Manufacturing Sector Takes the Lead with an Increase of 10.3 per cent in Approved Investments

Kuala Lumpur, 2 March 2021 – The global economic environment in 2020 was very challenging, as a result of the COVID-19 pandemic, which had its contagion effects on major economies throughout the world. Despite the challenges, the Ministry of International Trade and Industry (MITI) through the Malaysian Investment Development Authority (MIDA) is committed to ensuring that Malaysia continues to be positioned as an investor-friendly location for long term growth of both foreign and domestic businesses.

“Malaysia recorded a total of RM164 billion in approved investments through 4,599 projects in the manufacturing, services and primary sectors in 2020. These investments are expected to create 114,673 new jobs in various sectors of the economy once implemented,” announced YB Dato’ Seri Mohamed Azmin Ali, Senior Minister and Minister of MITI.

In contrast, a total of 5,287 projects with investments of RM211.4 billion were approved in 2019. This decline was weighed by the services and primary sectors which were directly impacted by declines in global demands due to the pandemic and the Movement Control Order (MCO) implementation.

In 2020, domestic direct investments (DDI) accounted for the bulk of the total approved investments with a contribution of 60.9 per cent (RM99.8 billion), while foreign direct investments (FDI) made up the remaining RM64.2 billion (39.1%).

The manufacturing sector led the way for total investments approved in 2020, recording RM91.3 billion, followed by the services sector RM66.7 billion and the primary sector with RM6.0 billion.

The People’s Republic of China (RM18.1 billion), Singapore (RM10.0 billion) and the Netherlands (RM7.0 billion) were the top three (3) FDI sources from overall economic sectors in Malaysia, accounting for more than half (54.8%) of the total approved FDI for the year. Selangor (RM38.7 billion) recorded the highest investments approved last year, followed by Sabah (RM21.0 billion), Sarawak (RM19.6 billion), Wilayah Persekutuan Kuala Lumpur (RM17.1 billion) and Pulau Pinang (RM16.0 billion). These five states alone contributed more than 60 per cent of the total approved investments for 2020.

Manufacturing Takes the Lead

The manufacturing sector has the most significant multiplier effect on the nation’s activities and growth; it will continue to be the mainstay of the economy. This includes forward and backward linkages, the development of cluster industries, the transfer of new technologies, and skills development, to name a few.

Malaysia’s manufacturing sector recorded approved investments of RM91.3 billion for 2020, an increase of 10.3 per cent from 2019. The number of manufacturing projects approved also increased by 6.2 per cent from 988 projects in 2019 to 1,049 projects in 2020.

When implemented, these approved manufacturing projects will create new jobs for more than 80,000 people. Of these, 35.8 per cent are in the managerial, technical and supervisory (MTS) positions, including engineers, plant maintenance supervisors, tools and die makers, machinists, IT personnel, quality controllers, electricians and welders.

FDI accounted for 62 per cent (RM56.6 billion) of total approved investments in the manufacturing sector, while domestic investments constituted the remaining 38 per cent (RM34.7 billion). It is important to note that despite the challenging times, DDI surged by 22.6 per cent while FDI increased by 3.9 per cent compared to 2019.

The People’s Republic of China was the top investor in the manufacturing sector in Malaysia, contributing RM17.8 billion of the total foreign investments approved in the sector. The People’s Republic of China was also the largest source of foreign investments in the manufacturing sector for five consecutive years. Other major sources of FDI include Singapore (RM8.8 billion), the Netherlands (RM6.5 billion), USA (RM3.7 billion), Hong Kong SAR (RM2.9 billion), Switzerland (RM2.8 billion), Thailand (RM1.9 billion), Japan (RM1.7 billion) and Republic of Korea (RM1.4 billion).

Selangor (RM18.4 billion) was the largest recipient of investments in the manufacturing sector for 2020, followed by Sarawak (RM15.7 billion), Pulau Pinang (RM14.1 billion), Sabah (RM12.0 billion) and Johor (RM6.8 billion). These five states constituted 73.4 per cent of total approved investments in the sector last year.

“Against the backdrop of the challenges due to the pandemic, new project investments, accounting for 66.9 per cent of the total manufacturing projects approved, were successfully secured in 2020. This is a testament to MITI and MIDA’s efforts to ensure business continuity and investors’ friendly policies are in place to enable investors to have the confidence to establish new operations in the country,” said YB Dato’ Seri Azmin.

“Our team has also tenaciously worked to ensure projects approved are implemented smoothly. This can be seen through the commendable rate of implementation in approved projects. For the period 2016-2020, a total of 4,178 projects were approved, of which 70.0 per cent with investments worth RM197.2 billion have been implemented in the country,” he added.

Moreover, in line with Malaysia’s move towards sophisticated technology industries, capital intensive projects which involve advanced technology and skilled workforce dominated the manufacturing landscape. This is reflected in the increase of capital investment per employee (CIPE) ratio to RM1,138,055 in 2020 from RM1,052,497 in 2019. Furthermore, a total of 101 projects were approved with investments of RM100 million and above.

In terms of top-performing industries in 2020, the electrical and electronics (RM15.6 billion), petroleum products including petrochemicals (RM15.5 billion), basic metal products (RM14.4 billion), paper, printing and publishing (RM7.8 billion), machinery and equipment (RM7.1 billion), chemicals and chemical products (RM6.3 billion), rubber products (RM4.3 billion) as well as transport technology (RM3.9 billion) contributed nearly 90 per cent of the total approved investments in the manufacturing sector last year.

“It is noteworthy that investments in the three catalytic sub-sectors namely, electrical and electronics, machinery and equipment and chemical, and two high growth areas – aerospace and medical devices outlined within the Eleventh Malaysia Plan (RMK-11) constituted more than one third (38.6%) of the total approved investments on the manufacturing sector with investments valued at RM35.2 billion in 2020. As the year 2020 marked the end of the Eleventh Malaysia Plan, the Government is currently finalising the Twelfth Malaysian Plan. This post-2020 blueprint will set the way forward for Malaysia’s development agenda over the next decade. We are optimistic that it will chart the way to further enhance Malaysia’s industrial competitiveness strategies in essential and key industries for sustainable economic transformation to elevate our manufacturing and the services sectors to the next level of sophistication and complexity in the new normal post COVID-19 and beyond,” remarked YB Dato’ Seri Azmin.

Notable projects that were approved last year consist of multinational corporations in the high-end and high-technology industries that are newly establishing their operations in Malaysia. This includes Dexcom, a US company and leader in continuous glucose monitoring system will be producing their niche offerings in Pulau Pinang; where else Switzerland-based electrical measurement company, LEM will set up its new production plant in Malaysia to meet the growing demand of its customers in the industrial and automotive sectors. Chinese-owned LSChem Industry will produce a variety of speciality oleochemicals in Tanjung Langsat Industrial Park, Johor Bahru. LSChem Industry’s project is expected to be catalytic to roll out the biodiesel initiatives in Malaysia, which is in line with the Government’s goal to increase the usage of biodiesel. Singapore-owned CytoMed Therapeutics (Malaysia) will also invest in the country to undertake stem cell research and therapy.

