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THURSDAY | MAR 12, 2026

Malaysia’s push into smart manufacturing picks up pace

Ű BY DEEPALAKSHMI MANICKAM sunbiz@thesundaily.com

PETALING JAYA: Malaysia’s push towards smart manufacturing is accelerating as industrial policy and digital transformation converge to strengthen the country’s competitive edge in Southeast Asia. Rockwell Automation Singapore, Malaysia and Brunei country manager Mariya Prempeh ( pic ) said Malaysia’s manufacturing sector is entering a new phase of technology-driven growth, underpinned by national frameworks such as the New Industrial Master Plan 2030. “Malaysia’s smart manufacturing market, valued at over US$5 billion (RM19.6 billion), is expanding rapidly as initiatives like Industry4WRD and the New Industrial Master Plan 2030 enable manufacturers to adopt artificial intelligence (AI), Internet of Things, robotics and advanced automation,” she told SunBiz in an exclusive interview. The convergence of policy and technology is particularly visible in high-value sectors such as electronics, automotive and precision engine ering, where companies are moving beyond pilot projects to enterprise-wide strategies. Prempeh cited the company’s 2025 State of Smart Manufacturing Report, which found that 94% of Asia-Pacific manufacturers are investing in AI and machine learning to improve agility, address labour shortages and enhance product quality. In Malaysia, she said, more firms are embedding predictive maintenance, connected production systems and real-time analytics into daily operations. “This shift positions Malaysia as a competitive, technology-driven hub within the region’s industrial ecosystem,” she added. Energy efficiency is also emerging as a central pillar of digital transformation, in line with Malaysia’s National Energy Transition Roadmap, which calls for lower-carbon in dustrial growth. Prempeh said automation and data analytics are enabling manufacturers to make energy management measurable and actionable. Solutions such as FactoryTalk Energy Manager and FactoryTalk Analytics allow companies to monitor energy consumption across facilities, PETALING JAYA: Securities Commission Malaysia (SC) and Companies Commission of Malaysia (SSM) have signed a memorandum of understanding (MoU) aimed at improving access to shared data resources to support capital market funding initiatives for micro, small and medium enterprises (MSME) and mid-tier companies (MTC), while also strengthening supervisory functions. The collaboration forms part of initiatives under the Capital Market Masterplan 2026-2030 and aligns with the SC’s Catalysing MSME and MTC Access to the Capital Market: 5-Year Roadmap (2024-2028). It also complements SSM’s role in streng thening Malaysia’s corporate ecosystem by providing comprehensive corporate data and regulatory oversight. Through the partnership, both agencies aim to improve data analytics on funding requirements using a more reliable database. This is expected to help regulators better identify MSME and MTC with strong growth potential and financing needs, enabling more targeted capital market solutions to support their expansion and long-term sustainability. By integrating SSM’s corporate data with the SC’s capital market intelligence, the initiative will allow regulators to identify promising unlisted companies and assess their funding needs.

legacy infrastructure and frag-mented data systems across facilities. “While most manufacturers are investing in AI and automation, only a fraction realise full value due to integration and talent barriers,” Prempeh said. She advised companies to begin with high impact, measurable use cases such as predictive maintenance or energy opti misation before scaling across operations. Combining upskilling initiatives, local part nerships and user-friendly platforms can help bridge the gap between ambition and execution. On the ground, measurable improvements are already emerging. Prempeh highlighted Rockwell’s partnership with Exyte Group on a RM150 million facility monitoring and control system project for a multinational technology manufacturer in Penang. As lead automation contractor, Rockwell implemented advanced lifecycle management and real-time data monitoring to enhance equipment uptime and process visibility across a complex, multi vendor environment. Industry collaborations and forums such as ROKLive have also provided Malaysian manu facturers with exposure to best practices in sustainability, workforce readiness and smart manufacturing. Looking at the next three to five years, Prempeh believes Malaysia’s biggest oppor tunity lies in integration rather than mere adoption. “Connecting production, supply chain and sustainability data into a unified ecosystem will unlock greater decision agility and operational visibility,” she concluded. SOGDC, Sedco Mining to strengthen Sabah industrial development KOTA KINABALU: Sabah Oil & Gas Development Corporation (SOGDC) and Sedco Mining Sdn Bhd have signed a memorandum of understanding (MoU) to strengthen industrial development in the state, particularly at the Sabah Oil and Gas Industrial Park and the Sawit Kinabalu Sandakan Industrial Park. Sabah Deputy Chief Minister III and Minister of Industrial Development, Entre preneurship and Transport Datuk Ewon Benedick said the strategic collaboration between the two government-linked com panies under his ministry is expected to attract more industrial investments to the areas. “Strategic collaborations such as this facilitate better coordination and monitoring, particularly on policy and regulatory matters, while strengthening teamwork in line with the Sabah Maju Jaya 2.0 roadmap and the Sabah First vision,” he said in a statement yesterday. The MoU was inked by SOGDC CEO Mohd Azmir Datuk Ramli, and Sedco Mining CEO Shamsul Bahri Johari, witnessed by Ewon. Ewon said the collaboration was an important step in strengthening strategic ties between the two state entities, both of which play significant roles in driving Sabah’s economic development. – Bernama

