KUALA LUMPUR, Oct 20 — Malaysia’s export-led industrialisation policy remains the economic model of choice to drive sustainable growth and prosperity, said Bagan MP Lim Guan Eng.
Lim said this following Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Abdul Aziz’s statement in Parliament on October 16, where the minister reaffirmed the government’s commitment to the export-driven approach.
He said the policy has helped lift millions of Malaysians out of poverty, adding that foreign investment under the model provided the financial resources needed for development while enabling the country to progress from low-cost manufacturing to high-value innovation.
Lim also noted that China‘s remarkable success in lifting 800 million people out of poverty through export-led industrialisation has transformed its economy into the world’s second largest — and potentially soon the largest.
“China‘s success is a testament to the effectiveness of the policy. It upgraded its work systems, manufacturing processes and digital capabilities while upskilling its workforce to master advanced technologies and adapt to global market needs,” he said.
In Parliament, Tengku Zafrul said new markets in Africa, Latin America, the Middle East and the Asia-Pacific will be sought to offset the loss of access to the United States due to the ongoing tariff war.
Malaysia currently faces reciprocal tariffs of 19 per cent effective October 7, 2025, with possible duties ranging from 25 to 300 per cent on various goods — including upholstered furniture, kitchen cabinets, lumber, pharmaceuticals and semiconductors.
Lim said abandoning the export-led model would be premature, given that many countries are still adapting to global trade realignments triggered by the US tariffs imposed during Donald Trump‘s administration.
He added that Tengku Zafrul, in response to his question in Parliament, announced RM1 billion in loan guarantees and RM500 million in easy financing for SMEs affected by the tariffs — measures that reinforce the importance of maintaining Malaysia’s export-led strategy.
“Clearly, export-led industrialisation remains a vital cog in Malaysia’s rational economic model for sustainable growth and prosperity,” Lim said.