Existing MNCs also continue to undertake major reinvestments into high-end products and activities in Malaysia, illustrating Malaysia’s on-going value proposition to investors. Nippon Electric Glass (NEG), a leading Japanese manufacturer of speciality glass that had established their Malaysian operations since 1992 looks to expand their production capacity of glass tubing for pharmaceutical use in the country given the demand for its products following the COVID-19 vaccine roll-out. Additionally, US-based Bruker will be expanding its investments in Pulau Pinang to manufacture high-tech analytical scientific instruments such as optical and stylus profilometers, tribometers, X-ray diffraction tools, X-ray fluorescence instrumentation, optical emissions spectrometers and combustion gas analysers.   Local players such as Amerix Metal Machining Technology have also seized the opportunity to expand and diversify their operation last year, further enhancing Malaysia’s supporting industry network capabilities. The Company’s expansion project looks to adopt a sophisticated high precision manufacturing concept in Computer Integrated Manufacturing (CIM) and process tracking model in customised Enhanced Resource Planning (ERP) system to produce automation electro-mechanical servo reel to reel moulding systems for the back-end semiconductor industry.

Continuous Investments for Services

“In 2020, Malaysia’s proposition as a hub for business and investment for the services sector attracted a total of RM66.7 billion in approved investments through 3,527 approved projects, accounting for the 40.7 per cent of the total approved investments in the economy. These approved services projects are expected to create 33,652 jobs to the economy,” said YB Senior Minister and Minister of MITI.

DDI dominated the total approved investments in the services sector, contributing RM60.2 billion (90.3%), where else FDI represented the remaining RM6.5 billion.

The majority of the main services sub-sectors showed a significant decline in approved investments except for MSC status projects and other services such as BioNexus status and software developments. The top five (5) contributors of approved investments in the services sector were real estate (RM31.2 billion), utilities (RM10.8 billion), support services (RM5.2 billion), telecommunications (RM5.2 billion) and MSC status projects (RM3.9 billion).

Under the purview of MIDA, the support services industry covered sub-sectors such as integrated logistics, research and development, green technology, integrated circuit design, oil and gas services and licensed warehouse.

“Last year, notable services projects approved include Redsol, a new joint venture large scale solar project between Malaysia and Netherlands in Perak; as well as the expansion of the Japanese firm, Fumakilla Malaysia’s R&D undertaking in developing insecticide products and other household products in the country as part as its efforts to centralise its R&D Centre to support its manufacturing activities carried out in Malaysia and Asia,” added YB Dato’ Seri Azmin.

Mining Takes the Lead in the Primary Sector

The primary sector registered approved investments of RM6.0 billion in 2020, compared to RM7.0 billion in 2019. The mining sub-sector led the bulk of investments in the primary sector, contributing 99.5 per cent of total investments approved in the sector. The rest of the primary sector investments comprise the plantation and commodities subsector and the agriculture subsector, which registered investments of RM27 million and RM2.4 million, respectively.

Bracing for a Better Tomorrow

Malaysia continues to be a competitive investment destination despite the current uncertainties, proven by its rankings in the global economic scene. The DHL Global Connectedness Index (GCI) 2020 positioned Malaysia second (2^nd) among Asia Pacific countries and sixteenth (16th) out of 169 countries for trade connectivity. A joint study by KPMG and The Manufacturing Institute in the US entitled ‘Cost of Manufacturing Operations around the Globe’ also ranked Malaysia fourth (4^th) among 17 economies in an assessment comparing the economy’s competitiveness as a manufacturing hub; positioning us ahead of countries in Asia such as China, Japan, Vietnam and India. Furthermore, Malaysia is ranked 12th in the World Bank’s Doing Business 2020 and 27th in the IMD World Competitiveness 2020.

“These rankings by reputable international agencies attests that on-going reform initiatives are on the right track to further enhance Malaysia’s competitiveness, productivity and governance which will help promote investments and accelerate national economic development,” said YB Dato’ Seri Azmin.

However, at the end of the third quarter 2020, the country saw a third wave of COVID-19 infections. This led the Government to implement the conditional movement control order (CMCO), to strike a balance between preserving lives and livelihoods; curbing the spread of the virus while allowing economic activities to open. The Government was forced to impose further restrictions via the introduction of MCO 2.0 due to the unabated virus surge. The implementation of MCO 2.0 has understandably raised the question of whether Malaysia would still be able to maintain the speed of economic recovery.

“The Government, through MIDA, continued to be at the forefront to entice more high-value investments in the areas of technology and innovation to position Malaysia as an alternative supply chain hub in Asia. Investors will undeniably derive value by taping on Malaysia’s well-established local supporting industry network and talented workforce to undertake high-tech products manufacturing and high value-added services to serve their clients in the region, in the present and the future,” added YB Dato’ Seri Mohamed Azmin Ali.

In efforts to increase the ease of doing business for investors in Malaysia, MIDA’s efforts has been intensified to re-engineer its business processes to raise the efficiency of the organisation’s various functions. Among the initiatives that have been implemented include the PACU@MIDA or the Project Acceleration and Coordination Unit to provide end-to-end facilitation for all projects approved to enable the timely implementation of investments in the country; as well as online modules, namely e-Manufacturing Licence (e-ML), e-Incentive and JPC Online Application to accelerate the necessary approvals for manufacturing licences, incentives and exemption of customs duties to expedite the execution of projects.

Additionally, despite the on-going international border closures and strict governmental standard operating procedures (SOPs) in place worldwide to contain the spread of COVID-19, MIDA continues to be responsive in providing advice and support to existing and potential investors through its established footprint of 20 overseas and 12 regional offices. It has been at the forefront to entice investments through innovative and aggressive investment promotion activities. A One-Stop-Centre (OSC) has also been established at MIDA to evaluate eligible business travellers’ applications to enter Malaysia for trade and investment purposes.

As at December 2020, MIDA has RM65.9 billion worth of potential investments being actively evaluated. These projects, once approved, are expected to be implemented within the year 2021 to 2022. MIDA has also identified 240 high-profile foreign investment projects, including Fortune 500 companies in the manufacturing and services sectors, with a combined potential investment value of RM81.9 billion. These include on-going negotiations with companies from various sectors such as automotive, chemical, and advanced electronics to make Malaysia their high-value manufacturing, services and global supply chain hub.

“The Government’s newly unveiling of Malaysia Digital Economy Blueprint (MyDigital) will also further accelerate Malaysia’s progress to becoming a technologically-advanced economy. The 10-year roadmap will lay the foundations for the country’s transformation towards an advanced digital economy and guide MITI and MIDA in our efforts to continue attracting high-value investments of the future,” said YB Dato’ Seri Mohamed Azmin Ali. While the year 2020 was a challenging year in many sense of the word, Malaysia is steadfast in its fundamentals as the pre-eminent preferred investment destination in the region. As we forge ahead in the new year on the path of economic revitalisation coupled with the rollout of the national vaccination programme, the Government remains committed to prioritising the needs of our people and businesses.

