Question 1

What is the Johor-Singapore Special Economic Zone (JS-SEZ)?

Accepted Answer

The JS-SEZ is a comprehensive economic enclave covering over 3,500 square kilometres across southern Johor, formalised by a treaty in January 2025. It integrates Johor’s resources with Singapore’s capital to create a single investment zone, focusing on regulatory fluidity and ease of doing business

Question 2

What tax incentives are available in the JS-SEZ?

Accepted Answer

Qualifying businesses in sectors like AI and advanced manufacturing can access a 5% corporate tax rate for up to 15 years. Additionally, knowledge workers may qualify for a flat 15% personal income tax rate. There is also a 100% Investment Tax Allowance for heavy capex projects and stamp duty exemptions for specific commercial property transfers.

Question 3

When will the RTS Link between Johor and Singapore open?

Accepted Answer

The Rapid Transit System (RTS) Link is scheduled for full commercial operations in January 2027. Once active, it will transport up to 10,000 passengers per hour per direction and reduce the cross-border journey to under 15 minutes via a single immigration clearance system.

Question 4

Which sectors are prioritised in the JS-SEZ?

Accepted Answer

The zone targets high-value industries, specifically advanced manufacturing, the digital economy (data centres and AI), logistics, and financial services. It also emphasises the development of the aerospace sector in Senai and petrochemicals in Pengerang.

Question 5

How can businesses start operations in the JS-SEZ?

Accepted Answer

The Invest Malaysia Facilitation Centre Johor (IMFC-J) serves as the primary one-stop centre for investors. It handles approvals for manufacturing licenses, land alienation, and business licensing under a single roof, aiming to reduce turnaround times significantly.

Business Blogs in Malaysia

How the Johor–Singapore SEZ is Redefining Cross-Border Growth for ASEAN Businesses

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