KUALA LUMPUR: Malaysia’s mid-tier companies (MTC) are proving to be the backbone of the nation’s economy, contributing significantly to exports, job creation and global competitiveness, said Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Abdul Aziz.
He said mid-tier firms have played a crucial role in strengthening Malaysia’s economic resilience and positioning local enterprises on the global stage.
Tengku Zafrul was speaking at the Mid-Tier Companies CEO Summit 2025, organised by the Malaysia External Trade Development Corporation (Matrade) in collaboration with Deloitte Consulting Malaysia today.
Tengku Zafrul said the achievements of these companies under Matrade’s Mid-Tier Companies Development Programme (MTCDP) demonstrate that Malaysia’s economic growth continues to be driven not only by large corporations but also by dynamic mid-sized exporters.
“Although mid-tier companies make up less than 1% of total registered businesses, they contributed 40% to Malaysia’s GDP in 2023. This shows they are not just contributors, but the very shield of our economy amid global uncertainty,” he added.
According to the Ministry of Investment, Trade and Industry (Miti), alumni of the MTCDP recorded RM39.5 billion in annual sales in 2024, marking a 20% increase from 2023, with nearly 60% coming from exports.
Tengku Zafrul said the strong performance underscores Malaysia’s improving competitiveness and capacity to maintain its position as the world’s 24th largest trading nation.
The minister noted that the programme’s participants created 6,408 new jobs last year, up 20% from 2023, with almost 70% of these being highly skilled positions evidence of a growing shift towards high-value and technology-driven industries.
At the same time, more than 11,000 local SMEs have been integrated into MTC supply chains, a 10% year-on-year increase. This, Tengku Zafrul said, reflects the multiplier effect of the programme in helping small and medium enterprises tap into export markets through collaboration and capacity building.
Malaysian firms under the programme have broken into 115 new international markets, up 49% year-on-year, spanning the Middle East, Africa and Europe, including Qatar, Nigeria, Gabon, Romania and Italy.
“These achievements illustrate the readiness of Malaysian exporters to explore diverse regions and strengthen their foothold in new, high-potential markets,” said Tengku Zafrul.
He noted that 96% of participating mid-tier companies have adopted digitalisation in areas such as marketing, finance, analytics and distribution. Additionally, 99% have implemented sustainability measures including solar power, energy efficiency and water conservation to align with Malaysia’s Ekonomi Madani agenda for inclusive and responsible growth.
“These results prove that mid-tier firms are leading by example in embracing sustainability and technology to future-proof their operations,” Tengku Zafrul said, adding that the achievements align with the national goal of building a resilient, innovative and sustainable trade ecosystem.
To strengthen the industrial landscape, Tengku Zafrul announced that Miti is developing a Supply Chain Intelligent Management System, designed to map relationships between suppliers, manufacturers, distributors and end-users.
He said the system will help identify gaps, dependencies and opportunities within strategic sectors, improving Malaysia’s supply chain resilience and long-term competitiveness.
“This initiative reflects Miti’s commitment to enhancing export competitiveness and preparing Malaysian companies to compete in higher-value global supply chains,” he said.
Meanwhile, Matrade CEO Datuk Seri Mohd Mustafa Abdul Aziz commended the achievements of mid-tier firms, saying the MTCDP has shown that Malaysia’s transformation is driven by both sound policy and people power.
“As we approach the end of the 12th Malaysia Plan and prepare for the next phase of national development, these results show that our economic transformation is not only policy-driven but also people-powered,” he said in his speech.
He added that with the programme now entering its 12th wave, Matrade remains committed to supporting Malaysian companies in expanding globally and strengthening their competitiveness through innovation and strategic partnerships.
The summit, themed “Forging Asean’s Next Chapter: Malaysian Mid-Tier Companies Driving Resilient and Inclusive Growth” also celebrated the graduation of Wave 11 participants, who completed a nine-month export transformation journey under the MTCDP.
Since its inception in 2014, the programme has nurtured 394 mid-tier companies, helping position them as Malaysia’s next generation of export champions.
“Let us continue to move forward with renewed determination to be a stronger, more connected and globally competitive Malaysia,” Mustafa said, closing the event with a call for unity, innovation and sustainable growth.