*****

About MIDA

MIDA is the Government’s principal investment promotion and development agency under the Ministry of International Trade and Industry (MITI) to oversee and drive investments into the manufacturing and services sectors in Malaysia. Headquartered in Kuala Lumpur Sentral, MIDA has 12 regional and 20 overseas offices. MIDA continues to be the strategic partner to businesses in seizing the opportunities arising from the technology revolution of this era. For more information, please visit www.mida.gov.my and follow us on Twitter, Instagram, Facebook, Linkedin and Youtube channel.

Media Contact:

Manjit Kaur Balkar Singh (Ms)

DL: +603-2267 3509 | Email: [email protected]

Malaysia Records RM164 Billion of Total Approved Investments In 2020 Amid Global Pandemic

MIDA Annual Media Conference 2018

MEDIA RELEASE

APPROVED INVESTMENTS IN 2017 CREATES 139,520 ADDITIONAL
JOB OPPORTUNITIES IN MALAYSIA

1. In 2017, Malaysia recorded approved investments of RM197.1 billion in the manufacturing, services and primary sectors. These are from 5,466 projects that will generate an additional 139,520 job opportunities for the country. Domestic direct investments (DDI) accounted for the bulk of it or 72.2% at RM142.4 billion, while foreign direct investments (FDI) contributed RM54.7 billion, making up 27.8% of the total.

2. The overall investment performance moderated by 7.4%. This was due to lower approved investments recorded in the services sector which saw a decline of 17.2%, from RM146.2 billion in 2016 to RM121.1 billion in 2017. The decline was affected by the real estate subsector which saw a 28.7% drop in value to RM45.7 billion despite a 43.1% increase in the number of projects approved, reflecting a change in investment strategies towards smaller sized projects in this subsector.

3. Nonetheless, the overall investment performance was bolstered by the manufacturing and primary sectors which recorded increases of 8.9% and 51.2% respectively. The qualitative aspects of investments attracted into Malaysia in 2017 were evident on many fronts, such as job and business opportunities as well as the transfer of technology.

4. More and more global companies are making Malaysia their hub. This includes Osram Opto Semiconductors’ world’s most advanced LED chip factory, B.Braun’s Global Center of Excellence for Intravenous Access products which comprises production and R&D functions, Peugeot’s ASEAN manufacturing hub, IKEA’s Regional Distribution and Supply Chain Centre for ASEAN, Honeywell’s ASEAN Regional Headquarters and Schlumberger which made Malaysia their largest shared services hub in the group in addition to their procurement service centre, human resource hub, financial hub and two regional hubs.

Manufacturing Sector

5. The manufacturing sector recorded total approved investments of RM63.7 billion, increasing 8.9% from RM58.5 billion in 2016.

Investment by Industry

6. The petroleum products including petrochemicals and natural gas recorded the highest total approved investments of RM26 billion, followed by electronics & electrical (E&E) products (RM9.7 billion), non-metallic mineral products (RM7.7 billion), transport equipment (RM4.8 billion), chemicals and chemical products (RM4.1 billion), machinery & equipment (RM2.2 billion), food manufacturing (RM2.1 billion) and scientific & measuring equipment (RM2.0 billion). These eight industries accounted for RM58.6 billion or 92% of total investments approved in this sector.

7. The E&E industry in Malaysia has evolved over the years. Starting with only a few global companies in the 1970s that were undertaking labour intensive, low technology and low value added activities, the industry now has a full range of semiconductor, solar and LED clusters with many companies undertaking higher value added products and front-end activities including design, research and development. For example, Intel which was only undertaking assembly and test activities in the past is currently engaged with a full integration of assembly & test including R&D activities with a complete internet of things (IoT) system solution. Other long term E&E global investors include Osram, Infineon, Motorola and Panasonic.

8. The strengthening of the E&E ecosystem has spilled over to the development of the local industry players. This includes companies that undertake wafer fabrication activities such as SilTerra, those involved in outsourced semiconductor assembly and test (OSAT) activities such as Inari, Unisem and Carsem, automated test equipment manufacturers such as ViTrox and VisDynamics, electronics manufacturing service providers such as K-One Technology, Nationgate and SMT Technologies, engineering service providers such as Xperior as well as those in IC Design activities such as Infinecs and Oppstar Technology.

Domestic vs Foreign

9. Domestic investments were dominant, contributing 66.2% of the total investment approved, while the balance came from FDI. Most of the domestic investments were in new projects (RM31.8 billion) while RM10.3 billion went into expansion or diversification projects.

10. In 2017, MIDA approved another project for the Pengerang Integrated Complex (PIC), a highly integrated refining and petrochemical complex that is set to highlight Malaysia’s status as a global leader in the petrochemical products industry. It is part of the 22,000 acres Pengerang Integrated Petroleum Complex (PIPC) with current approved investment of USD27.2 billion. Once completed, PIC will provide 4,000 job opportunities. As at January 2018, the PIC project execution progress is on track at 84%.

11. Besides Pengerang, among notable domestic investments approved including those that are majority owned by Malaysians are Petronas Floating LNG1 and Malaysian Refining Company in the petroleum products including petrochemical and natural gas industry, Salutica Allied Solutions and Inari Technology in the E&E industry, Muhibbah Marine Kuantan for the shipbuilding and ship repair segment, SME Aerospace and T7 Kilgour in aerospace, Sokachem in chemicals & chemical products industry, Ibronx and Greatech Integration in the M&E industry, and Upha Pharmaceutical and Duopharma in the pharmaceutical industry.

12. The sector’s biggest foreign investor was People’s Republic of China (PRC), Switzerland, Singapore, the Netherlands and Germany. These five nations jointly accounted for RM12.1 billion or 56% of foreign investments approved in 2017. In 2016, the top foreign investors were PRC, the Netherlands, Germany, UK and Republic of Korea with total investments of RM15.4 billion.

13. Despite China being the top FDI source for two years in a row, the value of investments has dropped by 18.7% from RM4.8 billion in 2016 to RM3.9 billion in 2017. China’s investments have diversified into many industries including the non-metallic mineral products, transport equipment, rubber products and E&E products.

14. Projects with China participation approved as at 2017 include Longi, Xinyi Energy Smart, Xinyi Solar, Jeje Energy Technology, CGPV Industrial Building System, Just Energy Technology and Intco Malaysia. Longi for example has made investments of more than RM1 billion in setting up an integrated solar plant in Sama Jaya Free Industrial Zone. This has created 2,142 job opportunities for Malaysians, whereby 569 is in the managerial, professional and technical category. For CGPV Industrial Building System, as at December 2017, the company has invested more than RM400 million and provided 217 jobs for the production of industrial building system (IBS) components including reinforced concrete, slab, column, beam and wall panels.

15. Overall, foreign investors were more active in expansion and diversification projects in the manufacturing sector, contributing RM13.9 billion or 64.4% of the total foreign investments approved in the manufacturing sector for 2017, while new projects accounted for the rest. Most of these projects involve the production of high-technology, high-value-added goods; a notable step towards achieving Malaysia’s industrial ambitions.

