My predecessor at the Ministry of International Trade and Industry, Sdr Dr Ong Kian Ming, introduced me to Mr Heng Kim Siang, the president of Malaysia Used Vehicles Autoparts Traders Association (MUVATA) and his committee. A month earlier, I met the leadership of the Malaysia Metal Recyclers Association (MMRA).

From these two separate meetings, I learned about four industries at least, that are linked and intertwined yet not necessarily visible, or even easily understood.

Traders of used vehicle autoparts deal with parts and components of automotives. But at the same time, they also trade scrap metal. And, scrap metal is an important source of input to the steel industry as not all steel producers use iron ore as material.

The scrap metal industry could be regulated and managed better if we have a well regulated and governed solid waste industry, which unfortunately, we don’t. In short, we need to connect the dots linking these four industries – automotive, metal recycling, steel, and solid waste.

MITI will attempt to see these connected industries in a holistic manner.

The used vehicle autoparts trade, like others in the automotive industry, will face the following challenges.

First, electric vehicles (EV). The year 2023 is likely to see the tipping point of EV globally as they will become cheaper, and thus accelerate their transitions.

Second, environmental, social and governance (ESG). Increasingly corporations will have to comply with ESG standards, and the used vehicle autoparts industry is no exception.

Third, digitalisation. Digitalisation is the way to go, and the earlier an industry recognises this fact, the better.

As the saying goes, a crisis is both a threat and an opportunity. I trust the leadership of MUVATA to have the foresight and fortitude to take on the challenges and lead its members to a new phase of the industry.