31 MOUs inked will deepen M'sia-China growth, say trade groups

“It further signals China’s readi­ness to work closely with regional partners like Malaysia to promote stability and shared prosperity in an increasingly complex global landscape,” he said when contacted yesterday.

ALSO READ: Despite challenges, Malaysia pledges to solidify trust, communication with China

Lauding the MOUs, Soh said it was important to take things beyond just the trade volume and investment ­figures.

“It must focus on co-creating high-value industrial ecosystems that support both countries’ aspirations, aligning Malaysia’s New Industrial Master Plan 2030 (NIMP2030) with China’s innovation-­driven growth agenda,” he said.

Citing significant potential in strategic sectors such as advanced manufacturing, clean and renewable energy, electric mobility, artificial intelligence, biotechnology and smart logistics, Soh said the collaboration would spur both nations to jointly develop high-impact projects and sustainable, value-added supply chains.

He suggested that a more structured bilateral cooperation ­mechanism between both govern­ments and the business community be set up, such as joint innovation hubs and green and digital industrial parks.

ALSO READ: Synergy between two nations

Such an arrangement would further enhance Malaysia as a strategic base for Chinese ­investors to tap into Asean and the regional market via the Regional Comprehensive Econo­mic Part­nership (RCEP) and ACFTA.

Associated Chinese Chambers of Commerce and Industry Malaysia (ACCCIM) treasurer-­general Datuk Koong Lin Loong said the deepening cooperation went beyond China’s Belt and Road Initiative (BRI) as it covered several other key sectors.

He said the upgrading of the Malaysia-China Kuantan Industrial Park (MCKIP) under the “Two Countries, Twin Parks” initiative should also include the setting up of similar parks in other parts of the country.

Koong stated that collaboration aimed at enhancing inspection protocols for items such as fresh coconuts and standardising regulations could facilitate increased agricultural exports to China.

Small and Medium Enterprises Association Malaysia (Samenta) national president Datuk William Ng said the wide-ranging agreements marked a promising new era in Malaysia-China relations.

“I see this as a pivotal moment for Malaysian businesses, especially our SMEs. The sectors identified in the MOUs reflect where the future of trade and industry is heading,” he said.

Ng said the benefits of the strategic partnerships must be inclusive and accessible to local SMEs, which he said made up over 97% of Malaysian businesses.

“We welcome these MOUs, and we want to see them benefit the SMEs and the rakyat and not just a select group of GLCs,” he added.

Ng proposed the creation of downstream programmes to enable SMEs to engage in key sectors through joint ventures, vendor development, or technology adoption.

ALSO READ: Influencer economy can be key to further growth

He said the collaboration should see Chinese companies helping local SMEs tap into the Chinese market via cross-border digital platforms, especially those operated by Chinese tech firms.

Malaysia Semiconductor Industry Association (MSIA) president Datuk Seri Wong Siew Hai said the MOUs showed a clear intent by both nations to work together in bringing prosperity to their people.

“Among the key areas of cooperation is the adoption of AI and e-commerce, where China is a global leader. If we can adopt their approach, we can accelerate the digitisation of government and the implementation of a more comprehensive digital economy for the nation,” he said.

Wong said that Malaysia would also benefit from the collaboration between the leading universities of both nations, particularly in relation to emerging technologies.

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Malaysia will be China’s friend at all times, 31 MOUs inked in ‘new golden era’

May the Ship of China-Malaysia Friendship Sail Toward an Even Brighter Future

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Malaysia will be China’s friend at all times, 31 MOUs inked in ‘new golden era’

PUTRAJAYA: Malaysia will remain an unwavering and principled friend to China during “moments of triumph and times of trial”, says Datuk Seri Anwar Ibrahim

The Prime Minister said Malaysia and China have long stood shoulder to shoulder – not merely as comprehensive strategic partners, but as steadfast friends.

“Malaysia values this consistency. Malaysia will remain an unwavering and principled friend to China, guided by the wisdom of history and the promise of the future,” he said in a speech during the official dinner in honour of President Xi Jinping last night.

