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Effective 15 March 2026, MIDA, as the Government’s principal Investment Promotion Agency will assume responsibility for the investment promotion and facilitation functions of InvestKL Corporation (InvestKL), as part of the Government’s initiative to streamline Malaysia’s investment promotion framework under a single entity.

InvestKL, established to attract multinational corporations to Greater Kuala Lumpur, will cease independent operations upon its absorption.

With this absorption, MIDA, will continue its promotion and facilitation mandate for Malaysia, including Greater Kuala Lumpur, strengthening existing investor relationships and deepening engagement with
multinational companies across all key sectors. The move eliminates institutional overlap and directs resources toward a more coordinated investor experience.

MIDA is committed to maintaining continuity in all ongoing investors and stakeholders engagements throughout this transition. Investors and stakeholders may direct enquiries to https://www.mida.gov.my/contact-us/

MIDA Absorbs InvestKL Functions Effective 15 March 2026

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Effective 16 March 2026, the MIDA Expatriate System (MES) consolidates end-to-end expatriate application management, from approval to ePass endorsement, within a single digital platform

Kuala Lumpur, 12 March 2026 –Malaysia is streamlining how companies hire and manage foreign talent. Effective 16 March 2026, the Malaysian Investment Development Authority (MIDA), the principal investment promotion agency for the Government, will centralise expatriate application processes for the manufacturing and selected services sectors under a single digital platform – the MIDA Expatriate System (MES). The move eliminates duplicated processes, reduces waiting time, and gives investors a transparent, end-to-end view of their applications at every stage.

Since 2003, MIDA has been officially appointed as an expatriate approving agency for manufacturing and selected services sectors. Since then, MIDA has built the infrastructure, expertise and institutional relationships to manage expatriate applications from end-to-end. A dedicated Immigration Unit, established in 2007, further strengthened this capability. Now, MES formalises and digitises this into a single coherent platform, providing investors for convenience to refer to only one place from submission to approvals to ePass endorsement.

Built on InvestMalaysia, MIDA’s official digital investment platform operational since 2017, MES integrates directly with the Malaysian Immigration System (MYImms), a primary Immigration’s computerised system, to manage the full lifecycle of expatriate applications through a single login and one-time document submission. Applications submitted via the Xpats Gateway platform are channelled into InvestMalaysia, which handles all stages including company registration, expatriate post and Employment Pass approvals, and ePass endorsement. The integration ensures faster processing, consistent evaluation standards nationwide, and clear tracking at every step.

Since June 2023, MIDA has evaluated more than 50,000 applications for expatriate posts and Employment Passes, underpinned by clear guidelines, experienced officers, established governance frameworks, and longstanding working arrangements with the Immigration Department. MES digitalises and integrates what were previously separate processes, bringing them into one coherent system without creating new infrastructure or additional layers of bureaucracy.

The system reinforces MIDA’s role as the sole agency mandated by the Ministry of Home Affairs since 2023 to evaluate and approve expatriate posts and Employment Pass applications for companies under MIDA’s purview through a more coordinated and efficient framework, while maintaining the necessary security, verification and compliance standards under the Immigration Department.

**Datuk Sikh Shamsul Ibrahim Sikh Abdul Majid, MIDA CEO**

MIDA Chief Executive Officer Datuk Sikh Shamsul Ibrahim Sikh Abdul Majid said the system delivers what investors have consistently asked for.

“Every time an investor has to chase an approval across different agencies, Malaysia loses ground. We cannot afford that. MIDA has been the mandated authority for expatriate approvals in this space since 2003. Over 50,000 applications have gone through our framework. The expertise is here, the systems are here, and now the platform is here too. MES is not a new idea. It is a long-overdue integration of what already works, built into something investors can rely on from day one.”

In addition, the Invest Malaysia Facilitation Centre (IMFC), a one-stop-centre for investment-related matters commenced in MIDA since 1 December 2023, strengthens the implementation of the MES by enabling closer coordination between the Immigration Department representative stationed at MIDA in managing expatriate-related processes. Through IMFC, the Department is able to support a more integrated and efficient workflow covering key stages of the applications.

MES is a collaborative initiative between MIDA, the Ministry of Home Affairs, the Immigration Department of Malaysia, and Malaysia Expatriate Services Centre Sdn. Bhd. (MyXpats Centre), a subsidiary of TalentCorp Group of Companies. The system is fully aligned with the Government’s agenda under the MADANI Economy Framework to rationalise investment promotion agencies, reduce duplication, and strengthen Malaysia’s position as a competitive investment destination.

Full application guidelines and FAQs will be available on MIDA’s website from 16 March 2026. Please visit https://www.mida.gov.my/forms-and-guidelines/ for more information.

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About MIDA

MIDA is the government’s principal investment promotion and development agency under the Ministry of Investment, 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 partners with investors at every stage of their journey, supporting sustainable growth and long-term value creation for Malaysia. For more information, please visit www.mida.gov.my and follow MIDA on X, Instagram, Facebook, LinkedIn, TikTok and YouTube.

For Media Inquiries, Please Contact:

Ms. Azrina Binti Hashim
Director, Industry Talent Management and Expatriate Division, MIDA
Phone: +603-2267 3454 | E-mail: [email protected]

¹Manufacturing: All sub-sectors, with a focus on high-technology, automotive (EEVs/NxGVs), and aerospace

Selected Services Sectors under MIDA’s purview include: Global Services Hub (GSH), Representative/Regional Offices (RE/RO), R&D services, hotel and tourism projects, private higher education (science courses) and technical & vocational training institutions, oil & gas services, green technology (renewable energy, integrated waste management, EV charging stations, solar leasing), integrated logistics services (ILS), cold chain facilities (CCF), digital infrastructure, and smart logistics complexes (SLC).

MIDA Launches One-Stop Digital System for Expatriate Applications, Cutting Red Tape for Investors

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Kuala Lumpur, 6 March 2026 – Malaysia recorded RM426.7 billion in approved investments for 2025, the highest level ever achieved. This represents an 11.0% increase from RM384.4 billion in 2024, marking continued growth in the country’s investment performance. This achievement comes amid a cautious global climate. The International Monetary Fund (IMF), in its World Economic Outlook, projected global growth at 3.3% in 2026¹

According to UNCTAD’s Global Investment Trends Monitor (January 2026), although global FDI flows rose 14% in 2025², much of the growth was concentrated in financial centres rather than in productive assets, with actual investment activity remaining subdued. In contrast, Malaysia’s performance is anchored in tangible project commitments: 8,390 approved projects across services, manufacturing, and primary sectors, expected to generate 244,902 new jobs.

Beyond the record total, key indicators also showed improvement. The number of approved projects rose by 9.2%, while expected job creation increased by 17.9%. Domestic investments (DI) totalled RM219.6 billion (51.5%), while foreign investments (FI) increased by 20.9% to RM207.1 billion (48.5%). Foreign investments grew across all three economic sectors: 63.4% in the primary sector, 28.7% in services, and 13.1% in manufacturing – reflecting continued international confidence in Malaysia as an investment destination. This balanced composition reflects strong domestic participation alongside sustained foreign investor interest.

The composition of FI³also reflects evolving regional trends. Singapore (RM58.3 billion) and the People’s Republic of China (RM58.0 billion) were the two largest sources, followed by the United States (RM15.1 billion), Japan (RM7.6 billion) and Hong Kong SAR (RM7.1 billion), rounding out the top five.

On the domestic front, five states emerged as the leading investment destination: Johor (RM110.0 billion), Selangor (RM83.9 billion), Wilayah Persekutuan Kuala Lumpur (RM63.3 billion), Pulau Pinang (RM32.9 billion) and Kedah (RM27.8 billion), collectively accounting for 74.5% of total approved investments.

“Malaysia’s record RM426.7 billion in approved investments for 2025 is a milestone that belongs to every Malaysian. Through MITI and MIDA’s sustained efforts, we have not only achieved the highest investment approvals in our nation’s history but done so with the right quality. Nearly 245,000 jobs are being created, growth is reaching our Less Developed States, and our manufacturing sector is steadily climbing the value chain. What gives me equal confidence is the balance of this achievement. More than half of our approved investments came from domestic sources, a clear signal that Malaysian businesses believe in this country’s direction and future. At the same time, foreign investment surged by 20.9 per cent, reflecting sustained international confidence in Malaysia as a destination for long-term, high-quality capital. With the New Incentive Framework now in effect and the Thirteenth Malaysia Plan guiding our national ambitions, MITI and MIDA remain fully committed to ensuring that every ringgit invested delivers lasting and meaningful value for the Rakyat.”

