He underscored the enduring economic partnership between the US and Malaysia, noting the significant investments and job opportunities generated by American companies in the region.

“We are very proud that US investments in Malaysia have created more than 300,000 jobs,” he said on Bernama TV’s The Nation programme today.

He said Malaysia has benefitted extraordinarily from global trade and has prospered as a result of its engagement in international trade.

“One of the things that became very clear during the pandemic was that there were challenges in areas, for instance, supply chains, which traditional trade didn’t really address.”

Kagan also highlighted the importance of Malaysia’s participation in the Indo-Pacific Economic Framework (IPEF) and stressed Malaysia’s role in shaping international trade norms and standards.

The IPEF encompasses 14 countries in the Indo-Pacific region, representing about 40% of global gross domestic product.

Besides the US and Malaysia, the other countries are Australia, Brunei, Fiji, India, Indonesia, Japan, New Zealand, the Philippines, Singapore, South Korea, Thailand, and Vietnam.

Kagan said these countries are extraordinarily important and extend beyond those included in the Comprehensive and Progressive Agreement for Trans-Pacific Partnership, which comprises Malaysia, Vietnam, Brunei, Singapore, Indonesia, Thailand and the Philippines.

“We (IPEF) are going to grow. I think that having a seat at the table, helping shape the outcomes, reflects Malaysia’s long-standing engagement on trade,” Kagan said.

He also noted Malaysia’s efforts in establishing high standards for international trade, signalling to investors the country’s commitment to upholding the highest possible standards.

“You can see the impact of that by the initiatives, the additional flows of investment from American companies into Malaysia since the IPEF was announced,” he said.

Kagan also highlighted the strong US-Malaysia economic ties, citing RM150 billion in foreign direct investments since 2021, making the US the top investor in Malaysia.