At a time when multilateralism is under tremendous strain, as certain nations abandon the principle of shared responsibility and others question long-standing commitments, Anwar said China’s global initiatives seem to offer a new lease on hope. 

“What we are witnessing today is not an honest reckoning with the imperfections of globalisation, but a retreat into economic tribalism. 

“Market access is being wea­ponised. What was once a multilateral covenant for shared growth now buckles under the weight of arbitrary disruption and unilateral whim.

“Amid this turbulence, China has been a rational, strong and reliable partner,” he said

Anwar said Malaysia’s foreign policy was shaped by a “clear-eyed” vision of its interest and the principle of Asean centrality.

“We do not simply favour coope­ration over confrontation (but) we embrace it. We do not merely prefer respect over rivalry, we uphold it.

“And we choose dialogue, not simply because it chose us, but as a cornerstone of lasting peace and prosperity,” he said.

The Prime Minister said that during these trying times, the world yearns for steadiness, reliability and purpose.

“We see this in China’s conduct. Malaysia acknowledges such steadiness with quiet recognition and remains conscious not only of the calm it has brought, but of the hope it may continue to offer,” said Anwar.

He said under the leadership of Xi, China has outlined a series of global initiatives that reflect a distinctive worldview.

He said the Belt and Road Initiative reimagines connectivity not as a network of roads and rails, but as a framework for cooperation.

“The Global Development Initiative underscores the importance of inclusive progress.

“The Global Security Initiative calls for peace through dialogue,” he said.

“Each of these ideas reflects a broader aspiration of what President Xi has described as a community with a shared future for mankind. 

“This brings to mind the famous saying of Confucius, that ‘within the four seas, all men are brothers’,” added Anwar, who said the phrase in Chinese.

He said he also hoped that Malaysia and China would endure a long-lasting relationship.

• 31 MOUs inked in ‘new golden era’

Malaysia and China deepen partnership with major deals on trade, tech and tourism

PUTRAJAYA: Malaysia and China have signed 31 memoranda of understanding (MOUs), notes and cooperation agreements with the highlight being a mutual visa exemption for travellers between the two countries.

Currently, Malaysians can tra­vel to China visa-free until Dec 31 this year, while Chinese nationals enjoy visa-free travel to Malaysia until Dec 31 next year.

The exemption was in conjunction with the 50th anniversary of diplomatic relations between Malaysia and China.

Other strategic areas of coope­ration include security, development, trade, transport, agriculture, education and digital technology.

The exchange of documents, which took place at the Seri Perdana Complex yesterday, was witnessed by Prime Minister Datuk Seri Anwar Ibrahim and Chinese President Xi Jinping.

Among the key agreements signed with ministries and agencies is one concerning giant pandas, comprising an MOU on the Cooperative Research Agreement for the International Conservation of Giant Pandas.

Strategic talks: Anwar and Xi with their delegates during a bilateral meeting at the Seri Perdana Complex in Putrajaya. — AZHAR MAHFOF/The Star

Additionally, under the Invest­ment, Trade and Industry Minis­try, three MOUs were signed, including one aimed at upgrading the China-Malaysia “Two Coun­tries, Twin Parks” initiative.

Also, three MOUs were inked under the Tourism, Arts and Culture Ministry, including tourism and media cooperation between Xinhua News Agency from China and Malaysia Tourism Promotion Board.

There was also an exchange of notes between China and Malay­sia on the establishment of a joint foreign and defence dialogue.

Under the Transport Ministry, Malaysia and China signed an MOU between the National Railway Administration of China and the Transport Ministry to strengthen cooperation in the railway sector.

Meanwhile, the Digital Ministry and China’s National Develop­ment and Reform Commission inked an MOU on the digital economy, while the Domestic Trade and Cost of Living Ministry signed an agreement on cooperation in the field of intellectual property.

Several MOUs were also signed with media groups and universities, including one on bilateral cooperation between China’s People’s Daily and Star Media Group Bhd.

