24/06/2025

TUESDAY | JUNE 24, 2025

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Malaysia, Korea to boost ties and finalise free trade agreement SEOUL: South Korean President Lee Jae Myung and Prime Minister Datuk Seri Anwar Ibrahim have agreed to expand bilateral ties through mutually beneficial and substantive cooperation, including efforts to conclude a free trade agreement between the two nations this year. According to South Korea’s Yonhap news agency, the understanding was reached during the leaders’ first phone call yesterday, where both expressed hope of further advancing the strategic partnership between their countries. Presidential spokesperson Kang Yu-jung said the two leaders committed to strengthening cooperation across various sectors, including trade, investment, infrastructure, digital transformation, green growth and defence. “The president also emphasised

Both leaders also acknowledged the potential for closer cooperation in the global arena, particularly as Malaysia is set to chair Asean-related meetings and South Korea prepares to host the Asia-Pacific Economic Cooperation summit later this year. – Bernama

his commitment to bolstering the bilateral friendship and cooperation based on decades of mutual trust and goodwill,” Kang said. The discussion came as Malaysia and South Korea mark the 65th anniversary of diplomatic relations this year.

Transport minister calls for crackdown on ECRL cable thefts o Recurring incidents risk delaying 2026 tests and could cost contractor RM1.25m daily in losses, says CEO

Govt closely watching global tensions ahead of SST expansion KUALA LUMPUR: The government is closely monitoring ongoing geopolitical developments and their potential impact on the Malaysian economy, particularly in the context of the upcoming expansion of the Sales and Service Tax (SST). Treasury Secretary-General Datuk Johan Mahmood Merican said current uncertainties, particularly those arising from tensions in the Middle East, make it premature to predict the full impact on domestic inflation and the cost of living. “I recall during the Ukraine war, we initially thought the effects would be minimal as Malaysia had limited trade with both Russia and Ukraine. We were wrong. Ukraine turned out to be a major supplier of animal feed, which triggered a spike in agricultural input costs and, subsequently, prices,”he said during the Concorde Club session yesterday. Johan noted that any instability in the Middle East could similarly influence global oil prices, an important factor in Malaysia’s inflation outlook. “Oil prices have been volatile. They started the year in the mid-US$70 (RM300) range, dropped to the low US$60s last month, and have risen again due to regional instability,”he said. Despite this, he said year-to-date inflation remains below 2.0 per cent. He referenced a Maybank estimate suggesting the SST expansion could raise the consumer price index (CPI) by 0.25 per cent, which aligns with the ministry’s internal projections. “Should the situation escalate further, we will need to reassess the implications for economic growth,” he said. The expanded SST – set to take effect on July 1 – is expected to enhance national fiscal sustainability while minimising public burden. The government anticipates an additional RM5 billion in SST revenue for 2025, and RM10 billion in 2026, following the review and widening of the tax scope. On fuel subsidies, Johan reaffirmed the government’s plan to rationalise RON95 petrol subsidies through a targeted approach, with reforms expected in the second half of the year. “The exact timing and structure remain subject to Cabinet approval,” he said. The move follows earlier subsidy reforms for electricity and diesel, which introduced tiered pricing structures designed to protect lower and middle income households while reducing systemic leakages. – Bernama

Speaking to Malaysian media in Beijing yesterday, he said police reports have been lodged and a dedicated security firm appointed to safeguard ECRL assets. “However, we also need continued support from enforcement agencies and the local community. This is a national project that we must protect together,” he said. With operations slated to begin in 2027, Darwis noted that any delay in project completion could cost main contractor China Communications Construction Company (CCCC) up to RM1.25 million a day in losses. MRL, a wholly-owned subsidiary of the Minister of Finance (Incorporated), is the project owner, while CCCC serves as the main contractor. Separately, Loke said the Road Transport Department is finalising its investigation papers on the recent fatal bus crash along the Gerik–Jeli highway, which claimed 15 lives, and expects to submit them to the Deputy Public Prosecutor soon. “It will be finalised in the near future,” he said.

Ű BY HARITH KAMAL newsdesk@thesundaily.com

threatens public safety and affects national security. “We cannot treat this as a normal theft case. It warrants serious action and stronger legal provisions, but I leave that to the discretion of the police,” he said during a press conference at the Transport Ministry yesterday. His remarks came following disclosures by MRL chief executive officer Datuk Seri Darwis Abdul Razak of a series of cable theft incidents at project sites in Kelantan, Terengganu, Pahang and Selangor. Darwis said the thefts have not only driven up repair and replacement costs but could also delay train testing and commissioning works scheduled for June 2026, ahead of the project’s targeted completion in December that year.

PUTRAJAYA: Transport Minister Anthony Loke has called for firm action against recurring cable thefts along the East Coast Rail Link (ECRL) alignment, warning that such crimes pose a serious threat to public safety and risk derailing one of the country’s most critical infrastructure projects. Loke said project owner Malaysia Rail Link Sdn Bhd (MRL) would implement tighter site security measures but stressed that stronger enforcement from authorities was urgently needed. “I have contacted the Home Minister to request that police take more decisive action. “This is not just theft, it disrupts public order,

24 evacuees return safely from Iran after overland journey SEPANG: A total of 24 individuals, including 17 Malaysians, who were evacuated from Iran following escalating conflict, have returned safely to Malaysia.

Malaysia Airlines flight MH781 carrying the evacuees landed at KL International Airport (KLIA) Terminal 1 at 11.03pm on Sunday. The group comprised 17 Malaysians, six Iranian dependents of Malaysian citizens and one Singaporean national. They were welcomed by Foreign Ministry deputy secretary-general (Bilateral Affairs) Datuk Ahmad Rozian Abd Ghani. Malaysia’s Ambassador to Iran Khairi Omar, who led the group, said they travelled by land for about 1,000km to exit Tehran. “We chose a route away from the source of the attacks, which were coming from the west, so we headed east. We received strong cooperation from the Turkmenistan government, which allowed foreign nationals to cross the border,” he said. He added that about 12 Malaysians remained in Iran and the Foreign Ministry was monitoring their situation closely to ensure their safety and well-being. According to Wisma Putra, all 24 individuals crossed the Iran– Turkmenistan border on June 21 and boarded Turkmenistan Airlines flight T5 647 the following day to Bangkok, before continuing their journey on MH781 to Kuala Lumpur. The evacuation, coordinated by the Malaysian Embassy in Tehran, involved a 1,120km overland journey to the Iran-Turkmenistan border.

The evacuation, coordinated by the Malaysian Embassy in Tehran, involved a 1,120km overland journey to the Iran Turkmenistan border. – BERNAMAPIC

helped facilitate the repatriation of Bruneian citizens from Turkmenistan to their home country. The involvement of a Singaporean citizen in the evacuation and assistance extended to Brunei nationals reflect Malaysia’s readiness to support fellow Asean nations in times of crisis. – Bernama

the Government’s continued commitment to ensuring the safety and welfare of its citizens, in line with the core value of ‘Ihsan’ (Compassion) under the Malaysia Madani framework,” the ministry said in a statement. It also confirmed that the Malaysian Embassy in Ashgabat Malaysian

The Malaysian embassies in Ashgabat and Bangkok also assisted in arranging flight connections. Wisma Putra expressed its appreciation to the governments of Iran, Turkmenistan and Thailand for their cooperation, which enabled the group’s safe return. “This evacuation process reflects