Industrial Transformation in ASEAN A Cluster-Driven Model for Regional and Global Collaboration 2026

Developing stage TABLE 2 4.2 Developing stage At this phase, the focus shifts to developing actionable strategies, detailed financial models and priority project pipelines that balance ambition with tangible outcomes. Developing 1Partnerships 2Policy 3Technology and infrastructure4Finance Actions –Define shared vision and set governance, communication and decision protocols. –Convene government, industry, finance and NGOs for aligned intent. –Launch preliminary roadmap and joint action plans – e.g. power purchase agreements (PPAs), waste circularity exchanges. –Engage international partners (e.g. EU, IEA) for best practices. –Sign memoranda of understanding (MoUs) and offtake commitments on short-, medium- and long-term cluster goals. –Partner with academia for training and R&D programmes. –Ensure cluster goals align with the national energy transition while supporting more ambitious cluster- or firm-level commitments. –Map all relevant government policies and incentives, then seek formal cluster recognition to unlock tailored support. –Launch cluster-level policy advocacy, collecting joint asks e.g. streamlined permitting, tax incentives. –Engage with global clusters to understand localization of globally successful policies. –Formalize public-private dialogue platforms with relevant ministries and regulatory bodies. –Identify priority projects that deliver shared value across stakeholders using criteria like emission reduction potential, scalability, cost- effectiveness and job creation. –Prioritize short-, medium- and long- term infrastructure and technology developments that maximize system value and bankability. –Establish an R&D ecosystem. –Launch pilot projects identified using the established R&D ecosystem. –Develop shared infrastructure, and initiate resource-sharing and reuse practices. –Develop ESG governance systems and tracking and reporting mechanisms. –Develop detailed financial models, incorporating scenario and sensitivity analyses for shortlisted projects. –Host exploratory briefings and convene an institutional finance working group to secure financing. –Collaborate with local financiers to structure green products, such as Malaysia’s CFIL. –Secure government, MDBs and private funding for pilot programmes. –Enhance project bankability through guarantees, offtake agreements and carbon pricing mechanisms. Stage profile Structured partnerships or MoUs established across key stakeholders, with some governance and shared outputsPartial policy alignment and pilot coordination; occasional advocacy Initial investment and shared infrastructure and technology under development; targeted R&D pilots; limited reuse/ resource-sharing initiative, and ESG tracking with limited indicatorsEarly-stage investments limited to pilots; selective private participation; limited advanced instruments (e.g. green bonds, blended finance); several projects at pre-feasibility stage 28 Industrial Transformation in ASEAN: A Cluster-Driven Model for Regional and Global Collaboration