At the start of a bilateral mee­ting, Anwar remarked that Malaysia remains committed to working together with China in various areas, including economy, trade, and emerging technologies such as artificial intelligence.

The Prime Minister stated that China is not only a close neighbour but also an important partner through the comprehensive strategic partnership, which reflects the deep trust and long-­standing cooperation between the two nations.

Toasting ties: Anwar and Xi attending the official dinner in honour of the Chinese President at the Seri Perdana Complex. — Bernama

Recalling his previous visit to China, Anwar said: “As I have said to you when we met in China, President Xi exemplifies a new type of persona, a leader who talks about growth and investment and economic advancement.

“He also talks about eliminating poverty and has proven his success, more importantly about shared prosperity and civilisation, which is hardly expressed by any modern leader in this world.

“We admire your tenacity and for that Malaysians welcome you, President Xi, not only as president of a great country, the President of China, but as a true friend.”

In his remarks, Xi announced a bold and shared vision for the future of China-Malaysia relations, pledging to elevate the partnership to unprecedented strategic heights.

He said both countries are committed to forging an even stronger bond, promising mutual benefits and enhanced regional prosperity.

“This marks my return to Malaysia after 12 years, during which the nation has achieved remarkable progress in its develop­ment.

“Your Madani government is steadily becoming a promising reality, and I extend my heartfelt congratulations,” he said.

Xi recalled the pivotal establishment of diplomatic relations between China and Malaysia over five decades ago, which defied the tensions of the Cold War.

He also highlighted the solida­rity exhibited by both nations during the Covid-19 pandemic.

“Today, our two countries are working in unity to jointly build a community with a shared future. China-Malaysia relations are now entering a new golden era,” he said

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Chip ambitions hinge on talent development

 

M’sia must overcome shortage of engineers, Ic designers

”There are an estimated 10,000 to 15,000 IC designers in the country, but the bulk of them work in multinational companies like Intel and Infineon. It is a challenge to coax these experienced personnel out of their comfort zones and venture into a startup. Hence, talent is concentrated in multinational corporations.”

PETALING JAYA: The country’s potential to be a key hub for advanced semiconductor manufacturing, packaging and fabrication hinges on talent.

Kenanga Research said in a report that talent remained an important concern, after taking into account the country’s strengths, including a well-developed infrastructure, pro-business policies and neutral stance in geopolitics.

The research house said during a meeting with the Malaysia Semiconductor Industry Association (MSIA), the question of how players can move up the value chain and how the government can pivot away from the typical tax incentive mindset to one of attracting and retaining talent was raised.

“Among the environmental, social and governance or ESG components, talent development is a constant concern for the semiconductor industry.

“Key findings from the Semiconductor Quarterly Pulse Survey (fourth quarter of 2024 or 4Q24) showed that talent – specifically a shortage of engineers and integrated circuit (IC) designers, and market competition remained the top challenges for the industry,” it said.

Additionally, data showed that 72% of companies were hiring engineers and technicians in 1Q25, a trend that has continued from previous quarters, indicating a continuous need for talent.

Data also showed that in 2022, the average monthly salary for employees within the electrical and electronics (E&E) industry was RM6,450.

However, only 0.3% of the E&E workforce held an advanced degree, indicating potential for further growth.

According to the research house, there are an estimated 10,000 to 15,000 IC designers in the country, but the bulk of them work in multinational companies like Intel and Infineon.

“It is a challenge to coax these experienced personnel out of their comfort zones and venture into a startup. Hence, talent is mostly concentrated in the already well-established multinational corporations,” Kenanga Research noted.

MSIA then said some steps must be taken to mitigate this.

These include setting up a university focused on Science, Technology, Engineering and Mathematics (STEM), facilitating the hiring of foreign STEM students studying in Malaysia, providing the right incentives to attract foreign talent and encouraging semiconductor players to intensify training.

