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Significance

This will be located in Johor, peninsular Malaysia’s southernmost state, just across the Straits of Johor from Singapore. The Johor-Singapore Causeway is among the world’s busiest border crossings. Offering tax breaks, the JS-SEZ is intended to help both countries achieve key economic goals.

Impacts

Johor will likely see an expansion in tech and data centre operations, given its relatively affordable land and resources.

Competition over water and electricity in Johor could trigger local opposition to the JS-SEZ.

Regional manufacturing hubs will attract increased investment as supply chains shift from China.

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