Despite the financial crisis affecting the eurozone, the International Trade and Industry Ministry says the Trans-Pacific Partnership (TPP) will strengthen economic ties.

This, said Deputy Minister Mukhriz Mahathir said will give Malaysia "preferential treatment" when the European Union (EU) recovers from its financial crisis.

NONE "We will get better opportunities and we can gain more (in terms of) foreign direct investment.

"The EU is one of our major trading partners. Our trade ties with the EU and the US will continue to strengthen. Yes, we understand they undergoing a financial crisis but it's short term and they are already taking the necessary steps to remedy the situation," Mukhriz told the Dewan Rakyat today.

Mukhriz said this in reply to Charles Santiago (DAP-Klang), who asked the ministry why Malaysia had such great interest in negotiating with EU and TPP countries when both the EU and the US were facing economic crises.

Santiago asked the government to explain the added value for Malaysia in the partnership, to which Mukhriz said the TPP would help restore investor confidence in order to channel more FDIs into Malaysia for high impact projects.

"Europe is weak now, and we stronger in terms of bargaining power. So, why are we giving in to Europe?" Santiago asked, to which Mukhriz said: "In every crisis there's a silver lining... not all counties in Europe have problems."

Mokhriz said there were companies scouting for countries other than China to invest in, therefore, penetrating the market at this stage would offer Malaysia a better opportunity.

Asked to whether the TPP would have an impact on Malaysia's sovereignty, Mukriz said a representative from the Attorney-General's Chambers was present at the meetings to ensure that the agreements signed do not contravene national laws.