, Bachelor’s Thesis, History Department, Universiti Kebangsaan Malaysia, 1997/1998, p. 109.

[48] Chee Peng Lim & Lee Poh Ping, The Role of Japanese Direct Investment in Malaysia, Occasional Paper No. 60, Singapore, Institute of Southeast Asian Studies, 1979, p. 11.

[49] Trade Abroad, Issue No. 5, 1976, p. 5. These incentives provide tax relief of up to 10 years to the firms that willing to put their operations in prescribed areas.

[50] Johan Saravanamuttu, The Look East Policy and Japanese Economic Penetration in Malaysia in Jomo (editor), Mahathir’s Economic Policies, Kuala Lumpur, INSAN, 1988, p. 19. See also Woon Yoke Sun, The Role of Japanese Direct Foreign Investment in the Malaysian Manufacturing Sector, Dissertation Master of Economics, Fakulty of Economics and Admiistration, Universiti Malaya, 1990, p. 95. See also Ahmad Ali Seman, Hubungan Ekonomi Malaysia-Jepun: 1980-1990 in Badriyah Haji Salleh & Tan Liok Ee (editors), Alam Pensejarahan: Dari Pelbagai Perspektif, Kuala Lumpur, Dewan Bahasa dan Pustaka, 1996, p. 350. See also Sumanthy a/p Murugaiah, Perdagangan Dan Pelaburan Jepun Di Negeri Sembilan 1957-1990, Bachelor’s Thesis, History Department, Universiti Kebangsaan Malaysia, 1997/1998, pp. 109-110.

[51] Nooriah Yusof, Pelaburan Langsung Asing dan Pembangunan Industri Barangan Elektrik dan Elektronik di Negeri Pulau Pinang, 1970-2007 in Kemanusiaan 18 (2), 2011, pp. 55. See also Foo Lai-Reen Joanne, Pelaburan Langsung Teknologi Tinggi Jepun Di Malaysia, Master’s Thesis of Philosophy, Universiti Kebangsaan Malaysia, 2003, p. 15. See also Siti Muhaza binti Sh. Zainal , Hubungan Ekonomi Bilateral Malaysia-Jepun: 1981-1991, Ancaman Atau Peluang?, Master’s Thesis, Political Science Department, Universiti Kebangsaan Malaysia, 1994, p. 45. See also B. Balassa, Economic Policies in the Pacific Area Developing Countries, Hampshire, Macmillan Academic and Professional Ltd., 1991, p. 146. See also Sukadevan Prakash Lachmanan, The Role of Japanese Direct Investment in Malaysian Manufacturing Sector, Dissertation Master of Economics, Fakulty of Economics and Administration, Universiti Malaya, 1999, p. 27.

[52] Makoto Anazawa, Japanese Manufacturing Investment In Malaysia in K.S. Jomo (editor), Japan and Malaysian Development: In the shadow of the rising sun, London, Routledge, 1994, p. 81. See also Shum Yu Wen, Dasar Luar Jepun Terhadap Negara-Negara ASEAN Selepas Perang Dunia Kedua Sehingga 1990, Bachelor’s Thesis, History Department, Universiti Kebangsaan Malaysia, 1997/1998, p. 98. See also Raitaro Nagai, Japanese Manufacturing Studies in Malaysia in ISIS Focus 101, 1993, p. 22. See also Md. Ali Hasan, Pelaburan Langsung Jepun di Malaysia, Paper work for Kongres Sejarah Malaysia II - Sejarah dan Proses Pemantapan Negara Bangsa, Organized by Persatuan Sejarah Malaysia in collaboration with Jabatan Sejarah UKM, Bilik Jumaah UKM, Bangi, 26-28 November 1996, p. 8.

[53] See Makoto Anazawa, Japanese Manufacturing Investment In Malaysia in K.S. Jomo (editor), Japan and Malaysian Development: In the shadow of the rising sun, London, Routledge, 1994, p. 99. For example, Matsushita Industrial Corporation, Matsushita Electronic Components, Tamura Electronics and Toko Electronics are in Sungai Way Free Trade Zone, Toshiba Electronics (M) is in Telok Panglima Garang Free Trade Zone.

[54] Mohd. bin Samsudin, Perhubungan Malaysia-Jepun 1957-1982, Master’s Thesis, History Department, Universiti Kebangsaan Malaysia, 1988, p. 57.