16. Among them include Osram, Robert Bosch, B. Braun, Longi, Visco, AJ Biologics, Verdezyne, Shibata, Fatty Chemical, Altech Chemical, Bruker Malaysia, Sandisk, Infineon, Hotayi, Air Liquide, Hanwha Q Cells, Kato Manufacturing, Sato Malaysia and ASE Electronics Malaysia.

a. For example, Osram Opto Semiconductor continued to expand with the opening of its new state-of-the art semiconductor facility. With this, Malaysia now has the world’s most advanced LED chip factory and a complete LED ecosystem. With this expansion, the company’s total investment is at RM4.2 billion and will provide 7,790 job opportunities by 2020, whereby 73% are for Malaysians.
b. There was also a RM2.6 billion expansion project by Robert Bosch Malaysia to manufacture instrument cluster panels and connectivity modules, adding 194 high-value-added jobs to the country. Malaysia stands to benefit from the company’s efforts for the development of local vendors as well as the export gains, as 100% of its products made in Malaysia will be exported.
c. B. Braun Medical Industries also had an expansion project approved worth RM1.2 billion to manufacture medical devices, pharmaceutical sterile intravenous (IV) solutions, and surgical instruments and implants using automated and state-of-the-art processes and creation of 809 new jobs of which 164 are salaried positions of RM10,000 per month and above.
d. Verdezyne also had an investment approved for the manufacturing of dodecanedioic acid (DDDA) using yeast fermentation technology, creating 75 additional jobs, with some salaried positions of RM10,000 per month or higher. With the company’s first commercial-scale renewable chemicals manufacturing facility, this will add to the advancement of biotechnology in the country, and catalyse the palm industry.

CIPE Ratio

17. The manufacturing projects approved last year were more capital intensive. The capital intensity, measured by capital investment per employee (CIPE) ratio of projects approved within the sector last year recorded a notable increase of 23.7% from the CIPE of RM912,239 in 2016 to RM1,128,742 in 2017. There were 9 projects approved with investments of at least RM1 billion, totalling RM34.7 billion (54.5%) of total investments approved in this sector. As for investments of at least RM100 million, 80 projects were approved with total investments of RM52.4 billion (82.3%) of all investments approved in this sector.

Employment Opportunities Created

18. From the total 687 projects approved, 56,420 job opportunities were created. Of these, 14,155 (25.1%) were in managerial, technical, or supervisory roles, an increase of 21% from 2016. Meanwhile, a total of 9,870 (17.5%) were positions for skilled workers. The E&E industry generated the highest amount of employment opportunities with 10,593 jobs, followed by transport equipment (9,112), and machinery and equipment (6,078).

Investment by State

19. Johor was the highest recipient of approved investments amounting to RM21.9 billion, followed by Pulau Pinang (RM10.8 billion), Sarawak (RM10.5 billion), Selangor (RM5.6 billion) and Melaka (RM4.7 billion). These five states contributed 84% of the total investments approved in 2017. In 2018, MIDA is collaborating with each State Agency in its Invest Series programme to further promote the unique comparative and competitive advantages of the states in the country. So far, MIDA has undertaken 4 sessions covering Perlis, Kedah, Kelantan and Pahang. Each session has been well attended by an average of 100-150 participants which consist of large companies, foreign and local business chambers and associations.

Implemented Investment

20. As at 31 December 2017, 2,920 out of 3,698 manufacturing projects approved during the five-year period of 2013 to 2017 are in production with the rest still under construction or final machinery installation. Total investment in these implemented projects amounted to RM201.4 billion. A further 45 projects with investments of RM6.3 billion have acquired sites for factories, while 575 projects (RM71.9 billion) are in the active planning stage. When these 620 projects are implemented, total additional realised investments in these manufacturing projects will amount to RM78.2 billion.

21. In 2016, from a total of 733 approved projects, 617 projects or 84% have started production. These realised investment have created 47,617 jobs for Malaysia, whereby 22.5% are within the salary above RM3,000. Meanwhile in 2017, despite being just approved within the year, there were already 215 projects in production. These realised investment have created 15,147 jobs for the country. Notably, 31% of these jobs are with a salary above RM3,000. Examples of approved projects in 2016 and 2017 that are already in production, are Sanmina-SCI Systems, BASF Petronas Chemicals, Straits Orthopaedics, Go Automobile Manufacturing, Spirit AeroSystems, Keysight Technologies, Omni Oil Technologies and Press Metal Bintulu.

Services Sector

22. The services sector remained as the largest contributor to the total approved investment contributing 61.4% or RM121.0 billion in 2017. The year-on-year approved investment value for the services sector contracted by 17.2% last year but the number of projects recorded an increase of 7.7% from 4,392 approved projects in 2016 to to 4,731 in 2017. Domestic investment occupied the lion share of the total in the services sector with RM92.2 billion, while foreign investments made up the rest of RM28.8 billion.

23. The real estate subsector made up the highest portion at RM45.7 billion or 37.7%, followed by global establishments (RM14.0 billion or 11.6%), financial services (RM11.8 billion or 9.7%), and distributive trade (RM9.4 billion or 7.8%).

24. Global establishments approved in 2017 accounted for investments of RM14.0 billion and created 2,028 job opportunities for Malaysia. From the 225 global establishment projects, 9 were Principal Hub (PH) projects, bringing the total to 28 PH projects approved since the scheme was introduced in 2015. Notable companies with global establishments in Malaysia include Nestle, Honeywell, Lazada, Huawei, Ikea, Roland, FM Logistics, Pos Malaysia and Integrated Device Technology. These establishments not only bring in business commitments for the long term, but also utilises Malaysia’s banking, financial services and other ancillary services while generating high skilled employment opportunities.

25. In 2017, the approved PH projects were a mixture of both large and small MNCs with committed business spending of RM13.64 billion, utilising ancillary services worth RM1.21 billion. These projects created 569 new high-value employment opportunities with a wide scope for knowledge transfer for Malaysians. Among them are foreign companies from the Netherlands, United Arab Emirates, Germany, Japan and the US operating in key economic sectors such as E&E, commodities and food & beverages.

26. Notable PH projects approved in 2017 include Integrated Device Technology (IDT), a global leader in the semiconductor industry; Roland, a leading Japanese based electronic musical instrument manufacturer; and IKEA, the Dutch-headquartered retail furniture giant. With IDT’s new establishment, Malaysia will become the hub for its Advance Automotive Technology Center, whereby its test operation activities will be shifted from Germany to the country. This will benefit Malaysians in terms of the transfer of cutting edge technology and knowledge. As for Roland, its Principal Hub aims to rationalise the Group’s global supply chain by centralising planning, procurement, logistics, sales and marketing and R&D to achieve synergy and to optimise and improve the Group’s profitability. IKEA’s Regional Distribution and Supply Chain Centre in Pulau Indah, Selangor will serve 12 retail stores in ASEAN, which will increase to 20 stores by 2026.

