Kuala lumpur: Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Abdul Aziz has called on Malaysian firms, including small and medium enterprises, to become indispensable and competitive globally to withstand tariffs and other trade barriers. Tengku Zafrul emphasized the importance of businesses striving to become global champions rather than relying solely on the domestic market.

According to BERNAMA News Agency, among the strategies suggested by the minister is for companies to invest in manufacturing overseas and make their products essential to other players. He urged enterprises to adopt the latest technologies, enhance productivity and efficiency, and ensure their competitiveness aligns with global standards. These remarks were made during a fireside chat at the ASEAN Business Community Development Forum.

Addressing the challenges arising from tariffs, Tengku Zafrul highlighted the importance of ‘going back to basics’ in light of protective measures taken by countries like the United States, including a 19 percent tariff on Malaysia. He asserted that becoming indispensable would help companies withstand tariffs and non-tariff barriers. By making products necessary and competitive, companies can continue to thrive despite external challenges.

Tengku Zafrul also stressed that company owners, shareholders, entrepreneurs, and CEOs should ensure their businesses are fundamentally ready to compete. He pointed to the government’s industrial master plan and focus on green investments as key strategies to strengthen companies. Increasing the productivity rate of SMEs and ensuring their global competitiveness are crucial steps, he stated.

The minister noted that Malaysia’s world competitiveness ranking has improved, but SME productivity must catch up with countries like Vietnam and Thailand. He warned that a lack of global competitiveness and reliance on the domestic market would hinder the creation of global champions.

Tengku Zafrul urged businesses to invest in technology, research and development, talent, and remain relevant. He emphasized the ministry’s role in helping companies, especially SMEs, understand and tap into free trade agreements to access new markets. Expanding and creating new opportunities by exploring new markets is essential, he concluded.