[55] Ooi Loy Mui, Sejarah Ekonomi Malaysia-Jepun: Kecenderungan Dasar Pandang Ke Timur Sehingga Membawa Kepada Penerapan Sistem Penglibatan Gaya Jepun di Malaysia Dari Tahun 1957-1980an, Bachelor of Arts Thesis, History Department, Universiti Kebangsaan Malaysia, 1997/1998, p. 46.

[56] Ibid., p. 46.

[57] Raitaro Nagai, Japanese Manufacturing Studies in Malaysia in ISIS Focus 101, 1993, p. 24.

[58] Ibid., p. 24.

[59] Ibid., p. 24.

[60] Mehmet Sami Denker, The Evolution Of Japanese Investment In Malaysia in K.S. Jomo (editor), Japan and Malaysian Development: In the shadow of the rising sun, London, Routledge, 1994, p. 48. See also Mehmet Sami Denker, Internationalization of the Malaysian Economy: Role of Japan, Ph.D. Thesis, Universiti Malaya, 1990, p. 450. See also Sukadevan Prakash Lachmanan, The Role of Japanese Direct Investment in Malaysian Manufacturing Sector, Dissertation Master of Economics, Fakulty of Economics and Administration, Universiti Malaya, 1999, p. 28.

[61] Chee Peng Lim & Lee Poh Ping, Japanese Direct Investment in Malaysia, with Special Reference to Japanese Joint Ventures in Sueo Sekiguchi (editor), ASEAN-Japan Relations Investment, Singapore, Institute of Southeast Asian Studies, Singapore, 1983, p. 69.

[62] For more information, kindly see Chee Peng Lim, An Analysis of the Government’s Industrial Policy in Malaysia with Special Reference to the Petroleum Development Act 1974 and the Industrial Coordination Act 1975 in Paper presented at the Fourth Malaysia Economic Convention, Organized by Malaysian Economic Association, Kuala Lumpur, 19-21 May1977.

[63] Mehmet Sami Denker, Internationalization of the Malaysian Economy: Role of Japan, Ph.D. Thesis, Universiti Malaya, 1990, p. 451.

[64] Mehmet Sami Denker, The Evolution Of Japanese Investment In Malaysia in K.S. Jomo (editor), Japan and Malaysian Development: In the shadow of the rising sun, London, Routledge, 1994, p. 48. See also Mehmet Sami Denker, Internationalization of the Malaysian Economy: Role of Japan, Ph.D. Thesis, Universiti Malaya, 1990, p. 451.

[65] The Bretton Woods system of monetary management established the rules for commercial and financial relations among the world's major industrial states in the mid-20th century. With this system each country need to have a monetary policy for a currency value exchange system that pegged to the gold value. This system was the first example of a fully negotiated monetary order intended to govern monetary relations among independent nation-states. Under the Bretton Woods System, each country should establish a monetary policy that maintained the exchange rate of the fixed value - with the flexibility of projection does not exceed 1 percent negative (-1%) or positive (1%) the pegged to the gold value and the ability of the International Monetary Fund (IMF) as a temporary solution to the imbalance costs. In the face of increasing financial constraints, the system collapsed in 1971, after the United States of America individually ended the exchange of dollar to gold. America’s action has created circumstances where the United States dollar is the only guarantees currency and backup currency to member states. Today, the IMF and the World Bank are the legacy of Bretton Woods system that collapsed during the 1970s.

[66] Irene Tay Ying Chee, Hubungan Jepun-ASEAN 1967-1994, Bachelor’s Thesis of Political Science, Political Science Department, Universiti Kebangsaan Malaysia, 1995, p. 44

[67] Leo Ching, Japan in Asia in William M. Tsutsui, (editor). A Companion to Japanese History, Malden, MA, Blackwell Publishing Ltd., 2007, p. 416.See also Irene Tay Ying Chee, Hubungan Jepun-ASEAN 1967-1994, Bachelor’s Thesis of Political Science, Political Science Department, Universiti Kebangsaan Malaysia, 1995, p. 55. In 1973, the Organization of Arab Petroleum Exporting Countries (OAPEC) impose an oil embargo against Japan to force Japan untie its relationship with Israel. This threat worries Japan because 83% of its oil imports coming from OAPEC.

