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Johor: The Southern Gateway of Malaysia

Johor: The Southern Gateway of Malaysia

Johor is the second largest state in Peninsular Malaysia. Johor’s economy has grown significantly for the past decade, riding on the exponential growth of the Singaporean economy. Its population has reached 3.6 million people, the second-largest population in Malaysia.


What is the history of Johor?
Johor was founded by Mahmud Shah, the former sultan of Malacca, and his son after the Malaccan kingdom fell to the Portuguese in 1511. Johor then experienced a power shift to Riau, which is now part of Indonesia, and subsequently was placed under British rule. It started developing its railway due to the trade of tin and rubber to Singapore; the state grew its fame as tin and iron deposits were also discovered here.


What are the core activities in Johor?
Johor has its key economic areas centered around Taman Perindustrian Cemerlang (Ulu Tiram), Eco Business Park 1 (Kempas), Senai Airport City (Senai), Kawasan perindustrian Senai (Senai), Kawasan Perindustrian Tebrau (Tebrau), Kawasan Perindustrian Pasir Gudang (Pasir Gudang), Nusajaya Cemerlang Industrial Park (Gelang Patah), I Park @ Indahpura (Kulai), Kempas Utama (Kempas) and Seelong (Senai).

Taman Perindustrian Cemerlang is a new manufacturing centre built in collaboration between Singapore, Malaysia and Indonesia. The companies that have established their presence in Taman Perindustrian Cemerlang are Kaifa Technology, Meiban Technologies and many more. 

Eco Business Park 1 is known as an integrated industrial hub with multiple green features and smart facility sharing. Some nearby landmarks in Eco Business Park 1 are Isoprene, Nationwide Express, Pgeon Johor Bahru and Gan Brother Foods Sdn Bhd.

Senai Airport City has become one of the most vibrant industrial hubs in Johor. The Senai Airport Free Zone (SFZ) hosts BMW Regional Parts Distribution Centre, Celestica Electronics (M) Sdn. Bhd, and Pokka (Malaysia) Sdn Bhd, who have their warehouse or factories here.


What are the economic sectors that Johor supports?
Johor has supported multiple core industries, ranging from electrical and electronics, petrochemical and oil and gas, agrofood processing, logistics, tourism, textiles, rubber and timber. Many multinational companies have successfully established and expanded their operations in Johor, such as Lotte Chemical, Pinewood, Legoland Malaysia Resort, Hershey, Maersk and Petronas.

I Park @ Indahpura (Kulai) is an award-winning industrial park development that brings together industrial activities, business operations and lifestyle offerings in this integrated hub. HID Global, HQ Park, Yokogawa Analytical Solution are some of the companies that have set up shop here.

Johor looks to attract RM5.52bil investment in 2021, with the Johor Sultan personally driving the investments. This foreign direct investment has generated about 13,000 jobs from 232 companies.


What is unique about Johor?
Iskandar Malaysia is one of the well-known economic corridors in Malaysia due to its proximity to Singapore. It has attracted investors from Singapore and China to invest in the state.
 
The Pengerang Rapid project has been outlined as one key area under Malaysia Economic Transformation Plan, to raise the quality of life, create job opportunities and improve income level for Johor people. 

Senai and Skudai are popular with agriculture, industrial and surrounded by residential and commercial areas. The Hershey chocolate factory is just located strategically opposite the Senai Hi-tech Park.


How connected is Johor to public transportation routes?
Johor has three major seaports to dock and transfer cargo smoothly and two international airports, one of which is Senai International Airport. The Iskandar Malaysia Bus Rapid Transport system will begin operating by the end of 2023.


How can Industrial Malaysia help get you the best deals in Johor?
Our team of professionals and experts have many years’ experience dealing with Johor industrial properties. We have conducted comprehensive research on Johor’s industrial parks, free trade zones, and investment incentives, giving us an edge in helping you narrow down the areas you are looking for to establish warehouses and factories.

Wayne Hor
Wayne Hor
Wayne Hor
REA 1751
Industrial Real Estate Agent