Why Invest in JS-SEZ

Value Propositions

COMPETITIVE COST ADVANTAGE

Competitive cost of doing business due to affordability in areas such as:

1.Strong commitment from Malaysia and Singapore to drive JS-SEZ including funding support for key efforts such as promotion and infrastructure.

2.Invest Malaysia Facilitation Centre – Johor (IMFC-J) to act as one-stop centre in facilitating investments, including expediting approvals and streamlining processes.

The JS-SEZ will encompass Iskandar Malaysia and Pengerang, including industrial parks located within the region, especially the designated flagship areas with prioritised sectors.

1.Technology-enhanced movement of people and goods for increased clearance capacity, automated immigration lanes and paperless clearance for goods.

2.Enhanced passes (Malaysia’s existing visas to be enhanced e.g DE Rantau Nomad Pass).

3.Strategic hub with excellent regional and global connectivity, where goods manufactured in JS-SEZ can be exported through either Singapore or Johor

Pro-business policies and incentives, such as tax breaks, grants, and streamlined regulations

1.Special Corporate Tax Rate: Companies undertaking new investment in qualifying manufacturing and services activities, such as AI and Quantum Computing Supply Chain, Medical Devices, Aerospace Manufacturing and Global Services Hub, will benefit from special tax rate of 5% for up to 15 years.

2.Flagship Development Focus: Additional tailor-made incentives are allocated to businesses operating in certain flagship areas in JS-SEZ.

3.Special tax rate for knowledge workers: Special tax rate of 15% for 10 years for eligible knowledge workers working in JS-SEZ.

4.Lower entertainment duties starting from 1 January 2025.

Economic Sectors

Logistics

Manufacturing

Financial Services

Business Services

Digital Economy

Tourism

Food Security

Health

Education

Energy

Green Economy

Incentives

In a bid to foster economic growth and enhance the nation’s competitive landscape, the tax incentive package for JS-SEZ is designed to drive high-value investments into Johor, tailored to meet the evolving needs of global and domestic investors.

Effective 1 January 2025, investors in the JS-SEZ are eligible for a suite of incentives, including:

A

Johor Bahru Waterfront

Business Services

Global Services Hub

B

Iskandar Puteri

Business Services

Global Services Hub

C

Tanjung Pelepas

Logistics

Smart Logistics Complex

D

Tanjung Langsat - Kong Kong

Manufacturing

Downstream Specialty Chemicals

E

Senai - Skudai

Manufacturing

Aerospace Manufacturing & MRO Services

F

Kulai - Sedenak

Manufacturing

AI & Quantum Computing Supply Chain, Medical Devices & Pharmaceutical

G

Desaru - Penawar

Tourism

Integrated Tourism Project

Click here, or scan for detail information on incentives.

All Flagships
Guidelines for JS-SEZ and SFZFC Tax Incentives

1. Special Tax Rate Knowledge Workers (15% for 10 years for eligible knowledge workers working in JS-SEZ)

2. Additional incentives for other existing promoted activities.