KUALA LUMPUR: France wants to deepen economic and strategic ties with Malaysia as both countries seek to strengthen supply chain resilience and diversify trade in an increasingly uncertain global environment, French Minister Delegate for Foreign Trade and Economic Attractiveness Nicolas Forissier said.
In an interview with Astro AWANI during his first official visit to Malaysia, Forissier said both countries shared a commitment to a rules-based international order and saw scope to expand cooperation beyond trade.
"We want a rules-based system. We defend multilateralism," he said. "Both our countries are asking for predictability. We are asking for diversification of partnerships. We have to build a more secure, predictable system."
Forissier said France support efforts to conclude negotiations on a free trade agreement between the European Union and Malaysia and hoped the pact could be implemented by 2027.
He also highlighted a newly announced partnership between French rare earth company Carester and Malaysia's Malaco Mining as an example of broader industrial cooperation.
The 10-year joint venture will establish a rare earth separation plant in Perak and includes the transfer of rare earth processing technology from Carester to its Malaysian partner.
"What we are doing is building a sovereignty partnership, not only a trade partnership. We want this to be a long-term, win-win partnership," Forissier said.
He said the project could eventually supply up to 20% of global demand for heavy rare earths and added that France was prepared to share environmental expertise, including technologies to mitigate potential radioactive risks associated with rare earth extraction.
Beyond rare earths, France sees opportunities to expand cooperation with Malaysia in energy, defence, artificial intelligence and advanced technologies, Forissier said. He added that France was ready to support Malaysia's civil nuclear energy plans should Putrajaya decide to include nuclear power in its long-term energy strategy, citing France's decades of experience operating nuclear power alongside renewable energy.
Addressing concerns over France's domestic political situation, Forissier said the country's investment climate remained strong regardless of future election outcomes.
"We are, for many structural reasons, the most attractive country for investors in Europe," he said, adding that investors "won't be disappointed" by France's long-term economic outlook.
Malaysia was France's largest investment destination in Asia in 2024 and ranked 10th globally, accounting for 10% of France's net foreign direct investment flows, according to figures cited by Forissier. About 300 French companies operate in Malaysia, alongside a similar number of businesses established by French entrepreneurs, supporting around 30,000 local jobs, he said.
