Significant Contributions by China Manufacturers to Malaysian Economy since 1974: Research Centre
Electronics and Electrical, Automotive, and Transport Sectors
Chinese manufacturers have significantly contributed to the Malaysian economy via sectors such as electronics and electrical, automotive, and transport since Malaysia-China diplomatic relations were established in 1974.
Advanced Technologies, Innovation, and Support for SMEs
The Southeast Asia Research Centre for Humanities (SEARCH), in an analysis report, said that through the adoption of advanced technologies, innovation, and support for small and medium-sized enterprises (SMEs), these companies have strengthened Malaysia’s industrial value chain, enhanced export competitiveness, and established the country as a regional hub for advanced manufacturing.
Infrastructure Development
Chinese construction firms have also made substantial contributions by developing high-quality infrastructure using advanced building technologies, with a strong emphasis on safety and environmental sustainability.
Sustainable Development and Global Competitiveness
These efforts have bolstered Malaysia’s sustainable development capabilities and global competitiveness, attracting foreign investment while creating local business opportunities and jobs, said SEARCH’s senior research fellow Dr. Ong Sheue Li at the presentation of a report titled “Assessing the Roles of Chinese Enterprises in Malaysia’s Economic Development” here recently.
Green Industries, Renewable Energy, and Digital Economy
Ong said that green industries, renewable energy initiatives, and the digital economy, including e-commerce and technology, play a pivotal role in driving Malaysia’s high growth and sustainable economic transformation. At the same time, Chinese firms in Malaysia have made significant contributions to human capital development.
Human Capital Development
SEARCH CEO Ian Neo Chee Hua said the proportion of Malaysian high-skilled employees of Chinese enterprises operating in Malaysia exceeded 56% in 2024 and is expected to surpass 62% by 2030. The proportion of local semi-skilled employees in Chinese enterprises operating in Malaysia exceeded 70% in 2024 and is expected to reach 74% by 2030.
Talent Development and Technology Transfer
The growth in high-skilled jobs was largely driven by Chinese enterprises’ strong focus on talent development and the continuous adoption of digital technologies.
Localisation Strategy
Neo noted that the creation of numerous semi-skilled jobs by Chinese companies underscores a robust localisation strategy, reflecting their deep integration into the local economy.
Conclusion
In conclusion, Chinese manufacturers have made significant contributions to the Malaysian economy since 1974, driving growth, creating jobs, and fostering sustainable development. Their adoption of advanced technologies, innovation, and support for SMEs has enhanced Malaysia’s industrial value chain and export competitiveness.
FAQs
Q: What are the key sectors that Chinese manufacturers have contributed to in Malaysia?
A: Electronics and electrical, automotive, and transport sectors.
Q: What are the key factors driving the growth of high-skilled jobs in Malaysia?
A: The adoption of digital technologies and a strong focus on talent development by Chinese enterprises.
Q: What is the proportion of Malaysian high-skilled employees in Chinese enterprises operating in Malaysia?
A: The proportion of Malaysian high-skilled employees exceeded 56% in 2024 and is expected to surpass 62% by 2030.
Q: What is the proportion of local semi-skilled employees in Chinese enterprises operating in Malaysia?
A: The proportion of local semi-skilled employees exceeded 70% in 2024 and is expected to reach 74% by 2030.