— YB Tuan Sim Tze Tzin, Deputy Minister of Investment, Trade and Industry (MITI)

SERVICES SECTOR: SUSTAINING ECONOMIC MOMENTUM

The services sector secured RM281.3 billion in approved investments – 65.9% of the national total – involving 7,004 projects and is projected to generate 134,926 new jobs, the largest share of total job creation.

Domestic sources contributed 63.0% (RM177.2 billion), while foreign investment made up 37.0% (RM104.1 billion), representing a 28.7% year-on-year increase.

Spearheading the Digital Frontier

The information and communication⁴sub-sector led the surge with RM152.9 billion. A lion’s share of this approvals is driven by digital investments in Artificial Intelligence (AI), Big Data, data centres and cloud computing.

Data centres are projected to contribute RM14.1 billion to Malaysia’s economy in 2025. And their energy demands are accelerating our transition to renewable energy, driving the expansion of Large-Scale Solar projects toward our goal of 70 per cent renewable energy by 2050⁵.

According to UNCTAD, data centres accounted for more than one-fifth of all global greenfield project value in 2025, with investments exceeding USD270 billion worldwide, driven by demand for artificial intelligence and expanding digital networks⁶. France, the

United States, and South Korea were among the leading host countries, while Malaysia was identified alongside Brazil, India, and Thailand as an emerging destination attracting large-scale digital investments.

MITI and MIDA have moved on two fronts:

● The Data Centre Task Force (DCTF), established since February 2025 as a joint platform between MITI and the Ministry of Digital, streamlines the industry’s trajectory to ensure Malaysia remains a competitive and investor friendly regional digital hub.

● Enhancements to the Digital Ecosystem Acceleration (DESAC) scheme, have introduced rigorous sustainability benchmarks, including Power Usage Effectiveness (PUE) and Water Usage Effectiveness (WUE) metrics, while prioritising local ecosystem development through greater participation of local vendors, the creation of high-value jobs, and closer collaboration with universities and technical institutes in IT and engineering to support the digital industry.

Beyond digital investments, the services sector’s growth was further supported by strong performances in:

● Real Estate: RM78.2 billion, 21.2% increase from RM64.5 billion in 2024, involving 1,123 projects across residential, serviced apartment, and commercial developments nationwide, including an integrated energy hub and deep-sea port project aligned with Malaysia’s green energy transition under NIMP 2030 and NETR.

● Utilities⁷: RM13.7 billion

● Support Services⁸: RM12.6 billion

● Distributive Trade: RM10.8 billion

MANUFACTURING SECTOR: ADVANCING THE VALUE CHAIN

The manufacturing sector recorded RM131.3 billion in approved investments in 2025, representing 30.8% of Malaysia’s total approved investments, across 1,354 projects. Foreign investments (FI) accounted for RM100.6 billion (76.6%), while domestic investments (DI) contributed a substantial RM30.7 billion (23.4%). This continued inflow of capital underscores Malaysia’s position as a competitive destination for high technology and advanced manufacturing activities.

A Talent-Driven Industrial Evolution

These investments are projected to generate 109,950 new jobs, with 82.3% (90,497 positions) earmarked for Malaysians. Nearly half of these positions (46.3%) fall within managerial, and technical categories, indicating a continued shift towards higher-skilled employment.

This workforce transformation is reflected in the Managerial, Technical, and Supervisory (MTS) Index, which measures the skill intensity in the manufacturing sector. In 2025, the MTS Index rose to 42.8% (representing 47,111 positions), marking 29.1% year-on-year increase from 41.6% in 2024. This progress supports Malaysia’s goal under NIMP 2030 to build a more competitive and high-income workforce.

To support this momentum, MIDA’s Special Taskforce on Talent Facilitation (STF-TF), comprising 17 ministries and academic institutions works to bridge the gap between evolving industrial needs and talent supply as investments move into higher-value activities.

This focus on higher-value activities is also reflected in key industrial sub-sectors. The E&E industry remains a cornerstone of Malaysia’s manufacturing prowess, securing RM28.5 billion, and affirming its role in the global technology supply chain through AI and green technologies integration. The Chemicals and Chemical Products industry recorded RM24.9 billion in investments, underscoring its importance to Malaysia’s advanced industrial ecosystem.

Other industries contributing to the manufacturing sector’s growth include:

● Transport Equipment – RM14.9 billion

● Basic Metal Products – RM11.1 billion

● Machinery and Equipment (M&E) – RM11.0 billion

INDUSTRIAL CLUSTERS: BUILDING CRITICAL MASS

Malaysia’s key industrial clusters continue to gain depth and momentum, evolving into strong, self-reinforcing ecosystems that attract quality investments. Pulau Pinang’s well-established E&E cluster secured 83 projects worth RM11.3 billion, with 78% driven by foreign investors. This reflects sustained confidence in the state’s five-decade strength in electronics and its critical role in global technology supply chains.

The automotive cluster in Tanjong Malim recorded six projects valued at RM3.6 billion, including new investments in electric and hybrid vehicle manufacturing. This reinforces Malaysia’s growing presence in next-generation mobility and clean transportation technologies.

Meanwhile, the southern petrochemical cluster spanning Pengerang, Tanjung Langsat and Pasir Gudang attracted nine projects worth RM7.5 billion, including Sustainable Aviation Fuel (SAF) production – positioning Malaysia in a niche expected to grow as aviation decarbonisation pressures mount.

PRIMARY SECTOR DEMONSTRATES OPPORTUNITY

The primary sector recorded RM14.2 billion in approved investments, representing 3.3% of the total approvals. Across 32 projects, the sector is projected to generate over 28 new jobs, with investments concentrated in mining (RM14.1 billion) and agriculture (RM51.4 million). While modest in scale, the sector reflects continued strategic interest in resource-based and upstream activities.

INCLUSIVE GROWTH: REACHING BEYOND THE TRADITIONAL CENTRES

The Less Developed States (LDS) – Perlis, Kedah, Terengganu, Kelantan, Sabah, and Sarawak – secured 941 projects worth RM66.0 billion in 2025, representing 15.5% of total national approved investments, and projected to create 23,617 jobs.

Kedah led with RM27.8 billion, driven primarily by manufacturing activities, followed by Sabah (RM14.6 billion) and Sarawak (RM14.2 billion). Although disparities remain, the investment trajectory in these states is consistent with the National Investment Aspirations’ emphasis on inclusiveness and the priorities under the 13th Malaysia Plan (2026-2030).

CONTINUED FOCUS ON QUALITY AND SUSTAINABLE INVESTMENT OUTREACH

Malaysia’s drive to attract quality and sustainable investments continues across global markets. From 2025 to date, MITI and MIDA have undertaken 13 high-level overseas missions to key markets including the United States of America, several European countries, and the People’s Republic of China, complemented by strategic working visits led by the Prime Minister, YAB Dato’ Seri Anwar Ibrahim. These engagements have opened new pathways for investment opportunities worldwide.

This proactive outreach is reflected in Malaysia’s current investment landscape, with a strong pipeline of high-potential projects, reinforcing its position as a competitive investment destination. As of 2 February 2026, MIDA is overseeing 172 pipeline projects with proposed investments totalling RM29.1 billion.

Of these, 101 projects are in the services sector (RM18.4 billion), while 71 projects are in the manufacturing sector (RM10.7 billion).

Additionally, RM65.5 billion in high-potential investment leads are currently under active negotiation by MIDA, reflecting sustained investor confidence in Malaysia’s economic fundamentals.

IMPLEMENTATION OF APPROVED MANUFACTURING PROJECTS

Malaysia’s investment performance is measured not only by approvals but by implementation. Strategic platforms such as the National Committee on Investment (NIC), the Investment and Trade Coordination Action Committee, and the Invest Malaysia Facilitation Centre continue to assume a pivotal role in ensuring smooth project execution.

MITI and MIDA continue to work closely with federal and state stakeholders to facilitate and monitor project implementation.

Between 2021 and 2025, the National Committee on Investment approved 4,848 manufacturing projects, of which:

● 84.9% have reached various implementation stages, ranging from production to factory construction and machinery installation.

