Malaysia

Tengku Zafrul sets ambitious targets for Malaysia’s smart manufacturing future

Outgoing MITI Minister outlines key targets for industrial transformation, emphasising technology adoption, SME growth, and the objectives of the NIMP 2030 to strengthen national competitiveness

Updated 8 months ago · Published on 01 Dec 2025 5:49PM

Tengku Zafrul sets ambitious targets for Malaysia’s smart manufacturing future
Sharing sectoral achievements, Tengku Zafrul revealed that the manufacturing sector’s contribution to GDP increased by 13.5 per cent to RM382 billion in 2024. December 1, 2025

THE Minister of Investment, Trade and Industry (MITI) Tengku Zafrul Abdul Aziz, used the Malaysia Smart Manufacturing Awards (MSMA) 2025 as a platform to highlight Malaysia’s ambitious targets for industrial transformation and the critical role of digitalisation in shaping the nation’s manufacturing future

The minister outlined key objectives of the New Industrial Master Plan 2030 (NIMP 2030), including the establishment of 3,000 smart factories nationwide.

“This is not merely a target, but a pledge to future-proof Malaysia’s industry through automation, digital integration, data utilisation, and workforce upskilling,” he explained.

Sharing sectoral achievements, Tengku Zafrul revealed that the manufacturing sector’s contribution to GDP increased by 13.5 per cent to RM382 billion in 2024.

Employment in the sector rose by 8.5 per cent to 2.84 million, while median wages grew by 26 per cent to RM2,490, demonstrating the positive impact of industrial growth on job creation and income levels.

He also stressed the pivotal role of SMEs, noting that Malaysia’s trade from January to October 2025 reached RM2.5 trillion, with exports amounting to RM1.3 trillion.

“SMEs anchor supply chains, create jobs, and drive export growth. To remain globally competitive, they must scale, innovate, and venture abroad with access to capital, technology, talent, and guidance,” Tengku Zafrul said.

Highlighting collaborative support for SMEs, he described the Navigator Global platform, a partnership between MBSB Group, MIDF, and Santander, which provides structured insights, export pathways, and access to reliable service providers to help firms navigate new markets with confidence.

He added that MBSB customers would benefit from complimentary access to the platform’s Standard Package for one year, reinforcing SME growth and international competitiveness.

Reflecting on the broader importance of manufacturing, Tengku Zafrul said the sector underpins national well-being, contributing over one-fifth of GDP, sustaining millions of jobs, and driving innovation that benefits communities.

Speaking on the personal significance of the event, he noted, “As this is my penultimate day in office, today holds special meaning. From my very first day at MITI, it has been a privilege to work closely with industry partners, agencies, financiers, technology providers, SMEs, and mid-tier firms to advance Malaysia’s industrial transformation.

“Your collaboration has made this journey deeply meaningful and fulfilling. For that, I express my sincerest gratitude.”

Addressing leaders from industry, SMEs, technology firms, and government agencies, Tengku Zafrul acknowledged the organisers MIDF, Bizsphere, and Smart4WRD for their pivotal role in promoting innovation and fostering collaboration at ceremony held at Dewan MATRADE, Menara MATRADE on Monday.

“The Malaysia Smart Manufacturing Awards, now in its second year, continue to serve as a catalyst—recognising excellence, celebrating innovation, and encouraging more companies to implement smarter, technology-driven operations,” he said.

He emphasised that the awards are not merely ceremonial, but a benchmark reflecting progress under the New Industrial Master Plan 2030 (NIMP2030).

“At last year’s inaugural MSMA, we highlighted digitalisation as a core driver of NIMP2030. That call remains as urgent today as it was then,” Tengku Zafrul said.

Concluding his address, Tengku Zafrul called on industry  players and  the government to continue building a robust industrial ecosystem that positions Malaysia as a regional hub for smart manufacturing.

The ceremony brought together senior leaders from MBSB and MIDF, CEOs of partner organisations, MITI officials, and distinguished guests from both the private and public sectors. - December 1, 2025

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