Malaysia-China Kuantan Industrial Park set to bring win-win results

Source:Xinhua Published: 2018/2/22 11:12:42

Mohd Shukri bin Arifin, a 40-year-old responsible for the last working procedure on the metalworking production line of Alliance Steel, has barely any idea what the wire rods or the metal bars are used for.

But he knows he is working for the biggest iron works in Malaysia, and perhaps one of the most advanced in Southeast Asia.
His job -- sorting out defective products that are too short and clipping those that are too long -- is not too complicated, but it is the first job for the man from Malaysia's eastern Pahang state in a modern factory.

When asked about why he chose to work for Alliance Steel, the first factory to start its manufacturing operation in the 3,000 acre Malaysia-China Kuantan Industrial Park (MCKIP), Shukri highlighted higher wages -- almost 20 percent more than his previous job, dormitories equipped with entertainment and gym facilities and transportation allowances, and more importantly, training opportunities which enabled him to "operate machines."

Four months into his job, he already knew all the basics and has begun to instruct his fellow workers, thanks to a training tour of some 150 workers to China during which he was shown around a modern steelworks in southern China's Guangxi Zhuang Autonomous Region.

Shukri was not the only one in Pahang who came to work for the steelworks. Thanks to a job fair organized last year, more than 300 local people have landed a job in the factory.

When the steelworks runs into full operation in June this year, it is estimated that more than 4,000 jobs will be created, 70 percent of which will be for Malaysian citizens, said Hu Jiulin, deputy project commander of Alliance Steel Malaysia Sdn. Bhd.

Hu added that they received more than 4,000 job applications via the job fair and noted that as many as 10,000 jobs will be generated once all related factories of Alliance Steel start their business.

For quite some time, Malaysia's economic weight has been scattered along the west coast of peninsular Malaysia, with little or none heavy industries in the east coast. But expectations are high for MCKIP to become a catalyst to drive economic growth in this area.

Alliance Steel has an annual production capacity of more than 3.5 million tons of steel products. According to Hu, the factory will not only be able to meet the bulk demand of the Malaysian market, but also can accommodate the Southeast Asian market, thanks to a surge in infrastructure development in the region.

Hu said the company also invested a huge sum of money in green technology and environmental friendly production techniques, with zero waste water discharged outside. The factory, with its conservation facilities, can even generate more than 90 percent of its needed electricity.

"We are here for long-term development," said Hu, showing his name-card which was inscribed with "In Malaysia, For Malaysia."

Aside from Alliance Steel, many other projects in the park are also expected to help transform a spark into the fire that will make a difference. Ma Zhengguo, a managing director of MCKIP, told Xinhua that local Malaysian businesses have been benefited even in the construction phase, thanks to a large proportion of the materials procured locally.

Moreover, Ma said MCKIP's strong relationship with the Kuantan Port, a strategic shipping port located 10 km away, makes the industrial park an attractive destination for businesses.

Hong Kong's NewOcean Energy announced its plan to set up an oil refinery and related sea terminal facilities at the Kuantan Port for the export and sale of petroleum products in 2017, underscoring ever increasing investment interest from outside of the Chinese mainland.

In fact, the participation of the Chinese side not only brought in capital and new technologies, but also successful experience.

Ye Jingtao, deputy manager of Project II Department under the Beibu Gulf Holding (Malaysia) Sdn. Bhd., said it is more important for the Malaysian side to see the feasibility of some certain projects and let them believe in such projects can work, thus mutual trust was built.

Posted in: DIPLOMACY

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