Led by the investment, trade and industry ministry (Miti), NIMP 2030 spans key growth sectors including aerospace, electrical and electronics, semiconductors, advanced materials, electric vehicles (EVs), renewable energy and carbon capture, utilisation and storage.
The seven-year plan aims to move Malaysian industries up the global value chain, strengthen competitiveness and support innovation-led growth. It is anchored on four policy missions: advancing economic complexity, accelerating technology adoption and digitalisation, enabling the net-zero transition, and enhancing economic security and inclusivity.
As industrial capacity expands and new investments take shape, attention is increasingly turning to the workforce required to sustain this transformation.
TVET and STEM at the centre of workforce planning
In response, national policy emphasis is shifting towards technical and vocational education and training (TVET), alongside science, technology, engineering and mathematics (STEM), as a core pillar supporting Malaysia’s industrial ambitions.
This was reinforced in October when the government allocated RM7.9 billion for TVET under the 2026 Budget, up from RM7.5 billion previously. The allocation includes RM1.3 billion for vocational colleges, RM3 billion for training programmes under the Human Resources Development Corporation (HRD Corp), and RM650 million through the Skills Development Fund Corporation to strengthen talent pipelines in high-value clusters such as semiconductors, EVs and advanced technologies.
The investment reflects a broader policy approach that places technical capability and skills development at the centre of Malaysia’s industrial strategy.
Socio-Economic Research Centre executive director Lee Heng Guie said the emphasis on high-skilled talent was closely aligned with the objectives of NIMP 2030.
“If Malaysia is to achieve industrial transformation, the availability of skilled workers must grow in tandem with the demand created by new industries,” he told Business Times.
He said cooperation between government, academia and industry would be central to ensuring TVET programmes remain aligned with industry needs, supported by increased allocations over recent budgets and collaboration with education authorities.
Expanding pathways for future industries
Economist Doris Liew, who specialises in Southeast Asian development, said strengthening the STEM and TVET pipeline was essential to sustaining the momentum of Malaysia’s industrial strategy.
“NIMP 2030 places strong emphasis on higher value-added industries, and that requires a steady supply of skilled engineers and technical professionals,” she said, citing the National Semiconductor Strategy’s target of training and upskilling 60,000 engineers.
She added that TVET plays a critical role not only at entry level, but also as a platform for continuous learning, stackable credentials and career progression.
TVET enrolment has continued to rise, reaching 492,000 students this year compared with 432,000 previously, across 1,398 institutions including vocational and polytechnic colleges, community colleges and tahfiz-based technical schools.
With training structured around approximately 70% practical instruction and 30% theory, employment outcomes have remained strong. Government data shows that 95.1% of TVET graduates secured jobs, with some vocational colleges reporting placement rates of between 97.6% and 98.7%.
Graduate salaries have also exceeded those of individuals holding only the Sijil Pelajaran Malaysia qualification.
Preparing talent for advanced manufacturing
Looking ahead, Malaysia’s industrial workforce requirements are expected to grow more specialised. Under NIMP 2030, demand will extend to precision machinists, robotics technicians, semiconductor fabrication specialists, aerospace engineers, battery system operators and digital maintenance professionals capable of working with automation, the Internet of Things and artificial intelligence (AI).
Lee said curriculum relevance would be critical, stressing the importance of embedding digitalisation and automation into training programmes from the outset.
“The focus must be on producing job-ready talent in sectors such as EVs, semiconductors, advanced materials and pharmaceuticals,” he said. “With the allocations in place, the priority is ensuring training delivery matches industry direction.”
Building a future-ready workforce
Recent initiatives, including expanded STEM scholarships, industry-matching grants and enhanced apprenticeship networks, reflect ongoing efforts to align TVET with future industry requirements.
Liew said continued attention to upskilling and reskilling would strengthen workforce resilience as industries evolve.
Ultimately, TVET and STEM are positioned as key enablers of NIMP 2030, providing the skilled and adaptable workforce needed to support Malaysia’s transition towards a future-ready, high-value industrial economy.
More information on NIMP 2030 is available at this website.