27. For 2017, positive growth in the services sector was registered for sub-sectors with relatively high value added activities such as healthcare services, transport, hotel & tourism and distributive trade.

a. The healthcare services sub-sector last year jumped 136.1% to RM445.1 million from RM188.5 million approved investments in 2016. Malaysia’s ongoing efforts to maintain high quality healthcare services contributed to a boost in its medical tourism. According to the Malaysian Healthcare Travel Council (MHTC), the country is fast becoming a famous medical tourism destination, mostly for cosmetic surgery, dental and orthopaedic treatments. Among the anchor private healthcare players in Malaysia are KPJ Healthcare Berhad, IHH Healthcare Berhad (Pantai and Gleneagles Hospitals), Ramsay Sime Darby Healthcare and Columbia Asia Malaysia.

b. The transport sub-sector hiked up by 119% in 2017 to RM4.5 billion from RM2.0 billion investments approved in 2016. The aviation sector saw 13 new projects with total investments amounting to RM596.7 million, 1 project in the highway construction and maintenance segment amounting to RM3.7 billion and 2 projects in maritime amounting to RM180.2 million.

c. Malaysia’s increasing popularity as a luxury tourist market has helped position the country’s tourism sector as one of the major contributors to the nation’s economic success. A total of 70 projects worth RM9.2 billion was approved in this sub-sector in 2017. Malaysia has received many accolades in the tourism sector including the 10th Most Visited City in the World by Euromonitor International Report 2017. These achievements underscore the attractiveness and capabilities of the country’s tourism sector.

28. The services sector, as a whole continued to be the largest employer in the economy, having created 82,172 job opportunities in 2017 or 59% of total job opportunities in the manufacturing, services and primary sectors. Distributive trade, MSC status companies, and hotel and tourism generated the bulk or 84% of the total job opportunities in the services sector.

29. Transformation of the services sector is ongoing with an emphasis on shifting towards one that is knowledge-intensive and innovation-focused. For example, in growing the potential of the country’s e-commerce sector, the Government has implemented various initiatives to develop the financial and logistics infrastructure, which forms the backbone of the e-commerce ecosystem. The e-commerce contribution to GDP is expected to grow to 6.4% in 2020. With the introduction of the Digital Free Trade Zone (DTFZ) and Go e-Commerce initiatives to name a few, the contribution of e-commerce to GDP is expected to be higher than the targeted rate.
Primary Sector

30. Last year, the primary sector saw a substantial increase of 51.2% in approved investment from 48 projects worth RM12.4 billion compared to RM8.2 billion from 41 projects in 2016. Investments from domestic sources totalled RM8.1 billion or 65.3% while foreign investments contributed RM4.3 billion or 34.7%. The mining sub-sector led with approved investments of RM11.7 billion in 32 projects, mainly from the oil and gas exploration activities. This is followed by the plantation and commodities sub-sector with investments of RM672 million, and the agriculture sub-sector making up the rest of approved investments

Going Forward

31. As global economic growth is forecast to expand between 3.0% to 3.3%, the overall investment performance in Malaysia is also expected to follow this favourable trend with GDP projected at 5.2% for 2018 and 2019. This will further benefit Malaysia’s domestic economic activities and boost business confidence to invest in the country.

32. Nonetheless, MITI/MIDA is cautiously optimistic about 2018 and continues to intensify efforts at attracting quality investments into the country. The 2017 performance, while moderate, was hard won against significant international competition. Despite the restructuring and reorganisation of companies that have resulted in retrenchments, it is worth noting that the manufacturing, services and primary sectors remain encouraging and there are no lack of opportunities in these sectors. Notably, a large portion of the affected workers in the manufacturing sector have been absorbed by other firms which are expanding in Malaysia, such as Keysight, Inari, HP, Osram and Infineon. New investments that are coming in, as well as the expansion by many established firms in the country, will also provide more job opportunities for Malaysians.

33. As at 31 January 2018, MIDA has 379 manufacturing & manufacturing related services projects with investments totalling RM69.5 billion in the pipeline. These were mainly in machinery & metal products, chemical products, global establishments and support services.

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Posted on : 06 March 2018

Malaysian Investment Performance Report 2017

Companies Need to Align with the Dynamic Ecosystem of the Automotive Industry

21 March 2018, Selangor – YB Datuk Chua Tee Yong, Deputy Minister of International Trade and Industry (MITI) officiated the Towards Autonomous Technologies Conference 2018, a collaborative efforts between MIDA (Malaysian Investment Development Authority), CREST (Collaborative Research in Engineering, Science and Technology) and DRB-HICOM University held at the MIDA headquarters, today. The event, with a theme “Embracing Future Innovations”, was attended by more than 150 participants ranging from industry players, academia and government agencies.

“Technological advancement particularly those related to connectivity and autonomous technology will increasingly change the way we commute daily and travel from one place to another. The increasing speed of innovation and shared mobility solutions will give rise to new business models. Together, these developments will reshape the industry landscape and help define the future of transportation,” said YB Datuk Chua Tee Yong at the conference.

“Malaysia is not far behind from this technological development. We have notable local companies and universities that have initiated several development projects related to autonomous vehicles and its related technologies. For example, our home grown company, REKA has started developing its own self-driving or autonomous car technology since September 2016. Another example is the Universiti Teknologi Malaysia (UTM), which has been conducting research and development (R&D) activities on developing a fully automated vehicle since 2017. An AV prototype was developed through the collaboration between UTM and Moovita Pte Ltd. The prototype is based on a 7-seater vehicle and after just six months of extensive development and testing, the vehicle made its debut to the public in January 2018,” added YB Datuk Chua.

In his welcoming remarks, Dato’ Azman said, “Today’s conference is part of MIDA’s continuous efforts in providing platforms for industry stakeholders to discuss and exchange ideas in new and emerging areas. MIDA sees that the potential benefits of autonomous vehicles in urban transportation system are enormous and wide-reaching. To achieve them, it requires the right mix of ambition, planning, regulation testing and careful execution in a setting that involves multiple stakeholders. Therefore, the conference today feature various experts sharing on issues, challenges, technology breakthroughs and perhaps some recommendations for Malaysia to pursue this journey towards producing more autonomous vehicle technology,”

The conference featured a broad spectrum of the ecosystem representing academicians from the Universiti Putra Malaysia (UPM), Universiti Teknologi Malaysia (UTM) and DRB HICOM University; the industry players/experts (BOSCH, Clarion, REKA, Frost & Sullivan), industry association (Malaysia Automotive Association), and the relevant Government related bodies including the Ministry of International Trade and Industry (MITI), Malaysian Research of Road Safety Research (MIROS) and Malaysia Automotive Institute (MAI) and Perbadanan Kemajuan Negeri Perak (PKNP).

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For more information, please contact:

Mdm Jasbir Kaur Bachan Singh

Director, Transportation Technology Division, MIDA

Tel.: 03-2267 6798 | Email: [email protected]

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Speech by Deputy Minister MITI_Autonomous Tech Conference

Speech by CEO of MIDA_Autonomous Tech Conference

Embracing Future Innovations

Strengthening the Manufacturing Ecosystem

8 March 2018, Selangor – “Successful industrial parks can be centres of growth and innovation, support local development and contribute to the advancement of the national economy. Thus, development of industrial parks is an important issue that needs to be addressed accordingly as we step up our game to ensure Malaysia remains among the top destination for investments in the region,” said YB Dato Seri Ong Ka Chuan, Second Minister of International Trade and Industry (MITI) at the Industrial Park Forum for Central Region held today at the Dorsett Grand Hotel, Subang Jaya, Selangor.

