GEORGE TOWN: Malaysia is a long way from reaching 3,000 smart factories by 2030, with only 93 manufacturers achieving smart manufacturing recognition so far, says Deputy Investment, Trade and Industry Minister Sim Tze Tzin.
Another 161 manufacturers are expected to gain recognition by December, bringing the total to 254.
“We are still very far away from 3,000,” Sim said after launching the Malaysia Smart Manufacturing Awards 2027 at a hotel here yesterday.
He said more manufacturers need to embrace automation and smart manufacturing under the New Industrial Master Plan 2030.
The plan seeks to drive Industry 4.0 adoption through automation and technologies such as artificial intelligence, the Internet of Things and robotics.
Sim urged manufacturers, from semiconductor and automotive companies to furniture makers, to start automation before the shortage of foreign workers becomes more acute, adding that the government aims to reduce reliance on foreign workers to 10% by 2030 from the current 13%.
“When industry finds it easy to get foreign labour, they don’t automate or move their capabilities to a higher level,” he said.
He cited South Korea, Japan, Taiwan and China as economies that invest heavily in advanced manufacturing and automation.
The shift would allow Malaysian workers to acquire higher skills and receive higher wages, he said.
Some manufacturers had begun automation, reducing jobs that required five workers to two or three workers to one, he added.
“But we want to say that you have to do more,” he said.
Sim said the Malaysia Smart Manufacturing Awards, now in its third edition, recognises manufacturers moving towards smart manufacturing.
He urged manufacturers to seek help from the Investment, Trade and Industry Ministry, Malaysian Industrial Development Finance Bhd and Sirim Bhd to automate their operations.
