PENANG is open to exploring formal cooperation with Vietnam’s newly expanded Gia Lai Province, but any partnership must deliver clear and tangible outcomes that benefit both sides, Chief Minister Chow Kon Yeow said.
Speaking during a courtesy call by Vietnam’s Ambassador to Malaysia, His Excellency Dinh Ngoc Linh, and a delegation that included representatives from Vietnam’s FPT Group, Chow said Penang welcomed the proposal for closer subnational collaboration but stressed that practical results must remain the priority.
“We welcome the proposal and are prepared to explore it further, but any formal relationship must produce positive outcomes through concrete programmes and initiatives.
“It should not become merely a ceremonial arrangement or a goodwill visit without substantial results,” he said.
Chow said Penang has long maintained that while regions may compete for investments, collaboration remains equally important in building stronger and more resilient economic ecosystems.
He noted that Vietnam has emerged as one of the region’s fastest-growing manufacturing and technology centres, attracting multinational investments from China, the United States and Europe.
“Penang and Malaysia may at times find ourselves competing with Vietnam for investments, but we view this as healthy competition that can also create opportunities for collaboration.
“Businesses may compete, but ecosystems must collaborate. This is how we strengthen supply chains and create long-term value for all parties,” he said.
Chow mentioned Penang’s development model has always focused on building close cooperation between industrial players, universities, research institutions and training centres.
This ecosystem-driven approach, he said, has enabled Penang to remain competitive as a regional hub for advanced manufacturing, technology and innovation.
He also expressed personal interest in visiting Vietnam to better understand the country’s rapid industrial transformation and to explore future cooperation opportunities.
“I have often said that I would like to visit Vietnam to witness firsthand the remarkable progress it has made in industrialisation and manufacturing.
“It would be a valuable learning experience for Penang as we continue to strengthen our own economic ecosystem,” he said.
Chow added that the business community must play a central role in driving any future Penang-Gia Lai relationship.
“Governments can facilitate, create connections and provide the platform, but ultimately it is the business sector that identifies opportunities and translates them into meaningful economic cooperation,” he said.
Chow pointed out Penang currently maintains friendship and sister-city ties with several cities internationally, including in China and Australia, though current practice generally favours friendship arrangements over formal sister-city status.
Earlier, Dinh said Penang was widely admired in Vietnam for its unique ability to combine industrial growth, heritage preservation, sustainability and strong public governance within a compact state.
He described Penang as a successful model of balanced development and said the state’s position as the “Silicon Valley of the East” made it an ideal partner for Vietnam’s emerging regional centres.
The ambassador noted that Malaysia and Vietnam elevated bilateral ties to a Comprehensive Strategic Partnership in 2024, making Malaysia the first country in Asia and one of only seven countries globally to hold that status with Vietnam.
He said the strengthened relationship had opened a new chapter of cooperation, with more than 400 bilateral activities carried out across multiple sectors.
The ambassador had earlier proposed Gia Lai Province as a strategic partner for Penang.
He said the newly restructured province, formed through the merger of two provinces, is now among the largest in Vietnam by land area and is positioning itself as a new centre for technology-driven growth, STEM development and education.
“Gia Lai is building its future around innovation, human capital development and technology.
“We believe Penang’s experience and ecosystem can complement Gia Lai’s growth ambitions,” he said.
He also noted that around 13,000 Vietnamese currently live and work in Penang, contributing to economic activity and strengthening people-to-people ties.
The ambassador said he believes closer Penang-Gia Lai ties would further strengthen broader Malaysia-Vietnam cooperation and create beneficial opportunities for both regions.
Story by Edmund Lee
Pix by Noor Siti Nabilah Noorazis