Speaking at the 5th World Association Presidents’ Conference, coinciding with the 50th anniversary of Malaysia-China diplomatic relations, MITI Minister Tengku Zafrul outlined the nation’s vision as it prepares to assume the ASEAN Chairmanship in 2025.
Themed “Inclusivity and Sustainability,” Malaysia’s Chairmanship aims to position ASEAN as a hub for investment, trade, and industry while ensuring equitable growth and sustainability across the region.
The upcoming ASEAN Chairmanship will focus on deepening regional economic integration, with an emphasis on building resilience in global supply chains. The representative emphasized the necessity of fostering a people-centered approach to ensure the benefits of progress are shared across diverse communities and sectors.
“Through our leadership, we aim to create a highly integrated, competitive, and innovative ASEAN that is resilient and inclusive,” Zafrul said.
Malaysia’s priorities include four strategic thrusts: enhancing intra-ASEAN trade and investments, promoting inclusivity and sustainability, improving economic connectivity, and building digital resilience.
ASEAN has solidified its position as a global investment hotspot, attracting record foreign direct investments (FDI) of $230 billion in 2023. Malaysia, as Chair, plans to capitalize on this momentum.
“Thanks to strong policies and the rule of law, Malaysia continues to appeal to investors, with approved investments reaching RM160 billion by mid-2024, generating over 79,000 new jobs,” the MITI Minister added.
Under Malaysia’s leadership, ASEAN will push for increased investments in manufacturing, particularly in semiconductors, electric vehicles, and the digital economy. Key policy frameworks such as Malaysia’s New Industrial Master Plan 2030 and the National Semiconductor Strategy are expected to guide these efforts.
Malaysia’s ASEAN Chairmanship will prioritize upgrading the ASEAN-China Free Trade Agreement (FTA), further enhancing trade relations with China, ASEAN’s top trading partner.
“Malaysia has been China’s top trading partner for 15 consecutive years, and this relationship is a cornerstone of ASEAN’s economic growth. By leveraging FTAs, we aim to unlock new opportunities for technology transfer, market access, and cross-border investments,” Zafrul added.
Plans also include advancing agreements with other key partners, including India and the Gulf Cooperation Council (GCC), to bolster ASEAN’s position as a competitive global trading bloc.
A key focus of Malaysia’s ASEAN Chairmanship will be fostering industrial innovation while aligning with sustainability goals. Efforts include finalizing the ASEAN Digital Economy Framework Agreement (DEFA) to facilitate seamless cross-border e-commerce and advancing the region’s semiconductor capabilities.
“Semiconductors are the backbone of modern industries, and ASEAN’s neutral stance positions it perfectly to attract global investments in this sector,” the representative said, adding that Malaysia’s National Semiconductor Strategy will play a pivotal role in this endeavor.
Malaysia also seeks to lead ASEAN’s transition to renewable energy, with initiatives under the Green Investment Strategy targeting investments in solar, hydroelectric, and bioenergy projects.
Malaysia’s Chairmanship will also prioritize environmental sustainability, with policies addressing climate change, renewable energy, and a circular economy. Additionally, the nation is focused on developing a skilled workforce in STEM and TVET fields to support its industrial reforms.
“We are committed to fostering a green industrial base while ensuring that our talent pipeline meets the demands of a rapidly evolving economy,” he noted.
As ASEAN Chair, Malaysia is set to deepen ties with key partners, particularly China, while promoting a neutral, inclusive stance in the global order.
“Malaysia is ready to contribute to ASEAN’s transformative journey and invites global partners to join in shaping a prosperous, inclusive, and sustainable future,” Zafrul further emphasised.
The ASEAN Chairmanship in 2025 promises to be a pivotal moment for the region, with Malaysia poised to lead the charge toward economic resilience, sustainability, and inclusivity.
