Free Trade Zone
At FVG, we understand the importance of being located in strategic locations to support our supply chain and distribution operations. That's why we have chosen to locate our factories in Asia inside export processing zones or free trade zones.
Our choice of location provides us with a number of advantages such as duty-free import and export of goods, relaxed customs procedures, and reduced taxes. This helps us to keep our costs low and to be more competitive in the market.
In Malaysia, the country adopt the LMW (Licensed Manufacturing Warehouse) approach, where there is no physical free trade zones. However, as long as each factory has a LMW, it is a bonded area just like a free trade zone, and with approved manufacturing activities by industry or process. This allows us to enjoy the same benefits as being in a physical free trade zone, while still complying with the local regulations.
At FVG, we believe in taking advantage of the benefits of free trade zones to support our supply chain and distribution operations. Our factories' location inside export processing zones or free trade zones is just one example of our commitment to providing the best possible service to our clients. If you're interested in learning more about our location or any other aspect of our business, please don't hesitate to contact us.
Gain access into our team’s perspectives and insights on the topic by reading more below
5 Reasons to Manufacture Electronics in Malaysia
Editor’s note: Offshore manufacturing will remain part of the electronics industry’s strategy even as on- and near-shoring efforts increase. Market proximity matters. The Asia-Pacific region spent $400 billion on consumer electronics alone in 2020.
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