MALAYSIA and China have deepened their strategic education and industrial partnership with a joint allocation exceeding RM500 million aimed at producing highly skilled Technical and Vocational Education and Training (TVET) graduates through the Malaysia–China Institute (MCI).
Deputy Prime Minister Datuk Seri Dr Ahmad Zahid Hamidi said the investment includes the supply of advanced technological equipment and electric vehicles (EVs) to support hands-on learning and specialised industrial training for Malaysian students.
The initiative reflects growing cooperation between both countries in preparing a future-ready workforce capable of meeting the demands of rapidly evolving industries, particularly in electric mobility, manufacturing technology and advanced engineering sectors.
“As a reflection of the commitment between China and Malaysia, we will focus on developing the Malaysia–China Institute (MCI) in a manner similar to institutions such as the German-Malaysia Institute (GMI), the Malaysia-Japanese Industrial Institute (MJII) and other comparable institutions.
“However, our collaboration with China is somewhat different because we are focusing specifically on highly specialised TVET programmes centred on the latest technologies,” he said during a press conference after officiating the Malaysia-China Forum on EV, Battery and New Skilled Energy Development and Innovation (MCEF 2026).
Also present at the event was China’s Ambassador to Malaysia, Ouyang Yujing.
Zahid said the Malaysia–China Institute had already received new electric vehicles for student training purposes, while additional equipment from China is expected to arrive for upcoming academic and technical learning sessions.
He stressed that the collaboration extends beyond completely knocked down (CKD) vehicle assembly operations and includes broader industrial cooperation involving manufacturing components, production technologies and industrial equipment required by Chinese-linked industries operating in Malaysia.
“It is not limited only to EV cars, but also involves other products. For us, this cooperation is much broader, and they require skilled workers who are highly competent in the specific fields they need, and that is what we are currently developing,” he explained.
In its initial phase, the Malaysia–China Institute will operate using existing GIATMARA facilities in Bagan Datuk before construction begins on a larger permanent campus spanning 24 hectares.
According to Zahid, Malaysia’s collaboration with China in the TVET sector began in 2023, including programmes that enabled Malaysian students to travel to China for industrial exposure and training in emerging technologies.
He revealed that 5,125 TVET placements were filled last year, while the government is currently awaiting additional training opportunities and programme offers from the Chinese government for this year.
The initiative forms part of Malaysia’s broader strategy to strengthen high-value technical education, enhance workforce competitiveness and position the country as a regional hub for advanced industrial and green technology talent development. - May 12, 2026
