KUALA LUMPUR: The Federation of Malaysian Manufacturing (FMM) and the Hong Kong Productivity Council (HKPC) have signed a memorandum of understanding (MoU) to strengthen industrial collaboration and improve productivity among manufacturers in both economies.
Deputy Investment, Trade and Industry Minister Sim Tze Tzin said Malaysia and Hong Kong have enjoyed a strong and enduring business relationship for many decades, and this partnership continues to strengthen.
"Today, our relationship is entering a new phase. Beyond trade, we are seeing deeper collaboration through joint ventures, technical arrangements, and shared investments in capabilities,” he said at the Malaysia-Hong Kong Industrial Partnership Forum here today.
Sim said the partnership comes at a time when Malaysia is pushing to move its manufacturing sector up the value chain under the New Industrial Master Plan 2030 (NIMP 2030).
"NIMP 2030 is not merely an aspirational document. It is a comprehensive implementation plan with sector-specific targets, investment thresholds, and accountability mechanisms.
"One of our key targets is to develop 1,000 smart manufacturing companies by 2030. At present, we have reached approximately 300, and we are working towards achieving the remaining 700 within this timeframe,” he said.
Sim said HKPC brings valuable expertise in industrial engineering, productivity systems and smart manufacturing, which complement and strengthen domestic efforts.
"At the same time, this partnership offers significant advantages to Hong Kong industries, as Malaysia provides a stable business environment, strong infrastructure and a skilled workforce, while its policy of neutrality allows investors to engage freely with global markets,” he said.
He added that with access to 17 free trade agreements, including the Comprehensive and Progressive Agreement for Trans-Pacific Partnership and the Regional Comprehensive Economic Partnership, Malaysia offers a strategic gateway for Hong Kong businesses to reach some of the world’s most dynamic economies.
Sim further said recent disruptions to global shipping routes have raised input costs, insurance surcharges and supply uncertainties for Malaysian manufacturers, adding that these challenges cannot be addressed by individual companies alone and that the response at both policy and business levels is diversification.
"Malaysia and Hong Kong manufacturers are well-positioned to play complementary roles in this shift. Malaysian firms seeking financing, logistics solutions, and alternative market access can leverage Hong Kong’s established strengths as a global hub, and vice-versa,” he said.
Meanwhile, FMM president Jacob Lee Chor Kok said the partnership aims to help Malaysian manufacturers adapt to industry changes and remain competitive.
"This MoU is just the beginning, with our roadmap including joint technical training, workshops, technology visits and pilot projects to provide our members with first-hand exposure to the latest manufacturing innovations.
"We envision a future where Malaysian and Hong Kong companies collaborate on research and development (R&D), pilot new technologies and co-create solutions for emerging challenges,” he said.
Established in 1967, HKPC is one of Hong Kong’s largest R&D institutions focused on productivity and innovation. - Bernama
