State Overview

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Strategic Location

Johor serves as a gateway to Malaysia’s wider market of 34 million consumers. With a population of 4.1 million, making it Malaysia's second most populous state, Johor provides extensive opportunities for business growth.

Channel

Strong Transport Connectivity

Direct access to Singapore and SEA markets through land, sea, air, and rail networks, connecting businesses to regional markets.

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Strong Economic Foundations

Malaysia's third-largest economy at RM158 billion, driven by robust manufacturing and services sectors, with strong trade performance and growing foreign investments.

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Growing Talent Base

Offers a young, urban workforce of 2.1 million, supporting business expansion needs.

Key Industries

  • Digital Economy

  • Green Economy

  • Logistics

  • Manufacturing

  • Retail and F&B Services

Digital Economy

Johor's fastest-growing sector is powered by strong government support and increasing digital adoption. Key developments include data centres, cloud computing, AI, and Industry 4.0 solutions across strategic clusters in Iskandar Puteri and Sedenak. Singapore technology companies are actively investing in sustainable data centre operations, bringing advanced solutions and workforce development to the state.

Green Economy

Aligned with Malaysia's net-zero 2050 commitment, Johor's Green Committee actively promotes sustainability initiatives and renewable technology adoption. Growing opportunities span renewable energy and advanced decarbonisation solutions. Singapore companies are finding success in sustainable energy and efficiency solutions across the state.

Logistics

Johor's logistics strength stems from its strategic location, sea-air connectivity, and established service provider ecosystem. Major logistic clusters are in Port of Tanjung Pelepas, Pasir Gudang, and Senai. Singapore companies can leverage opportunities through providing technology-driven warehousing, regional distribution, and sustainable logistics solutions.

Manufacturing

A cornerstone of Malaysia’s economy, the manufacturing sector attracted over RM9.1 billion in FDI in 2024. The state's well-developed manufacturing landscape sees strong presence of Singapore companies across electrical & electronics (E&E), food products, medical technology, and chemical products. This robust ecosystem continues to draw international investors, leveraging Johor's strategic advantages for regional operations.

Retail

With few restrictions on foreign ownership, Johor presents an attractive expansion destination for Singapore retail and F&B businesses. The state offers operational advantages, cultural familiarity, and a growing consumer base. Singapore brands across the consumer and lifestyle sectors, be it dining or fashion, have established successful operations, supported by strong logistical connections.

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