NIMP 2030 principles could shape ASEAN’s next industrial integration phase

SINGAPORE, 21 SEPTEMBER 2026 —

Malaysia’s New Industrial Master Plan 2030 could provide the framework for ASEAN’s next phase of economic integration, according to Malaysian Investment Development Authority (MIDA) chairman Tengku Datuk Seri Zafrul Abdul Aziz.

ASEAN’s FDI surged to US$226 billion (RM923.5 billion) in 2024, nearly doubling from US$116 billion (RM473.3 billion) in 2015, but Tengku Zafrul warned that wealth distribution remains uneven. "The key question is what that investment brings to our people," he said, stressing that policy intent must ensure long-term benefits beyond capital inflows.

Manufacturing and industrial development remain critical to ASEAN’s growth, Tengku Zafrul noted, as their impact extends across suppliers, logistics, professional services, technology, and skills. "Done right, an investment leaves a legacy of know-how, stronger firms, and better-skilled workers," he said, urging the region to adopt NIMP 2030’s principles as its next development blueprint.

The MIDA chairman highlighted ASEAN’s strategic position between East and West, with large consumer markets, abundant resources, growing digital economies, and diverse talent pools. He pointed to shared cultural traditions in ASEAN and China that prioritise prosperity as a condition of business success, arguing that regional integration should reinforce complementary strengths—larger markets, talent pools, and supply chains—to boost wealth creation.

"A stronger regional economy also creates more opportunities for people and businesses to build wealth," Tengku Zafrul said, emphasising that policy intent must evolve alongside economic growth. His remarks come as ASEAN grapples with geopolitical shifts and decarbonisation pressures, with NIMP 2030’s net-zero and tech-driven industrialisation offering a potential template for deeper integration.

Malaysia’s push for semiconductor and electric vehicle (EV) investments—backed by NIMP 2030—has already attracted US$12 billion in EV-related commitments since 2023, positioning the country as a leader in advanced manufacturing. If replicated across ASEAN, such targeted industrial policies could reduce dependency on China while fostering regional supply chain resilience.

Tengku Zafrul’s proposal contrasts with past ASEAN efforts, which prioritised trade liberalisation over industrial depth. His argument—that policy intent must ensure FDI translates into domestic value capture—resonates as the bloc seeks to narrow inequality amid rising protectionism and climate risks.

With China-ASEAN trade hitting US$1.1 trillion in 2023, the summit’s discussions underscore the need for deeper industrial collaboration. Tengku Zafrul’s call for wealth-focused integration could accelerate ASEAN’s shift from a trade hub to a high-value manufacturing powerhouse, provided member states align on skills development, green technology, and inclusive industrialisation.

As Malaysia—ASEAN’s largest manufacturing economy—pushes for regional leadership in advanced industries, NIMP 2030’s principles may redefine the bloc’s integration strategy. The plan’s emphasis on economic security, inclusivity, and high-value manufacturing could address gaps in ASEAN’s current model, where FDI growth has outpaced domestic value capture.

Related: Malaysian Investment Development Authority (MIDA) · Tengku Datuk Seri Zafrul Abdul Aziz · Singapore