Sabah pulp and paper JV with China firm plan

LocalBusiness & Finance
24 Mar 2025 • 10:29 AM MYT
Daily Express
Daily Express

Daily Express Online (Malaysia) is Sabah's top-ranked & most viewed English news site. It is also Sabah's leading & most circulated daily English newspaper.

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By: Hayati Dzulkifli

FUJIAN: Sabah is exploring potential collaboration with China in the pulp and paper industry through a recent delegation visit from Sabah.

The delegation was led by Lau Ki Wai, who is the Economic Development Advisor to Assistant Minister I of the Ministry of Agriculture, Fisheries and Food Industry Sabah, Datuk Hendrus Anding, to seek such collaboration with China’s Liansheng Paper company.

Recognising the development potential of China’s paper industry and the vast land in Sabah, Lai said the delegation led a visit to Liansheng Paper in Fujian Zhangzhou to explore collaborative opportunities with an aim to achieve a mutually beneficial outcome for all parties involved.

Liansheng Paper Co., Ltd. is a prominent player in China’s paper industry and its operations span over 300 hectares, encompassing factories, offices, wood yards and staff dormitories.

The company boasts an annual production capacity of 3.9 million tons, producing pulp, household paper and printing paper, with a total investment exceeding 25 billion yuan.

Prior to the trip, Lau who is a Director of Brilliant Junction Sdn Bhd held strategic discussions with Invest Sabah Berhad head of Marketing and Communication Jaccie Koh Bao Meng and head of Asia Pacific Investment Eason Len Yu Shen, that focused on garnering support from the agency to facilitate the proposed investment and development initiatives.

The Sabah delegation, also joined by other businessmen namely Kao Chun Liang, Chairman of Taiwan-based Day & Day Frozen Food Service Agency Inc., and Hong Kong investor Sze, visited Liansheng Paper Co., Ltd. in Zhangzhou.

The delegation was warmly received by Zhang Liedong, Deputy General Manager of Liansheng Paper, along with key representatives from Liansheng Forestry Company, including Director Zhu Fuqing, Deputy General Manager Zhu Fuquan, and Manager Lin Chunxing.

Lin had previously visited Sabah for an in-depth understanding of its forestry industry.

Lai said the discussions centered on potential collaboration in establishing a pulp and paper manufacturing plant in Sabah, sourcing raw materials, and identifying suitable land for timber plantation dedicated to pulp and paper species.

Following the visit, Lau said he met again with Invest Sabah Berhad to report on the discussions and plans are underway for the agency to host a follow-up meeting with the Chinese counterparts to further explore the proposed project.

He said the initiative reflects Sabah’s commitment to tapping into China’s advanced paper manufacturing sector and leveraging Sabah’s abundant land resources.

He added that both parties aim to achieve a mutually beneficial partnership that could contribute significantly to the state’s economic development.