KUALA LUMPUR: The Malaysia External Trade Development Corporation's (Matrade) efforts to strengthen the global presence of the local rail industry have yielded strong results through its first-ever participation in the InnoTrans trade fair in Berlin, Germany, last month.
InnoTrans is the world's largest trade fair for transport technology.
The Malaysian Pavilion at the trade fair, which saw the participation of eight Malaysian companies and one rail association, generated sales totalling RM277.7 million through 112 business meetings facilitated by Matrade.
Additionally, Malaysian companies managed to secure 192 trade enquiries during this event.
These Malaysian exhibitors who participated in InnoTrans 2024 showcased their capabilities in rolling-stock engineering and design services, infrastructure and construction services, precision manufacturing, maintenance, repair, and overhaul (MRO) services, and consultancy services.
According to Abu Bakar Yusof, deputy chief executive officer (export acceleration) of Matrade, InnoTrans this year has propelled Malaysia's rail sector to unprecedented heights.
"This achievement not only reinforces Malaysia's capacity to expand the export of rail products and services but also strategically positions the country as a competitive, capable, and reliable provider of rail solutions on the global stage," he said in a statement.
Abu Bakar added that by showcasing Malaysia's strengths and innovations, Matrade aims to integrate Malaysian companies into the international rail supply chain, further solidifying their presence in this high-value industry and driving sustained growth for the sector.
According to him, Malaysia's rail exports from January to August 2024 have maintained their upward trajectory, recording a 47 per cent increase to RM471.6 million compared to RM320.9 million during the same period in 2023.
The European Union (EU) remains one of Malaysia's key export markets for rail products and services. In 2023, rail exports to the EU surged by 82.5 per cent, reaching RM12.3 million, up from RM6.7 million in the previous year.
The EU, Malaysia's fifth-largest export destination for rail products in 2023, witnessed a significant rise in exports, underscoring the growing demand for Malaysian rail solutions in the region.
Meanwhile, Matrade said that several Memorandums of Understandings (MoUs) and collaboration agreements were also inked between Malaysian companies and international partners from Germany, Australia, South Korea, Türkiye and Japan.
These MoUs and agreements are primarily focused on advancing Malaysia's rail technology development and fostering technology transfer through various initiatives, leveraging the respective strengths and capabilities of each party.
Malaysian companies seeking to engage with Germany's railway sector should align their strategies with the country's focus on climate change and sustainability.
According to Matrade, Germany is making significant investments in modernising and greening its rail infrastructure as part of its decarbonisation goals under the EU Green Deal.
Germany is currently pushing to modernise its railway sector in line with the European Union's broader European Green Deal, which emphasises sustainable and carbon-neutral transport by 2050.
InnoTrans set several records at its 14th edition, featuring participation from 2,940 exhibitors across 59 countries, including Malaysia, showcasing their latest products and services in the rail sector.