“The country needs to develop industrial parks that are ready to receive quality investments and meet the complex needs of investors. Failure to meeting this requirements can lead to loss of business opportunities for the industrial parks’ developers and on a larger context, may risk Malaysia of being sidelined when it comes to attracting quality investments. All park developers and managers need to seize the wave of industries that are coming into Malaysia by providing the next generation industrial parks. In realising this aspiration, I would like to urge the local authorities, technical agencies and utility providers to also come on board as these entities are important in building comprehensive industrial parks for investors,” added the Second MITI Minister.

The Forum, a collaboration between the Malaysian Investment Development Authority (MIDA) and the Federation of Malaysian Manufacturers (FMM), was attended by more than 200 participants representing the entire spectrum of relevant stakeholders – from local authorities, park developers & managers, utility companies, manufacturers and potential investors. Also present were YBhg. Dato’ Azman Mahmud, CEO of MIDA and YBhg. Dato’ Soh Thian Lai, President of FMM.

In his welcoming remarks, Dato’ Azman said, “Looking at the business trends today, MIDA believes that in order to attract more quality investments, we have to move faster by re-engineering our industrial parks to meet the demands of new emerging markets and industries. Presence of well-developed industrial parks can be a magnet to attract high value added investments, thereby creating high income jobs for the people. Being the first point of contact for investors, MIDA will take the lead as the authority to oversee the performance and regulate the industrial parks; as well as to assist potential investors in identifying suitable locations to place their facilities.”

The Industrial Park Forum for Central Region marks the first of its series and more will be organised throughout 2018 in the northern and southern regions as well as East Malaysia. By the end of the roadshow, MIDA and FMM will publish a Directory of Industrial Parks in Malaysia.

The Forum featured a panel discussion with broad range of speakers representing developers (MIDF Property Berhad, Matrix Concepts Holdings & Eco World Development Group Berhad, and UMW Land Sdn. Bhd.), investors (European Union-Malaysia Chamber of Commerce and Industry, Japan External Trade Organization (JETRO) Kuala Lumpur & Asli Mechanical Sdn. Bhd.), local councils and utility companies. This was then followed by a one-on-one engagement with developers and biz clinics with the utility companies, as well as financial institutions.

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For more information, please contact:

En. Ahmad Tajudin Omar

Director, Domestic Investment & Supply Chain Coordination Division, MIDA

Tel.: 03-2267 3627 | Email: [email protected]

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Speech by YBM II_Industrial Park Forum @ Central Region

Speech by CEO of MIDA_Industrial Park Forum@Central Region

MIDA Organises Inaugural Industrial Park Forum

Performance of the Manufacturing Sector Rose by 37.2%

 

Approved Investments in the Manufacturing, Services and Primary Sectors Chart Rm201.7 Billion In 2018

The Malaysian Investment Development Authority (MIDA) signed a Memorandum of Understanding (MoU) with the Korea Trade-Investment Promotion Agency (KOTRA) today, in conjunction with the visit of His Excellency Moon Jae-In, President of the Republic of Korea to Malaysia this week. The partnership includes information exchanges on investment environment, opportunities, and promotion activities, as well as best practices of investment promotion

12 March 2019, Kuala Lumpur – The Malaysian Investment Development Authority (MIDA) signed a Memorandum of Understanding (MoU) with the Korea Trade-Investment Promotion Agency (KOTRA) today, in conjunction with the visit of His Excellency Moon Jae-In, President of the Republic of Korea to Malaysia this week. The partnership includes information exchanges on investment environment, opportunities, and promotion activities, as well as best practices of investment promotion.

“MIDA has been working together with KOTRA for a long time. Every year we organise investment missions to South Korea where there will be seminars, roundtable meetings, and one-on-one sessions with Korean investors, to promote business opportunities in Malaysia as well as to provide updates on the latest policies and economic landscape. KOTRA has always been one of our supporting organisations. So, we are excited to seal this strong cooperative relationship in investment promotion,” said Dato’ Azman Mahmud, Chief Executive Officer (CEO) of MIDA.

“We trust that through this partnership, we will be able to leverage on KOTRA’s establishments in ten regional headquarters, and 124 overseas centres in 86 countries. With this, we will also be able to provide more rewarding connections for both our business communities. As Korea is well known for its advanced technologies particularly on robotics, we hope to get more of such investments in these areas, particularly as Malaysia is going full speed into the knowledge and digital economy,” added Dato’ Azman.

MIDA in collaboration with the Korea Chamber of Commerce and Industry (KCCI) will be organising the Malaysia-Korea Business Forum at the Mandarin Oriental Hotel Kuala Lumpur on 14 March 2019. The event is expected to gather 400 participants, which will mostly be Korean businessmen. The President of the Republic of Korea and the Minister of International Trade and Industry Malaysia will grace the event. KOTRA is one of the supporting organisations for this event.

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For further information, please contact:

Mr. Nelson Samuel

Director, Foreign Investment Promotion, MIDA

Tel: 03-2267 3787

Email: [email protected]

ABOUT MIDA

MIDA is the government’s principal promotion agency under the Ministry of International Trade and Industry (MITI) to oversee and drive investments into the manufacturing and services sectors in Malaysia. Starting operations in 1967 with a relatively small set up of 37 staff, MIDA has grown to become a strong and dynamic organisation of over 700 employees. Headquartered in Kuala Lumpur Sentral, MIDA today has 12 regional and 20 overseas offices. MIDA continues to be the strategic partner to businesses in seizing the opportunities arising from the technology revolution of this era. For more information, please visit www.mida.gov.my and follow us on Twitter, Instagram and Facebook.

ABOUT KOTRA

Korea Trade-Investment Promotion Agency (KOTRA) is KOTRA Republic of Korean government’s trade and investment promotion arm to enhance national prosperity and competitiveness. KOTRA assists interested parties worldwide to do business with Korea with extensive worldwide network of Korea Business Centres in 86 countries. Please visit www.kotra.or.kr

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Speech by CEO of MIDA_MIDA & KOTRA MoU Signing Ceremony

MIDA and KOTRA Signs MoU for Investment Promotion Cooperation

Second phase will commence at the end of April 2019

Kuala Lumpur, 21 March 2019 – A total of 24 graduates from the first batch of the Apprenticeship Programme received their ‘Sijil Kemahiran Malaysia’ at the convocation ceremony held at the Malaysian Investment Development Authority (MIDA)’s headquarters, today. The programme is a joint-effort between MIDA and the Ministry of Education Malaysia (MOE), the Department of Skills Development (DSD) and the Federation of Malaysian Manufacturers (FMM).

The Apprenticeship Programme is a 2-year initiative which targets PT3 (‘Pentaksiran Tingkatan Tiga’ or Form Three Assessment) leavers. This programme is adapted from the German TVET training model, of which 70 per cent of training is carried out in the industry while the remaining 30 per cent is conducted in training institutions. This is a fast-track programme which aims to provide skilled workers that can be absorbed immediately into the industry.

The event was attended by Mr. Zabidi Mahbar, Deputy Chief Executive Officer of MIDA and Dato’ Sri Norazman Ayob, Deputy Secretary General (Trade) of International Trade and Industry (MITI) who represented the Minister of MITI, YB Datuk Darell Leiking.