● 12.0% are in the planning phase, focusing on site selection and consultations with developers.

● Only 3.1% of projects were abandoned, highlighting Malaysia’s strong project realisation rate.

Annual data shows that:

● More than 90% of approved manufacturing projects in 2021 and 2024 have been implemented.

● Projects approved in 2025 have recorded a 62.2% implementation rate, in line with the typical 18 to 24 months development cycle for completion, depending on project complexity.

“Malaysia’s investment success is no accident – it is the product of clear policies, consistent institutions, and the reforms we put in place since early 2023. With the MADANI Economic Framework, NIMP 2030, and MITI’s policy architecture giving investors certainty, and with 84.9% of approved manufacturing projects already realised or underway — we have shown how Malaysia can stay resilient even as the world turns uncertain. The new facilities, advanced technologies, and quality jobs created in recent years reflect our whole-of-nation capability to turn investor confidence into industrial growth, while maintaining Malaysia’s position as a competitive and resilient investment destination.”

— YM Tengku Datuk Seri Utama Zafrul Aziz, Chairman of MIDA and Senior Political Advisor to the Prime Minister.

MODERNISING THE INVESTMENT LANDSCAPE

Malaysia’s record investment performance is being matched by reforms to strengthen its investment architecture. The reforms aim to ensure that Malaysia’s future growth is defined not only by volume, but by quality and long-term economic impact:

● New Incentive Framework (NIF): Effective 1 March 2026, the NIF shifts Malaysia toward an outcome-based model. It prioritises high-impact investments that meet specific National Investment Aspirations (NIA). The framework begins with the manufacturing sector, with a phased rollout to the services sector scheduled for the second quarter of 2026.

● Industrial Development Act 2026: Replacing the Industrial Coordination Act 1975, this represents a generational update of Malaysia’s industrial regulatory framework, introducing a more agile, transparent and facilitative approach to ensure regulation keeps pace with technological advancement and evolving investor expectations.

● Climate Change Bill: Anticipated to be tabled in the current parliamentary session, the Bill will establish the legal architecture for Malaysia’s transition to a low-carbon economy, providing the governance clarity and market signals that sustainability conscious investors increasingly require.

● MIDA Transformation Agenda: MIDA continues to strengthen its role in coordinating the end-to-end investor journey and driving investment policies that support a sustainable and competitive industrial ecosystem.

These initiatives are engineered to reinforce Malaysia’s competitiveness, ensuring that record-breaking investment inflows translate into tangible economic benefits and high quality opportunities for the Rakyat.

A FUTURE BUILT ON RESILIENCE, INNOVATION, AND ECONOMIC PROSPERITY

Malaysia’s transformative investment journey represents a bold step towards building a resilient, innovative, and prosperous future. With a robust policy framework and unwavering investor confidence, the nation is poised to strengthen its global standing as a premier, world-class investment destination.

“At MIDA, our focus goes beyond attracting investments, it is about ensuring that approved projects are implemented efficiently and successfully on the ground. Over the years, we have strengthened our facilitation mechanisms, enhanced coordination across government agencies, and deepened our engagement with investors to support the timely realisation of projects. These efforts reflect MIDA’s ongoing evolution into a more agile and responsive investment promotion agency, committed to partnering with investors throughout their journey and delivering lasting value to Malaysia’s economy.”

— Datuk Sikh Shamsul Ibrahim Sikh Abdul Majid, CEO of MIDA

From Left: Datuk Bahria Mohd Tamil, Deputy Secretary General (Investment & Management) MITI; YB Sim Tze Tzin, Deputy Minister of MITI; YM Tengku Datuk Seri Utama Zafrul Tengku Abdul Aziz, Chairman of MIDA and Senior Political Advisor to the Prime Minister; and Datuk Sikh Shamsul Ibrahim Sikh Abdul Majid, Chief Executive Officer of MIDA.

¹https://www.imf.org/en/publications/weo/issues/2026/01/19/world-economic-outlook-update-january-2026

²https://unctad.org/publication/global-investment-trends-monitor-no-50

³Compilation of foreign investments is based on the ultimate source. The ultimate source refers to the home country of the foreign investor that holds control over the decision-making process and investment management, even if the investment flows through several intermediary sources.

⁴Information and communication comprise of Telecommunications, MSC Status/MD Status and ICT Services

⁵BNM Quarterly Bulletin Vol. 41 No. 3 Third Quarter 2025

⁶https://unctad.org/news/data-centres-are-reshaping-global-investment-landscape

⁷Utilities comprise of Energy (Generation, Transmission and Distribution) and Water (Development of Water Services Industry)

⁸Support Services comprise of R&D, Logistics Services, Green Technology, Design Services, Professional Services and Other Support Services

***THE END***

About MIDA

MIDA is the government’s principal investment promotion and development agency under the Ministry of Investment, 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 partners with investors at every stage of their journey, supporting sustainable growth and long term value creation for Malaysia. For more information, please visit www.mida.gov.my and follow MIDA on X, Instagram, Facebook, LinkedIn, TikTok and YouTube.

For media inquiries, please contact:

Ms. Fatmah Ahmad
Director of Corporate Communications Division
Email: [email protected]
Tel.: +603-2263 2428

Explainer: DOSM’s FDI and MIDA’s approved Foreign Investment (FI)

There has been some confusion on the term Foreign Direct Investment (FDI) as reported by the Department of Statistics Malaysia (DOSM), and the approved Foreign Investment (FI) data as captured by MIDA. To clarify, the Government has determined the use of these terms since December 2023, as follows:

● MIDA reports on approved Foreign Investments (FI) – These represent proposed investment projects with foreign equity participation that have been granted licenses, incentives, permits, grants, soft loans, etc., by relevant Ministries and Agencies. They are measured based on CAPEX and OPEX, such as land, building, and resources. Approved FI reflects potential investments into the country which will be realised into actual inflows over a specified period, usually across multiple years. On average, 18-24 months is the typical duration to complete the required regulatory steps between approval and implementation, before projects get off the ground. The release of approved FI data serves as a forward-looking indicator of investor’s confidence, the strength of Malaysia’s investment prospects, and the key sectors attracting foreign investors.

● DOSM reports on Foreign Direct Investment (FDI) – This figure refers to investments by non-residents via transactions of financial instruments, including equity, reinvestment of earnings and debt instruments (such as inter-company loans and advances, trade credits, etc.). For instance, if a foreign investor buys shares in a Malaysian company, this would be captured by DOSM’s FDI data. FDI statistics for Malaysia are compiled as part of the balance of payments, which is compiled based on the IMF’s BPM6 guidelines.

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Infographics (BM)

Malaysia Breaks Investment Record with RM426.7 Billion in 2025, Up 11% Year-On-Year; Creating Over 240,000 New Jobs

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Following the announcement made by MOHA (Ministry of Home Affairs) on 14 January 2026, a new Expatriate Employment Policy as Cabinet’s approval on 17 October 2025 was introduced to restructure the salary rates and employment tenure for Employment Pass holders, which will be officially enforced on 1 June 2026.

As conveyed by MIDA’s Chief Executive Officer, the new policy is intended to encourage companies in Malaysia to prioritise the hiring of local talent for both temporary and permanent positions, while not adversely affecting foreign investment in the country.

Expatriates falling under Employment Pass Categories I, II, and III will be subject to the following new eligibility criteria and tenure limits across all sectors:

EP Category	Revised Policy
Category I	Minimum salary increased to RM20,000, with a tenure limit of 10 years.
Category II	Minimum salary increased to RM10,000 – RM19,999, with a tenure limit of 10 years (requires replacement plan).
Category III	Minimum salary increased to RM5,000 – RM9,999 (or RM7,000 – RM9,999 for specific manufacturing sectors), with a tenure limit of 5 years (requires replacement plan).
Dependents: Expatriates in all three categories are permitted to bring dependents.

*Please note that all new and renewal applications submitted on or after 1 June 2026 must comply with these new regulations.

For more information on the implementation mechanism and transition process, MOHA will organize engagement sessions with industry stakeholders and employers to ensure business continuity. We will provide updates on upcoming engagement schedules organized by the Ministry to explain policy implications and implementation details.

For any clarification, please do not hesitate to contact MIDA at the Foreign Investment Division and Industry Talent Management & Expatriate Division, MIDA, or via email at [email protected].

