Malaysia wants Europe to bring tech, high-paying jobs — not just investment

KUALA LUMPUR: Malaysia seeks European investments that bring technology, skilled workers, and high-paying jobs, aiming to elevate its position in the global value chain amid the US-China economic rivalry. Industry Minister Datuk Seri Johari Abdul Ghani emphasized the importance of investments that foster technology transfer, develop skilled talent, and generate better opportunities for local businesses and high-skilled jobs.

Johari stated that the global landscape is undergoing a significant shift, with nations focusing on safeguarding domestic industries and strategic interests, often at the expense of global integration. He noted that the US and China's rivalry in areas like AI, critical minerals, advanced manufacturing, and defence technologies is driving countries like Malaysia to reevaluate their economic strategies.

The US boasts a GDP of around US$32 trillion, while China has an economy valued at approximately US$19 trillion, compared to Malaysia's economy of roughly US$470 billion. Despite these economic disparities, Johari affirmed Malaysia's commitment to constructive engagement with all economic partners, emphasizing the importance of dialogue and cooperation over unilateral actions.

He highlighted the potential for Malaysia and the EU to deepen cooperation in areas such as semiconductors, advanced manufacturing, renewable energy, and green and digital technologies. Malaysia, a highly integrated economy, aims to diversify trading relationships, enhance supply chain resilience, and capitalize on opportunities in mutual interests.

The EU is one of Malaysia's most significant economic partners, with total bilateral trade valued at RM228.1 billion in 2025. European companies have played a crucial role in Malaysia's industrial development, introducing advanced technologies, creating employment, and providing access to the broader ASEAN market. In response, Malaysia offers European investors an established manufacturing ecosystem, a skilled workforce, and a strategic base within the ASEAN region.

The government is open to collaborating with European firms to identify new projects, facilitate investments, and forge stronger commercial links. The proposed Malaysia-EU Free Trade Agreement (MEUFTA) is anticipated to be a key driver in the next phase of their economic partnership, strengthening market access, trade, and investment, and positioning Malaysia as an attractive destination for European businesses seeking to expand their involvement in the growing ASEAN economy.