Paragon Globe Partners Shanghai-listed GSP To Develop Automotive Hub In Iskandar Puteri

JOHOR BAHRU, March 30 (Bernama) -- Paragon Globe Bhd (PGB) has entered into a strategic partnership with Shanghai-listed GSP Automotive Group, via its subsidiary GSP Automotive Malaysia Sdn Bhd, to develop an automotive industrial hub in Iskandar Puteri, Johor.

The property developer is dedicating approximately 19.02 hectares of its prime 44.1-hectare Iskandar Puteri landbank to create the fully integrated automotive supply chain hub alongside GSP.

State Investment, Trade, Consumer Affairs, and Human Resources Committee chairman Lee Ting Han said GSP has acquired approximately 2.19 hectares of land, along with two leasehold plots measuring 3.43 hectares and 5.45 hectares, and is moving forward with factory construction estimated at approximately RM141 million.

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“Upon completion of the facility, I was briefed that GSP plans to further invest approximately RM188 million in advanced production equipment,” he said in his speech at the signing ceremony of the strategic partnership between the companies here today.

Also present were PGB executive chairman Datuk Seri Edwin Tan Pei Seng and GSP chief executive officer Richard Zhou.

Lee said that, together with land investment, the initiative represents a multi-phase industrial commitment, with completion targeted by the end of 2027.

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He highlighted that the initiative is expected to create more than 700 job opportunities.

“GSP, which is listed on the Shanghai Stock Exchange, is a globally recognised manufacturer of automotive components, supplying products to over 120 countries.

“This collaboration is important because global companies bring more than just factories — they also bring networks, technology and long-term partnerships,” said Lee.

Meanwhile, Tan said the agreement lays the foundation for the joint development of a specialised, automotive-focused industrial cluster (AutoPark).

“By anchoring this AutoPark with a globally recognised manufacturer like GSP, we are creating a powerful magnet for foreign direct investment, international suppliers and technology investors, driving sustainable, long-term value for our shareholders,” he said.

Zhou said the project is expected to support talent development and foster the growth of an automotive industry cluster in Johor.

“GSP will continue to deepen its investment in Malaysia, working closely with partners and stakeholders to build a modern manufacturing base that contributes meaningfully to regional economic growth,” he said.

-- BERNAMA