Announcement: Implementation of New Expatriate Employment Policy

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KUALA LUMPUR, 16 February 2026 — MIDA’s Invest Malaysia Facilitation Centre (IMFC), established in December 2023 to ensure approved investments translate into operational reality, has resolved more than 44,000 investor cases with an implementation rate of 99.9 percent. MIDA Chairman YM Tengku Datuk Seri Utama Zafrul Tengku Abdul Aziz shared the milestone today at an appreciation luncheon for IMFC partner agencies.

These figures reflect a deliberate shift in Malaysia’s approach to investments, to cover not only promotion but also effective execution. Out of 4,377 manufacturing projects approved between 2021 to September 2025, 90 percent are already operational.

These figures were shared during MIDA’s appreciation luncheon to recognise the contributions of officials and representatives from 12 partner ministries and agencies who have been instrumental in IMFC’s success, particularly in ensuring a smoother investor journey, and realising approved investments as quickly as possible for the benefit of Malaysian companies and SMEs, as well as our people.

“Investment promotion cannot end with the issuance of an approval letter. What matters is what happens after,” said YM Tengku Zafrul. “Every one of those 44,000 cases represents a moment where an investor needed a problem solved quickly and competently. IMFC exists to provide speedy resolution, regulatory certainty and access to the right resources for investors – which collectively strengthen Malaysia’s
competitiveness and safeguard livelihoods for Malaysia to deliver the benefits of the ‘People Economy’ on the ground.”

A WHOLE-OF-GOVERNMENT OPERATION

The IMFC operates as a coordinated platform spanning 12 ministries and agencies. The Immigration Department of Malaysia has facilitated 34,099 cases, the Royal Malaysian Customs Department 4,418, and the Inland Revenue Board 1,767. Tenaga Nasional Berhad, the Ministry of Human Resources, PERKESO, and Telekom Malaysia have collectively addressed hundreds more.

The practical consequences of this coordination are visible in individual cases. In one instance, IMFC facilitation compressed what would ordinarily be a five-month power infrastructure process into three days, enabling a major semiconductor manufacturer to remain on schedule. In another, streamlined customs clearance at entry ports supported a multinational’s expansion programme. A third company benefited from swift resolution of an electrical supply issue that could have delayed operations by months.

MIDA Chief Executive Officer Datuk Sikh Shamsul Ibrahim Sikh Abdul Majid attributed IMFC’s effectiveness to a culture of end-to-end accountability.

“What distinguishes the IMFC model is something that goes beyond structure and process. It is a mindset,” said Datuk Sikh Shamsul. “The IMFC team operates with a sense of ownership over every case. There is no passing of files from one desk to another without accountability. When an agency partner is needed, the coordination happens immediately, not after several rounds of correspondence. This end-to-end accountability is what investors notice, and it is what sets Malaysia apart.”

RISING IN GLOBAL RANKINGS

Malaysia’s improvement in the IMD World Competitiveness Ranking, from 34th to 23rd, reflects the cumulative effect of these facilitation efforts. MIDA views the country’s ability to convert approved investments into functioning operations as a meaningful competitive differentiator amid geostrategic tensions, supply chain reconfigurations, and rising economic nationalism.

“Through extensive conversations with investors, both foreign and domestic, I have observed that their requirements extend beyond financial incentives alone,” YM Tengku Zafrul said. “They consistently emphasise three fundamental priorities: speed of execution, policy certainty and consistency, and strategic access to skilled talent, reliable infrastructure, and senior decision-makers who understand their business.”

NATIONWIDE EXPANSION AND STRATEGIC REORIENTATION

IMFC Johor, launched in February 2025 as part of the Johor-Singapore Special Economic Zone framework and jointly operated by IRDA, Invest Johor, and MIDA, has received approximately 1,000 investment enquiries since its establishment. In 2026, The Government intends to expand the IMFC model to other regions, ensuring that quality investment facilitation extends beyond the Klang Valley.

The expansion coincides with a broader strategic shift. MIDA’s New Incentive Framework, implemented in the first quarter of 2026, directs support toward investors contributing advanced technologies, creating quality employment, and delivering substantive returns to the Malaysian economy. Through the InvestLokal initiative, MIDA is also strengthening its engagement with domestic investors, particularly small and medium enterprises.

MIDA’s TRACK (Project Implementation and Facilitation Office) complements IMFC through its On-Track Digital System, which provides real-time project tracking to enhance transparency, accountability, and operational efficiency from approval through to implementation.

“Given finite public resources, we must be strategic and deliberate in allocating our support,” YM Tengku Zafrul said. “We are now directing support toward investors who contribute advanced technologies, create quality employment, and deliver substantive returns to the Malaysian economy. We are shifting our emphasis from volume to value, from approvals to outcomes.”

Datuk Sikh Shamsul added: “From an operational perspective, MIDA is fully prepared to execute whatever strategic direction is set. Our team is more experienced, more integrated, and more committed than ever before. The foundation we have built through IMFC over the past two years gives us the confidence to move into the next phase.”

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About MIDA
MIDA is the government’s principal investment promotion and development agency under the Ministry of Investment, 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 partners with investors at every stage of their journey, supporting sustainable growth and long-term value creation for Malaysia. For more information, please visit www.mida.gov.my
and follow MIDA on X, Instagram, Facebook, LinkedIn, TikTok and YouTube.

For media enquiries:

MIDA
Cik Zabidah Daud
Director, Post-Investment Division
Email : [email protected]
Tel.: +603- 2267 6719

Invest Malaysia Facilitation Centre: More Than 44,000 Investor Cases Resolved, 99.9% Implementation Rate Within Two Years

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Q3 / Outlook Q4 2025

The MIDA Business Conditions Survey (BCS) aims to provide timely insights into the economic outlook of Malaysia’s manufacturing sector.

By assessing key indicators such as sales, production levels, and investment activities, the report serves as a vital tool for stakeholders to monitor industry performance, anticipate trends, and make informed decisions.

The survey’s findings reflect the sentiment of the business community, offering a comprehensive view of the sector’s resilience, potential challenges, and future growth prospects.

Each BCS provides a snapshot of the sector’s current state, while the 3-month forward outlook projects potential trends, enabling policymakers and industry players to take proactive steps for sustainable economic development.

Report

The full version of this document is available for purchase via E-stats: e-statsmida

Business Conditions Survey (BCS)

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Datuk Sikh Shamsul Ibrahim Sikh Abdul Majid, Chief Executive Officer (CEO) of the Malaysian Investment Development Authority (MIDA), congratulated DayOne, saying:

“We are honoured that Malaysia has been chosen as DayOne’s preferred hub to expand its Asia Pacific services operations spanning across the areas of finance, procurement and corporate support functions that anchor high value knowledge-based roles in Malaysia. Coupled with the establishment of its regional training centre to train and develop data centre operations engineers and technical talent ready for regional deployment, this milestone further strengthens Malaysia’s digital ecosystem.

This investment not only underscores our continued success in attracting high-quality, technology-driven investments, but also creates high-skilled employment opportunities for Malaysians. Importantly, it aligns with the Government’s aspirations to accelerate the digital economy, build AI and strengthen digital talent capabilities, and cultivate a resilient, future-ready local digital talent pool in line with the New Industrial Master Plan 2030 (NIMP 2030) and Malaysia’s broader digital transformation aspirations.”

DayOne’s Establishment of a Regional Hub and Training Centre in Malaysia

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Kuala Lumpur, 13 February 2026 — Heng Hiap Industries Sdn. Bhd. (HHI), Malaysia’s leading integrated plastic recycler and circular solutions provider, announced that it has become the first mechanical and chemical plastic recycler in Southeast Asia to receive B Corporation (B Corp) certification. This achievement follows the company’s successful grant allocation under the Domestic Investment
Accelerator Fund for ESG (DIAF-ESG) by the Malaysian Investment Development Authority (MIDA).

Verified by To-Cert Limited, the independent verification body appointed by B Lab, the certification recognises HHI’s commitment to high standards of social and environmental performance, transparent governance, and responsible business conduct. This milestone marks a significant step in Malaysia’s industrial transition toward a purpose-driven and sustainable economy.

MIDA’s initiative in advocating ESG adoption and practices to the local industry players, particularly Small and Medium Enterprises (SMEs) and Mid-Tier Companies (MTCs), underlines the agency’s commitment to advancing the sustainability agenda for Malaysian businesses. Through fiscal incentives, advisory services, seminars and facilitation programmes, MIDA actively supports companies in adopting low-carbon
technologies, improving resource efficiency, and building globally competitive green industries.

