Revitalizing rural areas through sustainable practices has become a central concern in global development discourse, and Malaysia’s Chinese New Villages (CNVs)—shaped by unique historical origins and socio-cultural diversity—offer a distinctive lens for examining this process. While a portion of CNVs, particularly those near cities, have begun to exhibit spatial features of semi-urbanization, the majority remain fundamentally rural in character. Within this context, the Kampung GOOD initiative, short for “Good Products in CNVs” and led by a Malaysian local government department, seeks to promote rural revitalization and strengthen engagement with the Chinese community by advancing the branding and promotion of products in CNVs. This chapter examines the initiative from a sustainable development perspective, noting that while it draws on historical and cultural heritage and prioritizes economic and social revitalization, its direct engagement with environmental sustainability is limited. The discussion identifies pathways for sustainable product innovation, including life-cycle design, locality-based circular-economy models, and regional branding strategies that link local narratives to global markets. It further analyses the interplay between tradition and innovation, highlighting opportunities for intergenerational co-creation alongside tensions arising from institutional resource gaps and structural barriers in market access, as well as the cognitive shift from “good products” to “good consumption.” Meanwhile, the chapter also addresses resilience-building in the face of uncertainty, proposing adaptive mechanisms for navigating overlapping crises. By integrating these insights, it offers strategic recommendations for advancing rural sustainability through multi-level, multi-actor collaboration, contributing to a deeper understanding of the interdependencies between tradition, innovation, and sustainability, and informing policy and practice in comparable rural contexts globally.