In YB Datuk Darell’s speech, which was read by Dato’ Sri Norazman Ayob, “This Apprenticeship Programme is a good example of MIDA’s industry-academia initiative to produce a high-skilled workforce capable of contributing substantially to the industry development. In line with the National Policy on Industry 4.0 or the Industry4WRD launched last year, the Government continues to promote cooperation between educational and skills institutions with the industry to ensure that graduates do not only have basic knowledge but are able to adapt to current technological changes. I am very delighted to know that MIDA will be bringing this programme to the national level with greater involvement from more than 100 companies and 700 students.”

The first series of the Apprenticeship Programme involved five companies namely Royal Selangor International, Top Glove, Gethi Engineering, Fire Fighter Industry and YKGI Holdings as well as three vocational colleges namely Setapak Vocational College, Klang Vocational College and Sungai Buloh Vocational College.

Mr Zabidi, Deputy CEO of MIDA who read the speech on behalf of Dato’ Azman Mahmud, CEO of MIDA, said, “The availability of skilled manpower is crucial in transforming all sectors of the economy towards knowledge-intensive activities, promoting employee productivity and attracting quality investments into Malaysia. Every year, the number of manufacturing projects approved by MIDA continues to increase. Therefore, industry-led training for the development of local skilled-workforce and industry-academia cooperation is required to ensure that the offerings are in line with industry demand. Hence, this program is a game-changer to drive the TVET agenda forward. The second phase of the MIDA-MOE-FMM Apprenticeship Programme will commence in late April 2019. MIDA urge more companies to come on board to create more placement opportunities for the participants of this programme.”

These graduates were presented with their ‘Sijil Kemahiran Malaysia’or Malaysian Skills Certificate in the areas of Industrial Machining, Electrical Technology, Electronic Technology and Welding Technology.

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About MIDA

MIDA is the Government’s principal promotion agency under the Ministry of International Trade and Industry (MITI) to oversee and drive investments into the manufacturing and services sectors in Malaysia. Starting operations in 1967, MIDA has grown to become a dynamic organisation of over 700 employees. Headquartered in Kuala Lumpur Sentral, MIDA has 12 regional and 20 overseas offices. MIDA continues to be the strategic partner to businesses, seizing opportunities arising from the technology revolution.

For further inquiries, please contact:

Mr. Mohamad Ismail Abu Bakar

Director, Industry Talent Management and Expatriate Division, MIDA

Tel.: 03-2267 6715 | Email: [email protected]

24 Students Graduated From MIDA-MOE-FMM Apprenticeship Programme

Smart manufacturing at forefront of the annual showcase

KUALA LUMPUR, 28 March 2019 – Unlocking greater productivity within Malaysia’s industrial sectors is one of the national strategies to drive continuous economic growth and expansion. The electrical and electronics (E&E) industry in particular, has the makings to further boost the national economy.

According to the 2018 Malaysian American Electronics Industry (MAEI) Survey Report, the E&E industry has enabled Malaysia to successfully position itself into the global supply chain of electronic manufacturing services, outsourced semiconductor assembly and testing as well as in research, design and development. Representing 36.7% of Malaysia’s total exports in 2017, the industry is expected to flourish even further and by 2020, is expected to generate a gross national income impact of RM53.4 billion and create 157,000 jobs.

This growth will be primarily supported by the megatrend of the IoT (Internet-of-Things) that has multiple applications and increased use of wearable gadgets, smart home applications, automotive industry and artificial intelligence (AI) technologies.

Given this backdrop, SEMI, the global not-for-profit association advancing the global electronics manufacturing supply chain, and MIDA will once again bring SEMICON Southeast Asia to Malaysia from 7-9 May 2019, at Malaysia International Trade and Exhibition Centre (MITEC).

Dato’ Azman Mahmud, CEO of the Malaysian Investment Development Authority (MIDA) said, “It has been fiveyears since MIDA embarked on this collaboration with SEMI to promote the technological advancements taking place in the semiconductor industry. We continue to find this partnership valuable as this event has been a good platform for our investors particularly the local players to learn about the latest technologies in the industry as well as to have networking opportunities with strategic partners. MIDA is committed to attracting high quality and high technology investments into the country. We find SEMI Southeast Asia’s goals through this upcoming flagship event to be in line with our aspirations to encourage the development of the entire manufacturing ecosystem. This valuable platform also provides opportunities for potential investors to explore what Malaysia could offer as an ideal investment destination.”

Mr.Ng Kai Fai, President of SEMI Southeast Asia, said “Globally, we foresee that the semiconductor market revenue will continue its healthy trajectory over the coming years amid a softening in 2019 given the rapid pace in the development of smart manufacturing, consumer technologies, autonomous vehicle, wireless communications and AI enabled by the IoT.

The E&E industry has a long history in Southeast Asia’s prosperity and is a significant part of Malaysia’s economic engine of growth. Against the backdrop of a semiconductor renaissance, as many would term it, E&E players around the world are leveraging on Industry 4.0 or Smart Manufacturing to increase productivity and achieve further growth without compromising on quality, cost or speed. It almost goes without saying that we need to accelerate the adoption of Smart Manufacturing within the Malaysian E&E sector to remain relevant and globally competitive.

There is also a general perception that the E&E industry is labour intensive, but many fail to realise that it is also highly automated and supported by state-of-the-art technologies. Therefore, in moving up the value chain, Malaysia needs to take into account the rise in automation and embrace smart manufacturing. With this in mind, SEMICON Southeast Asia 2019 is proud to be the first in Malaysia to bring a ‘live’ smart factory to the show, giving industry peers the opportunity to view and experience end-to-end microelectronics manufacturing brought to life. Each component along the pavilion’s multi-step line is displayed, virtually or with actual equipment on the floor from front-end through packaging and test to final board and system assembly.”

Recognised as the region’s premier industry gathering connecting innovators, products and technologies across the electronics manufacturing supply chain, SEMICON Southeast Asia 2019 is themed ‘Think Smart Make Smart’ andaims to foster the resilient and growing electronics manufacturing supply chain in Southeast Asia. The show will feature three themed pavilions, five global pavilions, and a host of keynote presentations and forums that will address key, trending topics within the semiconductor ecosystem.

To register for SEMICON Southeast Asia 2019 visit http://www.semiconsea.org/.