Datuk Sikh Shamsul Ibrahim Sikh Abdul Majid, CEO of MIDA, commented, “As a government agency entrusted to promote a sustainable investment ecosystem, MIDA will continue encourage companies to adopt ESG practices and support Malaysia’s net zero commitment by 2050. HHI’s B Corp certification exemplifies how innovation, social impact and sustainable manufacturing can drive the next generation of high-value green industries.”

Mr. Kian Seah, CEO of HHI, added, “This certification is not the end game but the foundation for circular trust. Every kilogram of recycled plastic now carries a story of inclusion, traceability, and verified impact. We are grateful for MIDA’s guidance, which has been invaluable in aligning our sustainability journey with Malaysia’s national industrial agenda.”

Setting a new industrial benchmark for circular transformation

HHI’s B Corp certification recognises nearly two decades of innovation in plastic recycling. The company pioneered a model that transforms post-consumer and ocean-bound plastic scrap into traceable, premium-grade recycled resins for the international markets, exporting to more than 40 countries.

HHI’s efforts translate the New Industrial Master Plan 2030 (NIMP 2030) and the National Industry ESG Framework into actionable business practices that support the UN’s Sustainable Development Goals, while advancing Malaysia’s economic growth alongside environmental stewardship.

While Mr. Thomas Ng, the Lead of B Market Builder Southeast Asia, the regional chapter of B Lab, highlighted, “HHI is a benchmark for manufacturing companies embedding circularity and inclusion into governance. Its B Corp journey shows how industrial recyclers can lead in delivering measurable positive impact.”

Driving investor confidence in Malaysia’s circular manufacturing future

With this certification, HHI joins a global community of more than ten thousand B Corps and remains among the few heavy industry companies in Asia recognised for measurable environmental and social outcomes.

HHI will continue expanding its Asia to Europe and the United States’ circular corridor, supplying verified recycled materials and compliance documentation to global brand owners navigating new international recycled content regulations.

By converting locally collected post-consumer and ocean-bound plastic scrap into feedstock for high-quality mechanical and chemical recycling, HHI demonstrates that Malaysia can deliver impact-verified materials at global scale.

-THE END-

About MIDA

About Heng Hiap Industries (HHI)
Founded in 2002 in Pasir Gudang, Johor, HHI is an integrated recycler specialising in certified recycled polypropylene and polyethene resins. Its feedstock upcycling model connects independent recycling operators, small yards, and industrial sources into a traceable circular supply chain. HHI recovers both post-consumer and ocean-bound plastic scrap by converting them into certified resins for global brand owners. The company exports to up to forty countries and collaborates with leading manufacturers to build a trusted circular economy in Asia. www.henghiap.com

About BMB SEA

B Market Builder Southeast Asia is the regional partner of the global non-profit B Lab Network, with a mission to advocate for businesses committed to balancing profit and purpose, benefitting people, planet, and communities. B Lab drives economic systems change through standards, tools, and policies that enable companies to create measurable positive impact.
https://bcorpsea.org/

For media enquiries, please contact:

MIDA
Mr. Syed Kamal Muzaffa Syed Hassan Sagaff
Director, Sustainability Division
Email: [email protected]
Tel.: +603-2267 3636

Heng Hiap Industries (HHI)
Mr. Kian Seah
CEO and Founder
Email: [email protected]

BMB SEA
Tan Ee Beng
Director
Email: [email protected]

HHI Becomes Southeast Asia’s First Integrated Mechanical and Chemical Plastic Recycler Awarded B Corp Certification

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HSINCHU, Taiwan / PENANG, Malaysia, 9 February 2026 – Chipbond Technology Corporation, a leading global provider of semiconductor packaging and testing services, today marked the official opening of its new advanced manufacturing facility, Chipbond Technology Malaysia Sdn. Bhd., located in Valdor Industrial Park, Batu Kawan, Penang, Malaysia.

The establishment of the facility represents a significant milestone in Chipbond’s global expansion strategy, with a total investment of close to US$200 million (approximately RM800 million). The new plant strengthens Malaysia’s position within the global outsourced semiconductor assembly and test (OSAT) value chain, while reinforcing Malaysia’s role as a key hub for advanced semiconductor manufacturing.

Highlighting the broader impact of the project, Datuk Sikh Shamsul Ibrahim Sikh Abdul Majid, Chief Executive Officer of the Malaysian Investment Development Authority (MIDA), said, “This facility represents a new investment that contributes to the expansion of Malaysia’s OSAT capacity and ecosystem while further strengthening the nation’s semiconductor competitiveness. It brings deeper integration, technology transfer, and the building of local capabilities that will benefit Malaysia’s semiconductor ecosystem for years to come. Chipbond is bringing advanced OSAT expertise in wafer bumping and chip-scale packaging that requires highly skilled engineers. Your commitment to structured training programmes and university collaborations will equip Malaysians with the skills needed for complex, high-value semiconductor production. With companies like Chipbond anchoring advanced capabilities here, Malaysia is building an integrated semiconductor ecosystem where local talent and SMEs can participate meaningfully in global value chains.”

Dato’ Loo Lee Lian, Chief Executive Officer of InvestPenang (representing the Right Honourable Mr. Chow Kon Yeow, Chief Minister of Penang), stated, “Backed by more than 50 years of industrialisation and a strong foundation in OSAT, Penang has built a mature ecosystem, a skilled talent base, and a conducive business environment. Investments such as Chipbond’s are strategic in driving Penang’s shift towards advanced packaging and innovation-led growth and aligning with the National Semiconductor Strategy (NSS). We look forward to seeing strong knowledge transfer, talent upskilling, and deeper collaboration, further strengthening Penang’s position as a regional hub for advanced semiconductor packaging.”

Mr. Wu Fei Jain, Chipbond Chairman, emphasised, “This new facility represents Chipbond’s commitment in expanding our global footprint and assuring customers of stable and continuous supply. Without the supports of Malaysia government, contributions of our customers and the tireless dedications of Chipbond teams, we would not be able to achieve this challenging goal within such a compressed time frame.”

The Penang facility will offer advanced semiconductor processes, including advanced wafer bumping, wafer-level chip-scale packaging (WLCSP) and testing, with an initial capacity of 10,000 wafers and 100 million WLCSP unites per month. The plant is also equipped to support flip-chip packaging assembly and test, providing flexibility for future technology and customer requirements. Internal qualification of the facility is scheduled for completion by the end of 2025, with customer qualification commencing in the first quarter of 2026.

The establishment of Chipbond Technology Malaysia Sdn. Bhd. underscores Malaysia’s continued attractiveness to global semiconductor players and highlights the country’s growing role in supporting resilient, high-value and innovation-driven semiconductor supply chains.

-THE END-

About MIDA

About InvestPenang

InvestPenang is the Penang State Government’s principal agency for the promotion of investment. Its objectives are to develop and sustain Penang’s economy by enhancing and continuously supporting business activities in the State through foreign and local investments, including spawning viable new growth centers. To realise its objectives, InvestPenang also runs initiatives like the SMART Penang Center (providing assistance to SMEs), Penang CAT Center (for talent attraction and retention), Global Business Services (GBS) Focus Group (promoting and developing digital economy) and Penang Silicon Design @5km+ (establishing a unique and interconnected ecosystem for IC design and technology enterprises). For more information, please visit https://investpenang.gov.my/ and follow InvestPenang’s social media channels: Facebook; LinkedIn; WhatsApp Channel and TikTok.

About Chipbond Technology

Established in 1997, Chipbond is a prominent global provider of semiconductor packaging and testing services, specialising in solutions for display driver integrated circuits. The company offers a diverse portfolio of technical processing, including bumping, assembly, and compound semiconductor manufacturing for advanced wafers. Beyond their industrial capabilities, the firm maintains a strong focus on corporate governance and environmental, social, and governance (ESG) initiatives, consistently ranking high in ethical management assessments. Investors can access comprehensive financial reporting and dividend data, while prospective employees are presented with information regarding career development and workplace benefits. Ultimately, this source serves as a central hub for stakeholders to explore the company’s technological innovations, commitment to sustainability, and strategic mission within the electronics supply chain.