[68] Sukadevan Prakash Lachmanan, The Role of Japanese Direct Investment in Malaysian Manufacturing Sector, Dissertation Master of Economics, Faculty of Economics and Administration, Universiti Malaya, 1999, p. 28.

[69] Takafusa Nakamura & Bernard R.G. Grace, Pembangunan Ekonomi Negeri Jepun Moden, Translated by Prof Madya Dr. M. Rajendran, Jepun, Kementerian Hal Ehwal Luar Negeri, 1985, p 103. See also Tan Sock Cheong, Bantuan Luar Amerika Syarikat dan Jepun Kepada Malaysia: Satu Perspektif Sejarah Perbandingan (1957-1980), Bachelor’s Thesis, History Department, Universiti Kebangsaan Malaysia, 1994, pp. 91-92. See also Kiyoshi Kojima, Reorganisation of North-South Trade, Japan’s Foreign Economic Policy for the 1970s in Hitotsubishi Journal of Economics 6 (2), 1966, p. 11. See also Woon Yoke Sun, The Role of Japanese Direct Foreign Investment in the Malaysian Manufacturing Sector, Dissertation Master of Economics, Faculty of Economics and Administration, Universiti Malaya, 1990, p. 75.

[70] Prime Minister's Office received the cooperation of MISC to establish MAJECA. MISC involved in the establishment of MAJECA because its operation begins with the provision of two ships by Japanese Government to Malaysian Government as a war compensation in the late 1960s.

[71] Lembaga Kemajuan Perusahaan Persekutuan, Malaysia: Your Profit Centre in Asia, no place, no publisher, no year, p. 18.

[72] Mehmet Sami Denker, The Evolution Of Japanese Investment In Malaysia in K.S. Jomo (editor), Japan and Malaysian Development: In the shadow of the rising sun, London, Routledge, 1994, p. 53.

[73] J. Saravanamuttu, The Role and Impact of Japanese Direct Investment in Malaysia, Paper presented at the Seminar Japanese Experience: Lessons for Malaysia, organized by Ministry of Foreign Affairs, Pulau Pinang, 28-31 May 1983.

[74] For more information about the advantages of salary rates in Malaysia, kindly see Mehmet Sami Denker, The Evolution Of Japanese Investment in Malaysia in K.S. Jomo (editor), Japan and Malaysian Development: In the shadow of the rising sun, London, Routledge, 1994, p. 54.

[75] For more information about the economic and trade relations between Malaysia and Japan between 1968 to 1978, kindly see Mohd. bin Samsudin, Perhubungan Malaysia-Jepun 1957-1982, Master’s Thesis, History Department, Universiti Kebangsaan Malaysia, 1988, pp. 77-95. For more information about the economic and trade relations between Malaysia and Japan between 1978 to 1982, kindly see ibid., pp. 122-133. For information about the 5 phases of foreign investment after Malaysia achieved independence, kindly see K.R. Chou, Studies on Saving and Investment in Malaya, 1966, Hong Kong, Academic Publications, pp. 148-150.

[76] Kiyoshi Kojima, Reorganisation of North-South Trade: Japan’s Foreign Economic Policy for the 1970s in Hitotsubashi Journal of Economics 13 (2), 1973, p. 3.

[77] Chua Wee Meng, Comments on Professor Ichimura’s Paper in Institute of Southeast Asian Studies, The Future Pattern of Japanese Economic and Political Relations with Southeast Asia, Current Issues Seminar Series No. 5, Singapore, Institute of Southeast Asian Studies, 1975, p. 45. See also Ryokichi Hirono, Japanese Private Investment in Asia in Kernial S. Sandhu & Eileen P.T. Tang, (editors), Japan As An Economic Power And Its Implications For Southeast Asia, Papers presented at a conference organized by the Institute of Southeast Asian Studies, Singapore, Institute of Southeast Asian Studies, 1974, p. 3. See also Kei Wakaizumi, Japan’s Role In International Society: Implications For Southeast Asia in Kernial S. Sandhu & Eileen P.T. Tang, (editors), Japan As An Economic Power And Its Implications For Southeast Asia, Papers presented at a conference organized by the Institute of Southeast Asian Studies, Singapore, Institute of Southeast Asian Studies, 1974, p. 80.