o Automation, AI and energy efficiency reshaping nation’s competitiveness, says Rockwell Automation country manager

2025 report, 42% of Asia-Pacific manu facturers are redesigning roles to make technology more engaging, while 46% believe AI can help address labour shortages. In Malaysia, Prempeh noted, organisations which prioritise up skilling, open communication and cultural alignment are better positioned to overcome resis tance to change. At Rockwell, building a resilient workplace culture is seen as foundational to inno vation. The company was certified as a “Great Place To Work” across 14 Asia-Pacific markets last year, including Malaysia, with 80% of employees describing it as such. “We focus on trust, inclusivity and continuous learning. These values empower employees to experiment and build digital capabilities that strengthen organ isational resilience,” Prempeh said. Despite strong momentum, Malaysian companies still face hurdles in adopting AI and automation at scale. Common challenges include skills gaps,

detect inefficiencies and implement cor rective measures. She pointed to Rockwell’s own manufacturing facility in Singapore, where a smart energy framework delivered 15% to 30% energy savings and up to 40% reductions in Scope 1 and 2 emissions, as proof that automation can align productivity and sustain ability goals. “Automation and analytics

help manufacturers balance cost efficiency with long-term environmental targets,” she said. Beyond technology, Prempeh stressed that leadership plays a decisive role in successful digital transformation, particularly in traditional or legacy sectors. “Transformation must start with clear business outcomes, not technology for its own sake,” she said. “Leaders who define specific operational challenges first and then deploy digital tools tend to see faster, measurable results.” Workforce readiness remains equally critical. According to the

SC, SSM to boost data-sharing to help MSME, mid-tier firms access capital market funding

outcomes; leveraging financial data to track companies’ progress in adopting sustainability disclosures; and organising knowledge-sharing and training programmes in areas such as data analytics, sustainability reporting, market insights and strategic communication. Meanwhile, Nor Azimah said the MoU marks an important step in enhancing cooperation between SSM and the SC through the strategic use of corporate data. “By leveraging SSM’s comprehensive corporate information, this initiative will enhance the identification of high-potential MSMEs and mid-tier companies and support their access to appropriate capital market financing to facilitate business growth and long term sustainability.” She said closer collaboration between the two agencies would also strengthen regulatory oversight and market intelligence, while supporting broader efforts to improve corporate governance and sustainability practices among Malaysian companies. As part of the initiative, both agencies will establish a reciprocal data-sharing mechanism to enhance surveillance capabilities. The collaboration will also support the National Sustainability Reporting Framework particularly in tracking the level of financial disclosure among non-listed entities.

These companies may then be guided towards suitable capital market funding channels, including listings on Bursa Malaysia’s Main, ACE or LEAP markets, as well as equity crowdfunding and peer-to-peer financing platforms. The two-year MoU was signed by SC chairman Datuk Mohammad Faiz Azmi and SSM CEO Datuk Nor Azimah Abdul Aziz at the SC’s headquarters in Kuala Lumpur. Mohammad Faiz said the collaboration underscores the importance of data in streng thening market inclusion. “This collaboration reflects the SC’s con tinued efforts to deepen market intelligence and strengthen the pipeline of MSMEs accessing the capital market. By leveraging granular MSME data, the initiative will help identify companies with viable growth and financing needs and connect them with appropriate capital market funding avenues.” He added that greater data visibility would also improve enforcement capabilities by enabling earlier detection of scams and strengthening investor protection. Beyond facilitating access to funding, the agreement also includes cooperation in several other areas. These include joint monitoring of entities to curb financial scams and improve enforcement