For media enquiries, please contact:

MIDA

Mohd Mazlan Mokhtar (Mr.)
Director of Electrical & Electronics Division
T: 03- 2267 6655
Email: [email protected]

InvestPenang

Elaine Cheah / Arief Ferdaus
Communications & Business Intelligence
Tel: +604-646 8833
Email: [email protected] / [email protected]

Chipbond Technology

Chipbond IR
Email: [email protected]
Website: https://www.chipbond.com.tw/en

Chipbond Technology Strengthens Malaysia’s Advanced Semiconductor Ecosystem with New Penang Facility

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KULIM, Kedah, 5 February 2026 – Menicon Malaysia Sdn. Bhd., a wholly owned subsidiary of Japan-based Menicon Co., Ltd., and a global provider of comprehensive ophthalmic solutions spanning lens materials, design and lens care products, today officially launched its new manufacturing plant at the Kulim Hi-Tech Park, reinforcing Malaysia’s position as a high-value medical device manufacturing.

With a total approved investment of RM1 billion, the new facility represents Menicon’s most advanced and future-ready manufacturing site globally. Designed around a fully integrated smart factory concept, the plant combines automated production, logistics, warehousing and quality control within a digitally connected ecosystem, enabling stable, high-volume production of silicone hydrogel contact lenses.

Datuk Sikh Shamsul Sikh Abdul Majid, Chief Executive Officer of the Malaysian Investment Development Authority (MIDA), said Menicon’s expansion reflects strong investor confidence in Malaysia’s industrial capabilities and talent base.

“Menicon’s smart factory investment underscores Malaysia’s growing strength in advanced, high value-added manufacturing. Beyond export growth, this project drives meaningful technology transfer, accelerates the development of high-skilled local talent, including engineers, technicians and TVET graduates, and supports Malaysia’s shift towards innovation-driven manufacturing under the New Industrial Master Plan 2030. These are precisely the investments that generate long-term economic impact and resilience for Malaysian”, he said.

Mr. Koji Kawaura, President & CEO of Menicon Co., Ltd., commented, “With the start of operations at the Malaysia Plant, we will significantly strengthen our supply capabilities to meet the rapidly growing global demand for 1-day lenses. I am confident that this will not only accelerate Menicon’s further growth in global markets but also help us fulfil our mission of protecting eye health for people around the world.” His remarks underscored the vital role the new plant will play in Menicon’s future global expansion.

The facility supports large-scale, high-efficiency production of daily disposable contact lenses and related components, leveraging Menicon’s proprietary manufacturing technologies. The Malaysia facility’s output is export-oriented, supplying key international markets including Japan, Germany and the United States, and contributing directly to Malaysia’s export earnings while strengthening its position within the global ophthalmic value chain.

Menicon Malaysia currently employs 150 personnel, with approximately 93 per cent Malaysians, and places strong emphasis on structured talent development through internship, technical training and hands-on exposure to smart manufacturing and advanced automation system. These initiatives support Malaysia’s broader human capital and TVET enhancement agenda, particularly in high-precision medical device manufacturing.

In addition to driving export, the localisation of contact lens and component manufacturing supports Malaysia’s import substitution agenda, reducing reliance overseas supply while enhancing supply chain resilience for critical medical consumables.

-END-

About MIDA

About Menicon
Since developing Japan’s first corneal contact lens in 1951, Menicon has contributed to society under its corporate slogan: “Providing better vision for a better life.” Prioritizing eye safety, we focus on R&D, advanced proprietary manufacturing technologies, and ongoing eye‑health support through the MELS Plan. Headquartered in Nagoya, we operate globally in more than 80 countries, offering comprehensive solutions ranging from lens materials and design to the production of lens care products.

For media inquiries, please contact:

MIDA
Ms. Azlina Hamdan
Director, Life Sciences & Medical Technology Division
Email: [email protected]
Tel: +603-2267 3791

Menicon
Contact Person
Designation
Email:
Tel:

Menicon Advances High-Value Ophthalmic Manufacturing in Malaysia With Smart Factory Launch

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Seremban, Negeri Sembilan, Malaysia, 5 February 2026 – Nexperia successfully hosted its Global Supplier Day yesterday at its high‑volume production facility in Seremban, Negeri Sembilan. The event brought together key partners, including 40 global suppliers from around the world, to align on the company’s expansion strategy and future collaboration opportunities.

In his opening address, Nexperia CEO a.i. Stefan Tilger highlighted the crucial role suppliers play in meeting the rising global demand for semiconductors. Tilger stated, “Our suppliers play a vital role in our ability to serve customers worldwide, and we are grateful for the strong partnerships we have built together. As we navigate this period of operational disruption, our solid financial foundation and shared commitment give us full confidence in the road ahead. We look forward to continuing this journey together, built on trust, transparency, and long-term collaboration.”

Nexperia was also honoured to welcome TS Norhizam Ibrahim, Executive Director, Manufacturing Development (Non‑Resource) of the Malaysian Investment Development Authority (MIDA), who delivered a keynote speech addressing Malaysia’s growing strategic role in the global semiconductor ecosystem. In his remarks, TS Norhizam Ibrahim shared, “This Global Supplier Day serves as a strategic launchpad to reinforce Malaysia’s industrial resilience and build supply chains that can withstand global shocks. Our priority is to seamlessly integrate capable Malaysian companies into the global semiconductor value chain, while strengthening long-term partnerships with industry leaders such as Nexperia.”

The Global Supplier Day comes at a strategic moment for Nexperia as its Seremban site prepares for an accelerated ramp‑up of production capacity. This expansion will contribute to the company’s broader goal of strengthening geographical diversification and ensuring reliable, stable supply to customers worldwide.

Nexperia emphasised that this growth trajectory is only possible through close cooperation with its global network of suppliers. Maintaining strong partnerships remains essential for achieving the company’s ambitious expansion plans and supporting the long‑term resilience of the semiconductor industry, while also reinforcing Malaysia’s position as a strategic hub in the global semiconductor ecosystem.

1. Mr. Mohd Mazlan Mokhtar, Director of Electrical and Electronics Division (fourth from left)
2. Mr. Stefan Tilger, CEO of Nexperia B.V (fifth from left)
3. Ts. Norhizam Ibrahim, Executive Director Manufacturing Development (Non-Resource) of MIDA (sixth from left)
4. Mr. Achim Kempe, Chief Operating Officer (COO) of Nexperia B.V (fifth from right)
5. Ms. Noorzita Mohamad Nor, Director of Business Services and Regional Operations Division (right)

-END-

About MIDA

About Nexperia

Headquartered in the Netherlands, Nexperia is a global semiconductor company with a rich European history and over 12,500 employees across Europe, Asia, and the United States. As a leading expert in the development and production of essential semiconductors, Nexperia’s components enable the basic functionality of virtually every commercial electronic design in the world – from automotive and industrial to mobile and consumer applications.

The company serves a global customer base, shipping more than 110 billion products annually. These products are recognized as benchmarks in efficiency – in process, size, power, and performance. Nexperia’s commitment to innovation, efficiency, sustainability, and stringent industry requirements is evident in its extensive IP portfolio, its expanding product range, and its certification to IATF 16949, ISO 9001, ISO 14001 and ISO 45001 standards.

For media inquiries, please contact:

MIDA

Mr. Mohd Mazlan Mokhtar
Director, Electrical & Electronics Division
Email: [email protected]
Tel.: +603-2267 6655

Nexperia

For press information, please contact: [email protected]

Nexperia Hosts Global Supplier Day in Seremban to Strengthen Long‑Term Growth and Supply Chain Partnerships

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Kuala Lumpur, 30 January 2026 – Pursuant to the announcement made by the Ministry of Investment, Trade and Industry (MITI) on 29 January 2026, the Malaysian Investment Development Authority (MIDA) stands ready to operationalise the New Incentive Framework (NIF) from 1 March 2026, marking a shift towards an outcome-based, value-driven investment approach in Malaysia.

The framework will be applied to the manufacturing sector first, followed by the services sector in the second quarter of 2026. The NIF essentially ties tax incentives directly to measurable economic outcomes. Companies will be assessed using the National Investment Aspirations (NIA) Scorecard*, which quantifies contributions to job quality, technology transfer, supply chain resilience and sustainability.