“The government has earmarked about 10% of the RM25bil allocation to train and upskill 60,000 engineers by 2030 to support advanced manufacturing, research and development, and technological advancements in the semiconductor industry,” it noted.

Meanwhile, Kenanga Research said there were potential opportunities that could emerge in the industry for Malaysia.

There has been growing interest in expanding to Malaysia, especially from Chinese semiconductor firms which are looking to leverage on local infrastructure to facilitate global exports.

“Malaysia remains focused on driving economic growth by fostering a pro-business environment that attracts foreign investments.

“Moreover, Malaysia is actively pursuing high-value foreign direct investment while encouraging collaboration between the local private sector and the government to strengthen and develop a robust semiconductor ecosystem, particularly in advanced packaging,” it added.

To successfully do this, the country will focus on several key factors, including strengthening government incentives for IC design, improving supply chain resilience to support high-end semiconductor manufacturing, and attracting semiconductor fabrication investments.

To add to this, the country had committed US$250mil over 10 years in a strategic partnership with Arm Holdings plc recently to access chip design blueprints and training, aiming to transition from chip assembly and testing (back-end) to high-value semiconductor design and production.

With that, Kenanga Research reiterated the need for greater investments into the semiconductor supply chain to strengthen resilience and attract suppliers from key markets.

“While Malaysia has a strong semiconductor foundation, it must accelerate technological adoption, talent development and infrastructure investments to maintain its competitive edge in the rapidly evolving global market,” the research house said.

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Malaysia to byte crime with AI

PETALING JAYA: Malaysia is among nations aiming to use artificial intelligence (AI) in investigating commercial crimes.

However, the Artificial Intelligence Society Malaysia has urged the police force to first guarantee that the men in blue receive thorough training.

Its president Dr Azree Shahrel Ahmad Nazri said police officers need to understand how AI tools function, interpret AI-generated insights correctly and ensure their investigations maintain human oversight.

“AI is only as effective as the people using it. 

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“Without proper training, there is a risk of misinterpretation or over-reliance on AI, which could lead to wrongful accusations or overlooked evidence,” he said in an interview.

Early this month, the Bukit Aman Commercial Crime Investigation Depart­ment (CCID) said the use of AI would ensure investigating officers could optimise their time when managing cases.

Azree Shahrel suggested that Bukit Aman consider collaborations with Malaysian universities and AI experts to develop tailored training modules for CCID officers and cybercrime units.

The police, he said, should begin AI implementation by focusing on commercial crimes, cyberfraud and money laundering investigations.

“The CCID is the best starting point as it deals with fraud cases involving millions of ringgit.

“AI-powered tools can be integrated with Bank Negara’s Financial Intelligence System to help police track mule accounts and suspicious transactions faster,” he said.

Azree Shahrel, who is also the head of laboratory at the Institute of Mathematical Research at Universiti Putra Malaysia, also proposed for AI-powered chatbots and automated scam alerts to be integrated into banking systems to warn users about suspicious transactions.

“This proactive approach not only helps in crime prevention but also educates the public about ongoing threats,” he said.

Additionally, he said the police could collaborate with local fintech companies, cybersecurity firms, and AI research institutions to develop AI-driven crime prevention systems.

“This will allow Malaysia to stay ahead of evolving crime tactics while ensuring law enforcement agencies are equipped with the latest technology,” he added.

Azree Shahrel highlighted how AI-driven fraud detection systems used by Malaysian banks have been able to flag suspicious transactions related to mule accounts, often used by scammers to launder stolen money.

“AI can track money trails across multiple accounts, something that would take human investigators weeks or months to complete.

“Additionally, AI-powered natural language processing tools can analyse scammer conversations on messaging apps like WhatsApp and Telegram, where many fraudulent investment schemes are promoted.

“In cybercrime investigations, AI can assist in identifying fake websites, detecting phishing attempts and analysing large amounts of digital evidence,” he said.

Azree Shahrel also said the university’s Institute of Mathematical Research and Faculty of Computer Science and Information Technology have developed PutraGPT, which aids in fraud detection, identifying suspicious transactions and tracking complex financial trails.

