The forging industry in Malaysia has shown rapid development in recent years. The government has continuously introduced policies to support the development of the forging industry and improve its competitiveness and innovation capabilities. This article will explore the ways in which Malaysia has risen strongly in regional competition based on national policies, data, and case analysis.
I. National Policy Support
- Industry 4.0 Development Plan
In 2018, the Malaysian government released an Industry 4.0 development plan aimed at strengthening the digitalization, automation, and intelligence levels of domestic enterprises and promoting the transformation and upgrading of the manufacturing industry. This plan includes multiple measures such as financial subsidies and technological innovation support, which are crucial for upgrading the technical content and improving cost-effectiveness and capacity efficiency of the forging industry.
- Tax Incentive Policies
The Malaysian government attracts domestic and foreign investors to enter the forging manufacturing field through tax incentive policies. For example, the government provides tax exemptions to enterprises that implement new green and innovative technologies, reduces personal income tax to attract professionals to enter the forging manufacturing industry, etc.
- Integration of Public Resources
The Malaysian government integrates technical resources from multiple departments to provide support in policy formulation, technological research and development, and project promotion, among other areas.
II. Practical Cases
- Malaysia International Container Terminal Services (MIHB)
MIHB is the largest loader and unloader in Malaysia, providing a comprehensive steel processing zone and outsourcing services such as mechanical maintenance, steel manufacturing, and repair. This approach can shorten the time, increase efficiency, and reduce costs.
- Lohas Manufacturing and Engineering Sdn Bhd
Lohas Manufacturing and Engineering Sdn Bhd is a manufacturing company based in Johor Bahru, Johor, founded in 2004. The company mainly produces high-quality molds, parts, plastic products, forgings, and other types of products, using automation and digitization technologies to improve production efficiency and accuracy.
III. Conclusion
Under government policy support, Malaysia’s forging industry is continuously developing and expanding. The introduction of tax incentive policies and Industry 4.0 plan enables forging manufacturing enterprises to maximize their benefits through national preferential treatment, while the successful integration of public resources and openness to recruit professionals further improves the level of the forging industry. Moreover, the advantages of Malaysia’s forging manufacturing companies are constantly improving, with great profit potential in terms of improving production efficiency, lowering costs, and upgrading technology. These factors combined further promote the strong rise of Malaysia’s forging industry in regional competition.