SEMICON Southeast Asia 2019 Strategic Partners:

Ministry of International Trade and Industry (MITI)

Malaysian Investment Development Authority (MIDA)

Supporting Partners:

Malaysia External Trade Development Corporation (MATRADE)

Malaysia Productivity Corporation (MPC)

Malaysian Industrial Development Finance (MIDF)

Malaysia Automotive Robotics and IoT Institute (MARII)

Standard and Industrial Research Institute of Malaysia (SIRIM)

Malaysian Institute of Microelectronic Systems (MIMOS)

Export-Import Bank of Malaysia Berhad (EXIM Bank)

Department of Standards Malaysia

InvestKL Malaysia

Invest Penang Malaysia

Malaysia Convention & Exhibition Bureau (MyCEB)

Ministry of Tourism, Arts and Culture

Semiconductor and Electronics Industries in the Philippines (SEIPI)

Singapore Manufacturing Federation (SMF)

The Center of Applied Data Science (CADS)

Silicon Saxony

DreamCatcher

Sponsors:

ADLINK Technology Singapore Pte Ltd Advantest

ASE Group ASM Technologies

Applied Materials Carl Zeiss Pte Ltd

Cimetrix^®Cohu

Edwards Vacuum Evatec

GLOBALFOUNDRIES Intel

Kanken Techno KLA Corporation

Kulicke & Soffa Kx

Lam Research Mi EQUIPMENT

OMRON PTW Asia

SCREEN Siemens Malaysia

Tokyo Electron UPS

ViTrox Corporation Berhad

About SEMI

SEMI^® connects more than 2,260 member companies and 1.3 million professionals worldwide to advance the technology and business of electronics manufacturing. SEMI members are responsible for the innovations in materials, design, equipment, software, devices, and services that enable smarter, faster, more powerful, and more affordable electronic products. Electronic System Design Alliance (ESD Alliance), FlexTech, the Fab Owners Alliance (FOA) and the MEMS & Sensors Industry Group (MSIG) are SEMI Strategic Association Partners, defined communities within SEMI focused on specific technologies. Visit www.semi.orgtolearnmore, contact one of our worldwide offices,and connect with SEMI on LinkedIn and Twitter.

About MIDA

MIDA is the government’s principal promotion agency under the Ministry of International Trade and Industry (MITI) to oversee and drive investments into the manufacturing and services sectors in Malaysia. Starting operations in 1967 with a relatively small set up of 37 staff, MIDA has grown to become a strong and dynamic organisation of over 700 employees. Headquartered in Kuala Lumpur Sentral, MIDA today has 12 regional and 20 overseas offices. MIDA continues to be the strategic partner to businesses in seizing the opportunities arising from the technology revolution of this era. For more information, please visit www.mida.gov.my and follow us on Twitter, Instagram and Facebook.

***

This news release is issued on behalf of

SEMI by Acendus Communications Sdn Bhd

For further enquiries, please contact Michael Poh at 012 395 5202 or

Reshvinder Kaur at 017 275 7985

Download:

MIDA CEO’s Talking Points_Pre-Event Media Conference_ SEMICON 2019

Posted on : 28 March 2019

 

Driving Local E&E Industry via SEMICON Southeast Asia 2019

Nine Malaysian Aerospace Companies Participated in 2018

Langkawi, 27 March 2019 – The Malaysian Investment Development Authority (MIDA) continues to explore opportunities for collaboration between local industry players and international aerospace companies through its ‘Industrial Linkage’ programmes. The first programme was held in Turkey last year and was participated by nine Malaysian companies. The initiative has led to a signing of a Memorandum of Understanding (MOU) between the Malaysian Aerospace Industry Association (MAIA) and Turkish Aerospace. Another way forward is to establish a consortium between Malaysian companies and Turkish companies to explore potential business opportunities between both countries.

During the Langkawi International Maritime and Aerospace (LIMA) Exhibition 2019, MIDA took the opportunity to organise a Seminar on the Aerospace Industry with the theme, ‘Gearing Up Towards Future Technologies’. The half-day seminar, which attracted 150 local and foreign participants, was officiated by Dato’ Lokman Hakim Ali, the Secretary-General of the Ministry of International Trade and Industry (MITI). Also present was Dato’ Azman Mahmud, Chief Executive Officer of MIDA.

The event was part of MIDA’s on-going engagement to enhance the competitiveness of the industry and discuss on the requirements of high technology industries and some of the new emerging technologies that will be the game changer for the aerospace industry in Malaysia. It featured speakers from Rolls-Royce, Composites Technology Research Malaysia (CTRM) and MTC Aerosystems who are leading experts in the industry. On talent development and research and technology elements, the speakers were from Universiti Kuala Lumpur Malaysia Institute of Aviation Technology (UniKL-MIAT) and Strand Aerospace Malaysia respectively.

Malaysia has the right ingredients to be the outsourcing centre for aerospace products and services. Since the launch of MEASAT-1 and first Malaysia Aerospace Industry Blueprint, the industry has maintained positive growth. The country is now recognised for its design and manufacturing capabilities of composites, aircraft components and avionics systems.Over the years, the country has developed a strong supply chain, consisting of both global and local industry players, supplying to global companies such as Airbus, Boeing and Rolls Royce. Based on the industrial ecosystem that has been established throughout the years, the industry has a lot of potentials.

For the period of January-December 2018, eleven projects were approved in the aerospace industry with investments of RM816 million. Foreign investments amounted to RM338 million (41%). The majority of these investment (RM478 million or 59%) were from domestic investments. The approved projects are expected to generate a total of 2,442 employment opportunities.

MIDA’s other initiatives include its Supply Chain Conferences with Tier 1 and Tier 2 companies. The most recent conference organised by MIDA was with Rolls Royce in December 2018. Such events aim to facilitate local vendor development and enhance the capabilities of Malaysian companies in supporting MNCs’ operations. From the Rolls Royce supply chain conference, there are now on-going business engagements between Rolls Royce and nine Malaysian companies to further explore future collaborations.

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For further information, please contact:

Mr. Zahirul Ishak

Transportation Technology Industry Division, MIDA

Tel: 03-2267 6621

Email: [email protected]

Download:

Welcoming Remarks by KSU MITI_ Seminar on Aerospace Industry (LIMA 2019)

MIDA to Organise Three More Linkages Programme For the Aerospace Industry In 2019

In compliance with the Movement Control Order announced by YAB Tan Sri Muhyiddin Yassin, Prime Minister of Malaysia to contain the Covid-19 outbreak, the Malaysian Investment Development Authority (MIDA) will close all its premises in KL Sentral and throughout the country from 18 March to 12 May 2020. MIDA has established its work-from-home arrangements and will be using various digital platforms to remotely connect with its stakeholders

Kuala Lumpur, 18 March 2020 – In compliance with the Movement Control Order announced by YAB Tan Sri Muhyiddin Yassin, Prime Minister of Malaysia to contain the Covid-19 outbreak, the Malaysian Investment Development Authority (MIDA) will close all its premises in KL Sentral and throughout the country from 18 March to 12 May 2020. MIDA has established its work-from-home arrangements and will be using various digital platforms to remotely connect with its stakeholders.

MIDA will continue to be responsive in providing advice and support to its clients. MIDA officials, particularly the Directors and Deputy Directors can be easily contacted through their respective emails at https://tinyurl.com/MIDAcontact or through [email protected]

For more information and updates, please visit www.mida.gov.my or follow MIDA on its social media platforms namely Twitter, Instagram, Facebook and LinkedIn.

ABOUT MIDA

MIDA is the government’s principal investment promotion and development agency under the Ministry of International Trade and Industry (MITI) to oversee and drive investments into the manufacturing and services sectors in Malaysia. Headquartered in Kuala Lumpur Sentral, MIDA has 12 regional and 20 overseas offices. MIDA continues to be the strategic partner to businesses in seizing the opportunities arising from the technology revolution of this era.

For more information, please contact:

Ms Zalina Zainol

Director, Corporate Communications Division, MIDA

Tel.: 03-2263 2437 Email: [email protected]

Posted on : 18 March 2020

MIDA Implements Work-From-Home Arrangements From 18 March to 12 May 2020