“In cybercrime investigations, PutraGPT helps to identify fake websites, detect phishing attempts, and process vast amounts of digital evidence,” he said, citing the recent fake e-commerce websites that were detected by the system.

“By automating these processes, PutraGPT can improve overall cybersecurity, offering a faster and more accurate response to evolving financial threats.”

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Concerned by increasing corruption

 

Press Release: Corruption Perceptions Index 2024

Corruption Perceptions Index 2024

THE Association of Administrative and Diplomatic Officers Alumni is very disappointed with Malaysia’s ranking in the 2024 Corruption Perceptions Index. Our score is 50 over 100, the same as last year, and only marginally above the global average score of 43 over 100. Of the 180 countries involved in the survey, we are ranked 57, the same as last year.

This is not surprising given the seemingly increasing incidence of corruption among public servants. Hardly a day goes by without reports on corruption appearing in newspapers, confirming the perception some have that corruption is systemic in Malaysia.

In January, The Star reported that “Corrupt enforcement officers have been raking in close to RM200,000 each month from vape smugglers at the KL International Airport Free Commercial Zone (“Big money for dirty Customs men”, Jan 24; online at bit.ly/star_badvape). It is disappointing that while the government is trying to balance its budget and reduce its public debt, which currently stands at over RM1.5 trillion, we have such large leakages in revenue collection. And this is just one case of many.

Government programmes to inculcate good values in the public service over the last few decades seem not to have had the desired results.

While enforcement by the Malaysian Anti-corruption Commission needs to be enhanced, efforts by all ministries and agencies to stop corrupt practices have to be stepped up without any compromise. In fact, incidents of corruption and the quantum involved seem to have been increasing geometrically.

The association feels that the government must adopt a no-nonsense approach to corruption in the public sector. The fear factor is not there to prevent officers and staff from being involved in corruption. Research suggests that enforcement will be more successful if the penalty is heavy and the probability of being caught is high – and this includes the successful prosecution of such cases.

While some have suggested structural reforms, the association would like to suggest that we go back to basics and focus on programmes and policies that are already in place to combat corruption. What seems to be lacking is proper implementation. These include:

> Annual asset declaration: Officers and staff, especially those in services prone to corruption, must make their annual declaration, and their senior officers must go through these declarations to check for veracity and accuracy.

The Bureau of Asset Inspection in the Public Sector in Thailand and the Central Bureau of Investigation in India are entrusted with this responsibility. Use of artificial intelligence and big data analysis will be helpful in this.

> Ensure integrity: Heads of enforcement departments and supervisors at different levels must ensure integrity among officers in the workplace.

One cannot help but wonder how some officers and staff can work with syndicates under the very eyes of their supervisors and senior officers. Either seniors close one eye to the goings-on in the office or they are part of the game themselves. They must be held responsible and accountable and be made to face the music.

Supervising officers must be up and about and moving to see what is going on around them. They must also pay attention to news coming through the grapevine and undertake follow-up actions.

> Act against those who

corrupt, offer bribes: Action must be taken against those doing the corrupting too.

We support the action taken in the case of the Customs Department where, apart from the collection of the unpaid taxes, the warehouses of the importer were raided for further checks. It must be done to ensure that every cent of the unpaid taxes is collected, apart from imposing other legal penalties associated with the giving of bribes.

> Stronger action: More drastic actions should be taken against officers and staff involved in corruption.

While we support the programme to transfer officers at regular intervals, action must also be taken against those suspected of being involved in corruption before they are transferred out. Demotion and no possibility of promotion for a very long time must be imposed.

The penalties imposed on those convicted must be revised upward. Additional penalties, such as the confiscation of all assets of those convicted of corruption, as well as the assets of their relatives if they were obtained through corruption, would surely discourage corruption.

The action taken against corruption must create fear and shame among officers and staff involved in corruption. The fact that some charged with corruption have been able to get off scot-free, for whatever reasons, has not helped in creating the fear and shame factors.

