Why did Gardenia shift production from Singapore to Johor Bahru?

Question

## Gardenia shifted production from Singapore to Johor Bahru to improve efficiency and stay competitive in a difficult global market.

Accepted Answer

Gardenia Malaysia said it would move production from its Pandan Loop facility in Singapore to Johor Bahru to improve efficiency and maintain competitiveness in a challenging global market. The company’s relocation is part of a wider pattern of Singapore firms shifting manufacturing across the Causeway while continuing to truck fresh products into Singapore daily. This realignment is being accelerated by incentives under the Johor-Singapore Special Economic Zone (JS-SEZ), including a special 5% corporate tax rate for 15 years, compared with Malaysia’s standard 24%.

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Why did Gardenia shift production from Singapore to Johor Bahru?

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