ASIATODAY.ID, MANILA — Malaysia is taking a bold step toward a greener, circular economy. The Asian Development Bank (ADB) and Jingxing Holdings Malaysia Sdn Bhd have signed a US$60 million financing package to massively expand the company’s advanced wastepaper recycling and packaging paper production facility in Selangor.
The project strengthens regional supply chains, supports sustainable manufacturing, and accelerates efforts to reduce single-use plastic pollution.
The ADB financing will support the installation of a state-of-the-art German technology recycling and packaging paper line, adding 600,000 metric tons of annual production capacity. With this expansion, Jingxing Malaysia’s total capacity will rise to 1.4 million metric tons per year, positioning the country as a leading force in sustainable packaging production in Southeast Asia.
This growth will help Malaysia cut reliance on virgin wood pulp, reduce pressure on forests, promote circular economy practices, and improve ocean health by providing eco-friendly alternatives to plastic-based packaging.
“This is ADB’s first private sector project in Malaysia since 2007 and an important milestone in our renewed partnership with the country,” said ADB Director General for Southeast and East Asia Winfried Wicklein on December 10, 2025.
He emphasized that the investment highlights ADB’s commitment to supporting climate-friendly, sustainable growth while strengthening regional value chains and generating high-quality jobs.
Malaysia Emerges as Southeast Asia’s Recycling Powerhouse
Demand for sustainable packaging is booming globally, and Malaysia—already a key recycling hub in the region—requires expanded domestic capacity to: meet growing demand for high-grade packaging paper, reduce landfill waste, slash greenhouse gas emissions.
The project also integrates gender-inclusive policies, including strengthened protections against workplace harassment and dedicated leadership development programs for women.
More than 200 direct jobs will be created during construction and operations, while the facility is projected to avoid approximately 678,000 tons of CO₂ emissions annually and adopt world-class wastewater and emissions treatment standards.
Jingxing: “A Catalyst for Circular Economy Transformation”
“This landmark partnership with ADB is a catalyst that accelerates the shift toward a circular economy for packaging in Malaysia and beyond,” said Jingxing Chairman Zhu Zailong.
He noted that the expanded facility is designed to maximize resource efficiency and minimize environmental impact, addressing the rapidly rising global demand for sustainable packaging solutions.
As reference, Zhejiang Jingxing Paper Joint Stock Co., Ltd. is among the top 10 producers of containerboard and household paper in the People’s Republic of China.
Listed on the Shenzhen Stock Exchange, Jingxing integrates papermaking, processing, and trading, with an annual production capacity exceeding 1.35 million tons of packaging paper. (AT Network)
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