"Two Countries, Twin Parks" model between China, Malaysia makes new progress

BEIJING, April 15, 2025 /PRNewswire/ -- A report from People's Daily: In the China-Malaysia Qinzhou Industrial Park in Qinzhou, south China's Guangxi Zhuang autonomous region, trucks loaded with construction materials shuttle back and forth, while cranes and bulldozers operate on both sides of the roads. New projects are under rapid development, creating a dynamic and bustling atmosphere.

"The park continues to draw robust investment interest, with an increasing number of enterprises establishing operations here," said Zuo Kongtian, deputy director of the administrative committee of the China-Malaysia Qinzhou Industrial Park.

As of December 2024, the first phase of the park had attracted a total of 345 projects, generating an industrial output of 106 billion yuan ($14.55 billion) and a foreign trade volume of 45.14 billion yuan. The park has also utilized approximately $822 million in foreign investment.

Launched 12 years ago, the Malaysia-China Kuantan Industrial Park (MCKIP) in Malaysia and the China-Malaysia Qinzhou Industrial Park in China have developed in tandem, pioneering the "Two Countries, Twin Parks" model of international industrial cooperation. This initiative has injected fresh momentum into the high-quality Belt and Road cooperation between China and Malaysia.

Located in Malaysia's East Coast Economic Region in the state of Pahang, the MCKIP has transformed the coastal city of Kuantan into a regional industrial hub. Approximately 10 square kilometers - representing 71.5 percent of the park's total area - have been developed to date, with 15 projects secured across industries such as steel production, tire manufacturing, paper-making, automotive components, and food processing. The park's cumulative industrial output has surpassed 100 billion yuan.

Since Chinese companies became shareholders in the nearby Kuantan Port, the port's new terminals have seen a significant rise in operational capacity, with daily cargo throughput increasing from 10,000 to 30,000 tons.

"In the new deep-water terminal area, two 150,000-ton-class berths built through joint efforts now handle nearly 10 million tons of bulk cargo annually, making them among the largest public bulk cargo terminals in Malaysia," said Wang Chao, assistant general manager of the operations department at Kuantan Port Consortium Sdn Bhd.

Since the launch of a direct container shipping route between Qinzhou Port and Kuantan Port in 2017, the voyage time between the two ports has been shortened to just three to four days, significantly boosting trade flows between the twin parks.

The first enterprise to establish operations in the MCKIP was Alliance Steel (M) Sdn. Bhd. (ASSB), which commenced full-scale production in 2019. Now operating at an annual production capacity exceeding 3.5 million tons, ASSB has evolved into one of Malaysia's most advanced and vertically integrated steel manufacturers, with products distributed globally.

"ASSB has driven significant advancements in Malaysia's steel industry, transitioning the nation from a steel importer to an exporter," stated Hu Jiulin, chief engineer and deputy general manager of ASSB.

"Sustainability remains central to our project's design and operations," Hu added. "Our carbon emissions adhere to standards exceeding local regulations, and we've implemented circular economy practices - recycling waste heat and gases for energy generation - to reduce emissions and energy consumption."

In recent years, Malaysian specialty products such as bird's nest, durian, and coffee have gained significant popularity among Chinese consumers through major trade expos like the China International Import Expo (CIIE) and China-ASEAN Expo. Many of these products are processed and packaged in the China-Malaysia Qinzhou Industrial Park.

Dato' Ragu Sampasivam, chief operating officer of Malaysia's East Coast Economic Region Development Council of Malaysia, emphasized that an increasing number of high-quality products from both countries are now entering each other's markets via the twin parks, creating greater development opportunities for businesses on both sides.

Khairy, a senior executive of Industrial Relations at ASSB's Business Management Department, shared his insights at the MCKIP, speaking fluent Chinese: "My parents enrolled me in a Chinese language school when I was young, believing it would broaden my future prospects. They were absolutely right," Khairy said.

A native of Kuantan, Khairy resides just a short drive from the park.. "Even during my college years, I followed the progress of the Malaysia-China joint industrial park project. He recalled: "When I was still in college, I heard about the joint industrial park project between Malaysia and China. Watching the buildings and factories rise from the ground, many local young people, including me, saw the park as a place of opportunity," he said.

Today, the MCKIP has not only elevated Kuantan's regional profile but also generated abundant employment opportunities. AIIB alone hires more than 4,000 local employees, offering salaries above the regional average. "Securing a position at the park has become the top career aspiration for young people in this area," Khairy added.

Recently, the maiden voyage was made along the Kuantan Port - Beibu Gulf Port cold-chain shipping route, marking a new milestone in the "Two Countries, Twin Parks" collaboration.

Malaysian Transport Minister Anthony Loke Siew Fook said the new route is more than just a logistics corridor - it is a testament to the long-term partnership between Malaysia and China.

"Under the framework of high-quality Belt and Road cooperation, the twin parks have laid a solid foundation for deeper collaboration in industry, trade, and infrastructure between our two countries," he said.

SOURCE People's Daily