Tengku Datuk Seri Zafrul Tengku Abdul Aziz, MIDA Chairman, said the framework is premised on the fundamental principle of returns on (incentive) investment by the Government. “The NIF is designed to ensure that every ringgit of foregone revenue delivers meaningful, multiplied returns to the nation’s economy. Our priority is not merely to attract investments, but to secure greater value, deeper industrial linkages, and better benefits for the Malaysian economy, SMEs and our people.”

In terms of implementation, incentive applications for manufacturing sector under the Promotion of Investments Act 1986 will still be accepted by MIDA no later than 3.00pm on 28 February 2026. All new manufacturing sector incentive applications submitted from 1 March 2026 onwards will be assessed under the NIF. Manufacturing companies with existing approvals will not be affected, and their incentives will continue under the approved terms and conditions.

Datuk Sikh Shamsul Ibrahim Sikh Abdul Majid, MIDA Chief Executive Officer, said, “MIDA fully supports the implementation of the NIF as it represents a major step forward in ensuring that Malaysia attracts the right type of investments—those that are high-value, innovation-driven and sustainable. By linking incentives to clear performance outcomes, the NIF strengthens investor confidence while delivering spillover benefits to the domestic economy, especially for local SMEs and Malaysian talents.”

The framework offers two mutually exclusive incentive options: a special tax rate or an investment tax allowance. Companies may choose the option that best suits their project profile and business model.

MIDA will actively guide investors through the transition from the previous incentive regime to the NIF. The application process will be integrated into MIDA’s digital platforms, providing end-to-end processing for investors. Implementation guidelines, frequently asked questions (FAQs), covering eligibility criteria, scorecard assessment parameters and evaluation processes, are now available on MIDA’s official website and MITI’s NIF microsite.

Datuk Sikh Shamsul Ibrahim added, “We look forward to working closely with investors throughout this transition. MIDA remains committed to facilitating and supporting both new and existing investors, to ensure the projects approved under the NIF deliver strong national outcomes in line with the NIA.”

MIDA will also intensify engagement and outreach sessions to ensure awareness and readiness among domestic and foreign investors, particularly within the manufacturing and services sectors. This rollout will be supported through close collaboration with MITI and the Ministry of Finance.

The NIF represents Malaysia’s most significant shift in investment policy in decades. For further information and application guidance, investors may refer to the NIF Implementation Guidelines on MIDA’s official website at www.mida.gov.my.

— END —

About MIDA

For media enquiries:

MIDA
Ms. Yusni Md. Yusop
Director, Strategic Planning & Policy Advocacy (Manufacturing) Division
Email: [email protected]
Tel.: +603- 2267 3681

*Note:

The NIF will be assessed in alignment with six (6) pillars of the National Investment Aspirations (NIA), namely:

Increasing economic complexity
Creating high-value job opportunities
Strengthening domestic linkages
Developing new and existing clusters
Improving inclusivity
Enhancing sustainability practices

APPENDIX: INDUSTRY RESPONSE

Federation of Malaysian Manufacturers (FMM)

Mr. Jacob Lee, President:

“The introduction of the NIF is timely as manufacturers are navigating technological transformation, supply chain reconfiguration and sustainability requirements. The outcome-based model provides greater clarity and encourages companies to upgrade, move up the value chain and invest in higher-productivity activities. FMM looks forward to continued engagement with the Government to ensure smooth implementation and practical facilitation for our members.”

Malaysian International Chamber of Commerce and Industry (MICCI)

Ms. Christina Tee, National President:

“As the voice of the international business community in Malaysia, MICCI welcomes the NIF as announced in the National Budget 2026. The new framework is a bold step toward global competitiveness. Our members, who represent a significant portion of Malaysia’s Foreign Investment (FI), value the framework’s transparency and its shift toward capability-driven growth, and we believe this performance-linked approach will provide the long-term predictability that global investors require to commit to Malaysia’s structural transformation.”

SME Association of Malaysia

Dr. Chin Chee Seong, National President:

“The SME Association of Malaysia views the NIF as a vital mechanism for integrating our MSMEs into the global value chain. The focus on ‘Domestic Linkages’ within the NIA Scorecard is particularly encouraging, as it incentivises large foreign and local investors to deepen their collaborations with local vendors. This is a golden opportunity for Malaysian SMEs to level up their technology and ESG standards. We are committed to working with MIDA to ensure our members are ‘NIF-ready’ and can effectively support the high-impact projects that this framework aims to attract.”

MIDA Stands Ready to Implement New Outcome-Based Incentive Framework From 1 March

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Strategic Partnership Aims to Foster Business Growth, Innovation, and High-Value Job Creation while Strengthening Malaysia’s Digital Economy

Kuala Lumpur, 29 January 2026 – The Malaysian Investment Development Authority (MIDA), in collaboration with BEYOND4, successfully hosted the Strategic Engagement Session 2026 on Malaysia’s Start-Up Ecosystem today at MIDA, Kuala Lumpur. The session brought together key stakeholders, industry leaders, and relevant Malaysian start-up ecosystem partners to explore strategies for positioning Malaysia as a leading regional hub for high-growth start-ups and innovation.

The half-day programme aimed to foster collaboration, explore investment opportunities, and identify strategic interventions that can accelerate the development of a world-class start-up ecosystem in the country.

The session started with an Opening Address by Datuk Sikh Shamsul Ibrahim bin Sikh Abdul Majid, Chief Executive Officer of MIDA, who highlighted the nation’s commitment to strengthening its innovation landscape and supporting high-potential technology companies. He emphasised that while MIDA has traditionally focused on investment promotion, the agency is now expanding its role as an ecosystem connector, linking start-ups, corporates, investors, research institutions, and Government agencies.

“Start-ups are key drivers of innovation, industrial growth, and economic transformation,” said Datuk Sikh Shamsul Ibrahim. “Through initiatives such as this Strategic Engagement Session, MIDA aims to enhance start-up visibility, facilitate industry linkages, and provide structured support to help these ventures scale and access both domestic and regional markets.”

Mr. S.T. Rubaneswaran, Chief Executive Officer of BEYOND4, who also spoke at the event, highlighted the importance of integrated talent development, innovation frameworks, and partnerships in catalysing start-up growth across Malaysia.

Knowledge Sharing and High-Impact Discussions

The session also featured a Start-Up Sharing Session, where founders shared real-world experiences, highlighted the challenges and opportunities faced by early-stage ventures.

A panel discussion on Strategies to Create a World-Class Start-Up Ecosystem in Malaysia brought together leaders from:

Cradle Fund Sdn. Bhd.;
Iskandar Investment Berhad (IIB);
Universiti Kebangsaan Malaysia (UKM); and
Qarbotech Sdn. Bhd.

The discussions focused on enhancing Malaysia’s attractiveness to global innovators, strengthening ecosystem connectivity, nurturing investable start-ups, and creating sustainable pathways for commercialisation and regional expansion.

Participants also explored cross-agency collaborations to support talent pipelines, technology adoption, and scaling opportunities across key sectors, reflecting MIDA’s commitment to facilitate start-up growth, foster partnerships, and integrate innovative solutions into Malaysia’s broader industrial and investment ecosystem.

In conjunction with the event, Yayasan Pahang launched the Pahang Startup Blueprint 2030, a strategic framework to strengthen the state’s start-up ecosystem, developed with contributions from MIDA and Beyond4. The initiative reflects MIDA’s collaboration with the state government and the shared commitment of key stakeholders to support innovation and sustainable ecosystem development.

The Strategic Engagement Session 2026 underscores MIDA’s role not just as the government’s principal investment promotion agency, but a proactive enabler of innovation and entrepreneurship, ensuring that Malaysia remains a competitive and attractive destination for start-ups, investors, and industry partners alike.

Datuk Sikh Shamsul Ibrahim Sikh Abdul Majid, MIDA CEO

MIDA-BEYOND4 Strategic Engagement Session

-END-

About MIDA

The Malaysian Investment Development Authority (MIDA) is the government’s principal investment promotion and development agency under the Ministry of Investment, 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 X, Instagram, Facebook, LinkedIn, TikTok and YouTube channel.

About BEYOND4

Beyond4 (B4) is dedicated to fostering and expanding ecosystems across Southeast Asia, with a focus on talent development, enterprise innovation, and startup growth. As a recognized leader in Malaysia, we have extended our presence to Singapore and established strategic partnerships in India, the United Kingdom, France, Thailand, Hong Kong, Taiwan, and the Philippines.

