Malaysia's industrial sector is projected to continue its growth trajectory in 2025, fueled by government initiatives, infrastructure advancements, and the integration of artificial intelligence (AI) in industrial parks. The report highlights how global trade tensions, particularly the possibility of higher tariffs, are encouraging manufacturers to diversify production, making Malaysia an attractive alternative.
Knight Frank: Malaysia’s industrial sector poised to benefit from AI integration, global trade realignments in 2025
“With trade tensions likely to take centre stage in 2025, primarily in response to Trump’s planned tariff increase, manufacturers will strive to limit risks, manage costs, and explore new markets for production,” Allan Sim, senior executive director of Land and Industrial Solutions at Knight Frank Malaysia, said in an accompanying statement.
“As Malaysia transitions into a high-tech, high-value manufacturing hub, we are witnessing a shift towards more sophisticated industrial facilities that align with global supply chain trends,” said Keith Ooi, Group Managing Director of Knight Frank Malaysia.
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