Shah Alam, 1 October 2025 – Unitrade Industries Berhad, one of Malaysia’s largest homegrown building materials wholesalers and distributors, has welcomed the launch of the Malaysia Steel Industry Roadmap 2035 (SIR2035), calling it a timely and visionary framework that will help drive decarbonisation and competitiveness in the nation’s steel sector.
The roadmap, unveiled by the Ministry of Investment, Trade and Industry (MITI), charts ten core actions aimed at stabilising the industry, addressing structural imbalances, and transitioning toward a fully low-carbon ecosystem by 2050. It is also aligned with the New Industrial Master Plan 2030, the National Energy Transition Roadmap, and Malaysia’s Long-Term Low Emissions Development Strategy, underscoring the government’s broader push for sustainable growth.
Group Managing Director Nomis Sim Siang Leng said Unitrade strongly supports the roadmap’s emphasis on carbon pricing and transparency frameworks, noting that such measures will spur adoption of green steel while reinforcing the role of metal recycling in reducing industrial emissions.
“As one of the leading players in Malaysia’s building materials sector, we have always believed that sustainability must go hand in hand with industry growth. That is why we made a strategic move upstream into metal recycling in January 2024, which now anchors our green business portfolio,” he said.
Unitrade’s sustainability strategy is already bearing fruit. In FY2025, green businesses led by metal recycling contributed nearly 50 percent of Group revenue, reflecting its transformation into a circular-economy enabler. The company recycled more than 430,000 tonnes of ferrous and non-ferrous metals last year, supplying feedstock for steelmakers while extending the lifecycle of resources. With its April 2025 expansion into East Malaysia, Unitrade now operates 15 recycling yards nationwide, positioning it as a central player in the country’s low-carbon steel value chain.
The SIR2035 roadmap also highlights the urgency of transition in an industry that emits an average of 1.85 tonnes of CO₂ for every tonne of crude steel produced. Global demand for green steel is projected to rise 2.5 times within five years, with sustainable steel expected to account for more than 40 percent of total purchases by 2030. Unitrade noted that recycled metals are increasingly vital inputs for electric arc and induction furnaces, which are more energy-efficient and environmentally friendly than conventional blast furnace production.
From an industry perspective, Unitrade applauded the roadmap’s measures to tackle overcapacity through licensing reforms and upstream discipline, saying such steps would enhance industry resilience. The company also welcomed the “Buy Made-in-Malaysia, Buy Low-Emissions” initiative, which will prioritise low-emission steel in public procurement and strengthen demand for domestic products. “We remain committed to sourcing locally, even if it means foregoing higher margins from imported products. Today, 85 percent of our procurement is from Malaysian suppliers,” Sim added.
In line with the government’s decision to prohibit new Blast Furnace–Basic Oxygen Furnace (BF–BOF) licenses, Unitrade confirmed it had already discontinued sales of BF–BOF-produced steel bars and wire rods. The move aligns its business practices with national policy to phase out high-emission steelmaking.
“By leveraging our nationwide recycling footprint and advancing the circular economy for metals, Unitrade is proud to contribute to the industry’s green transition and to Malaysia’s ambition of a fully sustainable steel sector by 2050. We see SIR2035 as both timely and visionary, positioning the steel industry as not only an economic driver but also a pillar of Malaysia’s sustainability journey,” Sim concluded.
Investor Insights for Asia
For regional investors, Unitrade’s embrace of the roadmap offers a case study in how Malaysian corporates are aligning early with national sustainability agendas. The firm’s shift into recycling and its integration into Malaysia’s supply chains highlight opportunities in green materials, circular economy practices, and industrial decarbonisation.
As demand for green steel surges globally, companies with early recycling capabilities and nationwide reach are well placed to capture policy incentives, procurement priorities, and private-sector demand for low-emissions products. While execution risks remain, particularly around commodity price volatility and policy enforcement, the structural direction is clear: sustainability is becoming an investment filter, and firms like Unitrade are positioning themselves to benefit.
