Beyond trade figures: Malaysia-China shared prosperity for an ageing society

When Malaysia-China relations are discussed, attention often centres on trade volumes, investment flows and major infrastructure projects. These achievements are undoubtedly important. China has remained Malaysia's largest trading partner for many years, with bilateral trade reaching approximately RM756.6bil in 2025, reflecting the strength of economic ties between the two countries. Economic cooperation has generated investment opportunities, strengthened supply chains and supported business growth across multiple sectors.

However, shared prosperity should not be measured solely by economic statistics. The true success of development lies in whether economic cooperation improves the lives of ordinary people. This principle is consistent with Malaysia's Shared Prosperity Vision 2030, which emphasises inclusive growth, equitable opportunities and meaningful participation in economic development. Beyond trade figures and investment projects, policymakers should consider how international cooperation can improve livelihoods, create opportunities and enhance the well-being of citizens.

One group that deserves greater attention in this discussion is the ageing population. Malaysia is undergoing a significant demographic transition. Individuals aged 60 and above currently account for approximately 11.6% of the population, representing nearly 3.9 million people. The country is expected to become an ageing nation by around 2030. As life expectancy rises and family structures evolve, ensuring that older Malaysians remain economically active, financially secure and socially engaged has become an important policy priority.

Population ageing is often viewed as a challenge because it increases healthcare expenditure, retirement needs and dependency ratios. Yet it can also become a source of economic opportunity if older individuals are empowered to continue contributing to society. Many older workers possess valuable professional experience, industry knowledge and practical skills accumulated over decades. The challenge lies in helping them adapt to technological change and evolving labour market demands.

China is confronting a similar demographic transition on a much larger scale. By the end of 2025, China's population aged 60 and above is expected to exceed 320 million people, accounting for approximately 23% of its population. This figure is projected to surpass 400 million by 2035. Faced with these demographic realities, China has increasingly shifted its policy focus from "elderly care" to the broader development of a silver economy that combines economic growth, social participation and active ageing.

Importantly, China's silver economy is no longer limited to traditional elderly care services. It has evolved into a comprehensive ecosystem covering healthcare management, rehabilitation services, elderly education, senior tourism, financial planning, age-friendly products, community services and smart technologies. Estimated at between RMB8 trillion and RMB9 trillion in 2025, China's silver economy is projected to reach approximately RMB30 trillion by 2035, making it one of the country's fastest-growing sectors.

A particularly noteworthy feature of China's approach is its emphasis on developing older human capital. Recent policy initiatives increasingly promote the concept of lao you suo wei, which encourages older adults to remain economically and socially active. Rather than viewing retirement as the end of productive contribution, China is exploring ways to support lifelong learning, flexible employment, skills upgrading and community participation among older citizens.

This approach offers valuable lessons for Malaysia. As labour shortages emerge in selected sectors and life expectancy continues to increase, older workers can remain an important source of talent, experience and productivity. Strengthening lifelong learning programmes, digital literacy initiatives and reskilling opportunities will help ensure that ageing does not become a barrier to meaningful workforce participation.

Technology also has an important role to play. China has made significant progress in developing smart ageing solutions through the application of artificial intelligence, robotics, digital healthcare platforms and Internet of Things technologies. Smart monitoring devices, remote healthcare services and elderly care technologies are increasingly used to improve quality of life while supporting independent living. Such innovations can help older adults remain healthier, more connected and more economically active.

These developments create new opportunities for Malaysia-China cooperation. Beyond trade and investment, collaboration in healthcare technology, elderly care innovation, vocational training and digital inclusion can help Malaysia prepare for an ageing society. Chinese experience in developing age-friendly products, smart ageing ecosystems and lifelong learning initiatives may offer useful insights for policymakers, businesses and educational institutions.

At the same time, population ageing is creating new industries and employment opportunities. Rising demand for healthcare services, caregiving, rehabilitation, wellness programmes, age-friendly housing, financial planning and senior-focused products is generating economic activity across multiple sectors. In this sense, ageing should not be viewed solely as a social challenge but also as a catalyst for innovation, entrepreneurship and sustainable growth.

Ultimately, the success of Malaysia-China cooperation should not be judged solely by trade figures, investment projects or infrastructure development. Shared prosperity becomes meaningful when economic progress improves the well-being of ordinary people. As Malaysia moves towards becoming an ageing society, cooperation that promotes active ageing, lifelong learning, technological inclusion and economic participation can help ensure that prosperity is shared across generations.

Beyond trade figures, the true value of Malaysia-China cooperation lies in creating opportunities, strengthening resilience and improving the quality of life of ordinary people. By learning from China's experience in developing the silver economy and promoting active ageing, Malaysia can better prepare for its demographic future while ensuring that economic progress benefits all segments of society.

Dr. Wong Mei Foong is an Associate Professor at Tunku Abdul Rahman University of Management and Technology (TAR UMT). The views expressed here are entirely the writer’s own.

The SEARCH Scholar Series is a social responsibility programme jointly organised by the Southeast Asia Research Centre for Humanities (SEARCH) and Tunku Abdul Rahman University of Management and Technology (TAR UMT).