From Waste to Wealth (and Back Again): Chinese Capital and the Uneven Development of Malaysia’s Paper Recycling Industry

Since 2013, Chinese investment in Malaysia—particularly in manufacturing—has surged under the Belt and Road Initiative. Focusing on the paper recycling industry, this article finds that stricter Chinese regulations have prompted firms to relocate overseas. While Malaysia has attracted new investment, local technological upgrading remains limited and environmental concerns persist. These trends raise broader questions about sustainability, regulatory capacity and the long-term trajectory of Malaysia’s industrial ecosystem.