Thailand’s upstream rubber strength can complement Malaysia’s downstream capabilities
KUALA LUMPUR: Malaysia and Thailand should leverage their respective strengths in the halal and rubber industries to create higher-value opportunities beyond bilateral trade and expand into ASEAN and global markets, said Economy Minister Akmal Nasrullah Mohd Nasir.
He said economic co-operation between the two countries should not be measured primarily by the volume of exports and imports, but also by the value created through closer collaboration.
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“The relationship between Malaysia and Thailand is not only about connectivity, where we have an advantage due to our close geographical proximity.
“But its potential also needs to be assessed beyond just the volume of trade between the two countries,” he told Bernama after delivering his opening remarks at the 3rd Economic Forum 2026 here today.
Themed ‘Bridging the Two Borders: Elevating Thailand-Malaysia Resilient Value Chains in Halal and Rubber Industries’, the one-day forum is organised by the Royal Thai Embassy.
Meanwhile, Akmal Nasrullah said the development of the Perlis Inland Port, together with projects such as Chuping Valley and Kedah Rubber City, could further enhance cross-border economic activities.
For the rubber industry, he said Thailand’s strength in the upstream sector could complement Malaysia’s downstream capabilities, creating greater potential for the industry.
“For the rubber industry, this is where we can continue to develop the potential for the movement of goods that can connect to other ports, such as those in Penang,” he said.
Akmal Nasrullah said Malaysia and Thailand are targeting US$30 billion in bilateral trade in 2027, coinciding with the 70th anniversary of diplomatic relations between the two countries.
He said efforts to reduce barriers for businesses would help both countries unlock greater market opportunities.
Beyond halal and rubber, Akmal Nasrullah said Malaysia could also explore opportunities in other sectors, including electrical and electronics, as well as semiconductors.
“The question of how we can leverage our strengths in semiconductors can also be highlighted, given that there is room for us to further strengthen the relationship,” he said.
Meanwhile, Thailand’s Ambassador to Malaysia, Lada Phumas, said the forum provided an opportunity for the public and private sectors of both countries to engage and translate commitments into action.
“This is important for the future of the shared prosperity between Thailand and Malaysia, especially along the border, from the southern border provinces of Thailand to the northern border of Malaysia,” she said.
Lada said Thailand was committed to continuing the forum next year, with areas of co-operation to be expanded according to potential opportunities.
In 2025, Lada said bilateral trade between Malaysia and Thailand stood at US$28.24 billion.
“This is our commitment, and I think the areas of co-operation will evolve accordingly, particularly in northern Malaysia,” she said.
She added that both countries would intensify efforts to expand the halal ecosystem beyond food, such as pharmaceutical products and cosmetics, as part of efforts to achieve the US$30 billion bilateral trade target by 2027.