-TAN SRI ABDUL HALIM ALI President Association of Administrative and Diplomatic Officers Alumni (Persatuan Alumni Pegawai Tadbir dan Diplomatik) Read the full letter at Thestar.com.my. 17 Mar 2025

The Dismal Reality of Malaysian Political Corruption

[1] Yet again we are seeing another former prime minister under investigation for corruption. That makes three former prime ministers either in jail, under investigation or charged with corruption; surely another world record. Add to that one deputy prime minister, at least two former chief ministers and several cabinet ministers who at one time or another were investigated or charged and you get a picture of just how rotten the whole system really is. 

[2] But we’ve seen a similar show-and-tell performance by the MACC before; it usually ends in an anticlimax. All the jewellery and gold watches that were seized from Najib and Rosmah with so much fanfare a few years ago, for example, were eventually returned to them. So this latest show may not mean much in the end.

[3] Indeed, when it involves senior politicians or well-connected individuals, the show is always quite dramatic at the beginning but it invariably ends with a whimper (Mahathir’s sons),  a DNAA (Zahid Hamidi, Riza Aziz and many more) or is allowed to die for want of further action (Sabah scandal, LCS). The current MACC chief must surely have the best record in the world for opening investigations into high-level corruption but thus far he has had zero success in obtaining actual convictions. But the politicians are apparently very happy with his performance as his contract has been extended.

[4] The only time when a corrupt senior politician actually went to jail was of course during the brief period after the 2018 elections when political elites were temporarily in disarray and made the fatal mistake of appointing an outsider (Tommy Thomas) as AG. It was a once-in-a-century convergence of the planets, an aberration. It won’t happen again. Now it back to business as usual.

[5] The other thing to note is that all that loot from the Ismail Sabri investigation – RM170 million in cash, RM7 million in gold bars and an assortment of jewellery –  was reportedly siphoned off from just from one single government program.   Imagine, then, how much is being looted from the hundreds of other government programs. It is estimated that between 30-40% of the more than RM150 billion that the government spends on procuring goods, works and services is siphoned off each year. 

[6] And it goes on and on, year after year. Corrupt politicians and their cronies are the hardest working people in Malaysia – they never sleep, never tire of inventing ways to siphon off public funds and never lack programs to pillage. 

[7] The present administration is proving to be a huge disappointment when it comes to fighting corruption. The Madani anti-corruption agenda is just an elaborate PR exercise, fakery on a grand scale. Their SOP is DNAA, NFA or pardons for friends and allies; MACC for everyone else. Nothing quite brings home the absolute absurdity of the government’s position than the sight of  the prime minister vociferously railing against corruption while standing beside his deputy who, if not for the DNAA he was generously given, might well be in in prison right now for corruption. 

[8] Recently, a RM16.6 billion MINDEF helicopter deal was given to a friend of the prime minister. They say it’s a good deal (and maybe it is) but the  lack of transparency,  the apparent conflict of interest and the fact that all 28 helicopters could have been purchased outright for about a third of the price  (according to some reports) is reminiscent of the scandalous way UMNO did defence procurement. And this from a prime minister who insist he wants to change the system.

[9] Despite all the big talk, there’s really zero interest in fighting corruption where it matters most – among senior politicians. It’s not hard to eradicate corruption; the problem is that there’s simply no political will to do so. If people are making tons of money why would they want to change anything? 

[10] We have to face the ugly truth: corruption is too deeply woven into the fabric of Malaysian politics to be rooted out. The entire machinery of government is thoroughly corrupt and beyond cleansing. There are very few good men left. Syndicates,  cartels and corrupt politicians have a finger in everything from rice distribution to foreign workers. Anyone who dares to expose corruption – like that whistleblower in Sabah or that intrepid reporter from Malaysiakini – will quickly find themselves harassed, investigated and even charged. There’s no hope left; the war on corruption is over and we have lost!

by Dennis Ignatius in corruption, Malaysia, Politics| 18 March 2025]