[78] Ooi Loy Mui, Sejarah Ekonomi Malaysia-Jepun: Kecenderungan Dasar Pandang Ke Timur Sehingga Membawa Kepada Penerapan Sistem Penglibatan Gaya Jepun di Malaysia Dari Tahun 1957-1980an, Bachelor’s Thesis of Philosophy, History Department, Universiti Kebangsaan Malaysia, 1997/1998, pp. 57-58.

[79] Chua Wee Meng, Comments on Professor Ichimura’s Paper in Institute of Southeast Asian Studies, The Future Pattern of Japanese Economic and Political Relations with Southeast Asia, Current Issues Seminar Series No. 5, Singapore, Institute of Southeast Asian Studies, 1975, p. 45. See also Mehmet Sami Denker, The Evolution Of Japanese Investment In Malaysia in K.S. Jomo (editor), Japan and Malaysian Development: In the shadow of the rising sun, London, Routledge, 1994, p. 53.

[80] Chua Wee Meng, Comments on Professor Ichimura’s Paper in Institute of Southeast Asian Studies, The Future Pattern of Japanese Economic and Political Relations with Southeast Asia, Current Issues Seminar Series No. 5, Singapore, Institute of Southeast Asian Studies, 1975, p. 45.

[81] Ibid., p. 45.

[82] See Yoshi Tsurumi, The Japanese Are Coming, Cambridge, Massachusetts, Ballinger Publishing Co., 1976, p. 37. Y. Tsurumi estimate by 1980, 2/3 of the total Japanese overseas investment is in resource-oriented sector.

[83] See Irene Tay Ying Chee, Hubungan Jepun-ASEAN 1967-1994, Bachelor’s Thesis in Political Science, Political Science Department, Universiti Kebangsaan Malaysia, 1995, p. 35. On ASEAN's insistence, one dialogue encounters between Japan and ASEAN was held in Tokyo on 27-28 November 1973 to discuss about the Japanese synthetic rubber issue that has affected ASEAN countries exports, representing 85 percent of the world rubber producers.

[84] Ibid., p. 34.

[85] Ibid., p. 48.

[86] J. Tann Kok Aun, I Go East: Learning From The Japanese Experience, Kuala Lumpur, Milimex Corporation Sdn. Bhd., 1982, p. 25. See also Irene Tay Ying Chee, Hubungan Jepun-ASEAN 1967-1994, Bachelor’s Thesis of Political Science, Political Science Department, Universiti Kebangsaan Malaysia, 1995, pp. 39, 47.

[87] Md. Shukri Shuib, Pemilihan Fukuda Mampu Baiki Imej Jepun in Utusan Malaysia, 25 September 2007.

[88] Irene Tay Ying Chee, Hubungan Jepun-ASEAN 1967-1994, Bachelor’ Thesis of Political Science, Political Science Department, Universiti Kebangsaan Malaysia, 1995, p. 48. For more information about Japanese-ASEAN relations after the Fukuda Doctrine, kindly see ibid., pp. 49-54.

[89] Ibid., p. 118.

[90] Ibid., p. 74.

[91] Ibid., p. 118.

[92] Ibid., p. 73.

[93] Ibid., pp. 117-118.

[94] Ahmad Ali Seman, Hubungan Ekonomi Malaysia-Jepun: 1980-1990 in Badriyah Haji Salleh & Tan Liok Ee (editors), Alam Pensejarahan: Dari Pelbagai Perspektif, Kuala Lumpur, Dewan Bahasa dan Pustaka, 1996, p. 337

[95] Ibid., p. 337. See also The Straits Times, 27 September 1964.

36 of 36 pages

Details

Title
The historical development of japanese investment in Malaysia 1971-1980
College
University Kebangsaan Malaysia
Course
History
Authors
Year
2012
Pages
36
Catalog Number
V279141
ISBN (eBook)
9783656729051
ISBN (Book)
9783656729044
File size
491 KB
Language
English
Tags
malaysia
Quote paper
Uqbah Iqbal (Author)Nordin Hussin (Author)Ahmad Ali Seman (Author), 2012, The historical development of japanese investment in Malaysia 1971-1980, Munich, GRIN Verlag, https://www.grin.com/document/279141

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