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Tuesday, April 4, 2017

Good afternoon prime minister friends from Malaysia and china

Its my great honor I am so excited today here to launch the free trade zone
4 months ago prime minister and I were in Beijing- we talked about deciding to do something (it took us 10 minutes to agree) that  Malaysia  launch the digital free trade zone (DTFZ)

At that time I think my team and I thought is it possible to do in 4 months
because we had been discussing that project with many countries in europe and asia

for 4 months to launch that its almost impossible there are so many things to do the bureacratics, all the technology, all the suspicions but after 4 month this thing happened

and I want to share some ideas here
while it only took us 10 minutes to agree on this project
but I have been thinking about this for more than 10 years
and I am pretty sure prime minster has thought about this for long long time

you prepare it for long time and then when the chance comes you can make it happen

Malaysia inspired me in 1996/7  when I was starting my internet business in 1995 I remember reading news in china in 1996 about Mounting Media Corridor out of Malaysia- while it didn’t work lout but it made me feel that country has a great idea for the digital world

And the thing that I learned many years ago when I was first invited to davos’ world economic forum, at that time china had not joined WTO- I though the world is going to welcome the globalisation but that day hundereds of  people were against it , people were demonstrating on street hating globalisation – so I had no idea,
Because I was thinking globalisation was good but the people didn’t like it so I started to think what is globalisation, how can we do it in a better ways?
Thas was 2001… but I think today a lot of people hate cross border trade,  people say globalsiation is no good

I am a strong believer in globalization, I think it is still only a baby,
Its only 20 or 30 years, we should give it another 20-30 years we should make globaslisation more inclusive more people involved in it

In history, those countries who had great emperors or kings  they controled trade, AND  if they loved to do cross-border trade, their nation’s business would grow and the people would be happy

In the past 50 years the world trade was controlled by 60000 big companies, and only big companies have this opportunity
so the small businesses didn’t have this opportunity,
so developing countries did not have this opportunity,
--what if we can make 90% of the small business , the developing countries benefit from globalisation., what if we give another 30 years to the globalsiation to be more inclusive
This is what I believe

The first globalization was the silk road
And at that time they were using the traditional way the silk road
Today with the internet we should transfer silk road to e-road’
the eroad should connect every country,
the eroad is to give inclusive opportunity for everyone,  
you know in old time on oceans we have seaport,
airplanes we have an airport,
bus we have a bustop,
on the er-oad we need an ehub--- that ehub will empower everybody if you have a dream and working hard and have a dream outside your country please join an ehub

so today the DFTZ (digital free trade zone) is the first digital trade free zone outside china –and its amazing and i would really love to thank prime minister of malyasia and thank everybody here to give commitment to this project=this is the first hub specifically designed for small enterprise and young people, we know in the whole world every government says ah small business is important, we should find real solutions for the real ;policies for the real facilities to empower the small business

this ehub, this digital freed trade that we feel excited about and we promise we will work together to improve it
and this is the new beginning

and the other thing I want to say in this Digital Global Free Zone we will use the new technology to empower small business and young people there will be logistic hubs, one stop service, we will have big data, as long as you have a good product, good ideas, this facility is going to enable you

and people say why Malaysia..of course, I sat 4 months ago in Beijing and I wondered if we could make it happen but I have found malaysia is very business friendly

the other thing is this SILK ROAD story
the silk road which china is famous for , but without malaysia it would not have been so successful;
The silk road main trade was tea leaves- very expensive very diffucult to preserve but Malaysia had the best mine of tins- because of tin plus tea – the TT =- made the silk road happen –without the tin of Malaysia the silk road tea trade would never have been that big .and of course without tea tradinh in 18th c Malaysia would never have been number 1 in market of tea

So this is the amazing outcome of trade and of busienss and I feel sorry for the wto negotiation because when you put 200 governmenyt officers in one room to agree on something it is very difficult, but if we can put 200 business people in the room we can negotiate something

And by working with government business people can do better, this is a perfect project that a globalisation company like ali baba and a country with great leaderip/vision, that we make this thing happen in 4 month=- of course this is only a beginning

And I am a strong believer that if trade stops, wars starts
Trade is to make people respect the other peoples culture (trade is not inaudible)
Trade is about idea exchange

I believe if one day if trade stops wars start; and if wars stop trade begins== so in alibaba history its our first time our ceo of ali baba group and ceo of ali financing and senior management of alibaba together with 16 logsitics companies from china come to Malaysia for this great event  …we think today symbolises that government and business can work together, this sympbolises that a nation would commit the digital period to be inclusive for everybody

If we start from today things can happen
And I want to say in the last 10 years many thing changed
..nobody would believe ecommerce could happen in china
people keep on asking why alibaba go that way of ecommerce, bigger than the united states not because we are not smart, I am not smart, we didn’t have a lot of smart people 15 years ago, its because 15 years ago the business infrastructure in china was that bad – in usa in 2000 the commerce infrastructure was very good so very difficult for ecommerce to survive in usa.. ecommerce is just a desert but in china it is the main course

and I think the same can be in Malaysia – I heard that 97% of business in Malaysia are small business but they control less than 40% of GP, I think that the 97% can produce at least 80% of gdp –then if we have more sme we have more jobs, if we have more sme we have more middle class, if we have more sme  the country’s economy can be sustainable

SO DFTZ is trying to make business more inclusive, trying to make small business more sustainable , trying to make the business world more happy and healthy.
-eg ebusiness grows so fast in chain we also grow the business of logistics, today the 16 companies coming here get 70% of logistics bsuienss delivered in china- NB 15 years ago china only did 1 billion package deliveries a year , today its 30 billion packages, and 70% of the logistics is done buy these 16 businesses none of which existed 10 years ago

this is the magic of tech, of the entrepreneurship so if you really want to do it you can make this happen, we want to make this hub ensure that "72-hour delivery anywhere in the world in 20 years" –this will be the hub of the region and working together

and finally I wanted to say the first time the wrong defintion of ali baba was in malaysia- they think ali baba is a thief – peopel called me thief and liar 18 years ago when I tell about what is the internet in the fuuire what ecommerce will do in the world’
so lets wwork together to change the dictionary in malaysia of alibaba

and I also want to add that last year I fly in the air for more than 8000 hours I travelled around the world and I learnt what globalisation mean – its not to go to another place because  of cheap laboir, its not about factories where there are cheap raw materianls. Glolbalisation does mean create jobs, create values for local people, globalization make technology/financing inclusinve in everything

globalization means respect the other culture so this is what we want to do in next decade –use technology making young people  below 30  years making small businesses below 30 people, this can be the great period for human life, lets do it in a good way

so the silk road .one belt one road , is something we should think about, we should use technology, empower young people , lets mobilise small business its about inclusive friendship peace, and I think this country this location so friendly to business not only today, in history, and in the future –because of the digital , this country this regon can grow, and finally people keep asking in future  which side will win the west side or the east side? – and I am believer its NOT west wing or east wing –if we work toetrher we both win

and there is nothing we cannot do if we are working together making sure the world is for young people and the world is for small bsuiness and everything we do is inclusive

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