Our unique accelerator models are tailored to help governments and enterprises address pressing challenges through innovative solutions. These models are developed within the robust partner network of the Beyond4 ecosystem and are delivered by a specialized team of experts to ensure impactful results.

We are at the forefront of establishing Malaysia and Southeast Asia as global hubs for innovation, growth, and entrepreneurship.

For media enquiries, please contact:

MIDA
Mr. Awangku Fiarulnazri Awang Tajudin
Head of Corporate Strategy and Revenue Management Section
Phone: +603-2267 6682
Email: [email protected]

BEYOND4
Ms. Syarifah Syaidatul Izzati
Phone: +60179339787
Email: [email protected]

MIDA and Beyond4 Convene 2026 Strategic Engagement to Strengthen Malaysia’s Start-Up Ecosystem

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Malaysia’s investment landscape is undergoing a fundamental transformation driven by rapid technological change, global tax reforms, and the accelerating transition toward sustainable and low-carbon development. To respond to these shifts and to ensure that Malaysia remains a preferred and competitive investment destination in the region, the Government has introduced the New Incentive Framework (NIF).

The NIF represents a major shift in how Malaysia designs and administers investment incentives. It moves away from traditional profit-based tax holidays toward a modern, outcome-based incentive model that aligns national development priorities with emerging global standards, including the Global Minimum Tax (GMT) environment under OECD Pillar II.

Malaysia recognises the need to reposition its incentives to remain competitive, resilient, and future-ready. The NIF addresses these challenges by focusing on real economic substance and measurable national benefits, rather than on tax advantages alone.

The NIF links incentives to specific, quantifiable outcomes aligned with two key national strategies: The National Investment Aspirations (NIA) and the New Industrial Master Plan 2030 (NIMP 2030).

Under the framework, incentives are tied to six intended economic outcomes:

Increasing economic complexity
Creating high-value, high-income jobs for Malaysians
Extending domestic supply-chain linkages
Developing new and existing industrial clusters
Improving inclusivity
Enhancing sustainability practices

This approach ensures that incentives directly support Malaysia’s transition toward a more complex, sustainable, and inclusive economy.

The NIF will be implemented on a phased basis, as announced in the National Budget 2026:

Manufacturing sector: Effective Q1 2026, i.e. 1 March 2026.
Services sector: Effective Q2 2026, the exact date of implementation will be announced in due course.

As the principal agency for investment promotion and facilitation, MIDA plays a central role in operationalising the NIF, guiding investors through the new framework, and monitoring post-approval commitments to ensure that promised outcomes are delivered.

Through the NIF, Malaysia is positioning itself as a preferred and regionally competitive investment destination, ready to attract the next generation of high-quality, future-ready investments.

Guidelines

FAQ

Media Release

New Incentive Framework (NIF)

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TAIPEI CITY, Taiwan / PENANG, Malaysia, 27 January 2026 – congatec, one of the global leaders in embedded and edge computing technology, announced the establishment of its new subsidiary in Penang, Malaysia, marking a strategic expansion of its engineering and research footprint in Asia. The move signals congatec’s commitment to anchoring high-value embedded computing design, customisation and technical support capabilities in Malaysia as part of its global “local for local” strategy.

As part of the expansion, congatec has onboarded an experienced embedded engineering team from Kontron Asia, comprising 23 specialised engineers, with plans to scale the Penang operation to approximately 70 employees over the medium term. The new subsidiary strengthens congatec’s regional research and development (R&D) and technical support capabilities, enabling faster development cycles, application-ready (aReady.) solutions and closer collaboration with customers across the Asia-Pacific market.

Datuk Sikh Shamsul Ibrahim Sikh Abdul Majid, Chief Executive Officer of the Malaysian Investment Development Authority (MIDA), said, “congatec’s expansion to establish its R&D subsidiary in Penang exemplifies Malaysia’s shift towards high-value, innovation-driven activities within our electrical and electronics ecosystem. This investment underscores the growing recognition of Malaysia as a strategic location for advanced embedded computing capabilities. By anchoring sophisticated engineering and technical support functions here, we strengthen domestic R&D capacity, accelerate technology adoption, and create meaningful career pathways for Malaysian engineering talent. Aligned with the New Industrial Master Plan 2030, congatec’s expansion contributes to Malaysia’s position as a competitive hub for next-generation embedded and edge computing innovation in the region.”

Dato’ Loo Lee Lian, Chief Executive Officer of InvestPenang (representing the Right Honourable Mr. Chow Kon Yeow, Chief Minister of Penang), stated, “Penang’s 50 years of industrialisation has shaped a deep and highly skilled talent base spanning engineering, design, manufacturing, and advanced technologies. This long-standing industrial maturity enables investors like congatec to scale R&D, technical support, and regional operations efficiently, supported by talent that is both globally competitive and industry-ready.” She further added, “We are confident that congatec’s presence will generate meaningful technological spillovers for Penang. The integration of “Designed in Germany” quality standards with Penang’s robust industrial ecosystem—supported by our highly skilled talent—will create strong synergies for innovation and growth.”

Dr. Dominik Ressing, CEO of congatec, stated, “The opening of our Malaysian subsidiary is a natural next step in our ‘local for local’ philosophy. Regional development and support resources enable us to respond faster and more precisely to local requirements. Our goal is to improve customers’ time-to-market, total cost of ownership, and return on investment through local engineering expertise, while reducing barriers to application development across the APAC region.”

Mr. Konrad Garhammer, Chief Operating Officer (COO) and Chief Technology Officer (CTO) of congatec, added, “We are delighted to welcome such an experienced and highly motivated engineering team to the congatec family. With our new location in the ‘Silicon Valley of the East,’ we gain access to an outstanding ecosystem of semiconductor manufacturers and production partners. This enables us to combine our German engineering DNA with the dynamism of the Asian market. The new team brings extensive experience in developing highly integrated embedded computing platforms, enabling us not only to expand our portfolio but also to deliver maintenance and support services within our customers’ time zones. Furthermore, we are gaining vital capabilities across production, production support, and production engineering – expertise we plan to expand further. These are decisive factors in ensuring operational excellence.”

The Penang centre will support the APAC market with standard and customised embedded computing platforms developed in alignment with congatec’s “Designed in Germany” quality standards. In addition to advanced x86-based solutions based on Intel and AMD processors, the team will develop Computer-on-Modules (COMs leveraging technologies from Qualcomm, Texas Instrument, and NXP), alongside expanded aReady. software and solution stacks. These validated platforms are designed to shorten design-in cycles, reduce non-recurring engineering costs and accelerate customers’ time-to-market.

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About MIDA

About InvestPenang

About congatec

congatec is the leading global provider of high-performance hardware and software building blocks for embedded and edge computing solutions based on Computer-on-Modules (COMs). These advanced computer modules drive systems and devices across industries such as industrial automation, medical technology, robotics, telecommunications, and more. congatec’s high-performance aReady. ecosystems simplify and accelerate the solution development, from COM to cloud. This application-ready approach combines COMs with services and customizable technologies that enable cutting-edge advancements in system consolidation, IoT, security, and artificial intelligence. Supported by its majority shareholder, DBAG Fund VIII – a German mid-market fund focused on driving growth for industrial enterprises – congatec has the financial backing and M&A expertise to capitalize on expanding market opportunities. For more information, visit congatec.com, aReady.com, or follow us on LinkedIn and YouTube.

For media enquiries, please contact:

MIDA
Mohd Mazlan Mokhtar (Mr.)
Director of Electrical & Electronics Division
T: 03- 2267 6655
E:[email protected]

InvestPenang
Elaine Cheah / Arief Ferdaus
Communications & Business Intelligence
Tel: +604-646 8833
Email: [email protected] / [email protected]

congatec
Crysta Lee
Phone: +886 2 25978577
[email protected]

Press contact congatec:
Christof Wilde
Phone: +49-991-2700-2822
[email protected]

congatec Expands Penang R&D Presence, Anchoring High-Value Embedded Computing Capabilities in Malaysia

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Johor, Malaysia, 20 January 2026 – Rianlon, a global leader in polymer additives, officially broke ground yesterday on its R&D and Manufacturing Base in Johor, marking a significant step forward in the company’s first major integrated facility outside China.

The groundbreaking ceremony, held on the 9^th anniversary of Rianlon’s public listing, was attended by Yang Amat Berhormat (YAB) Dato’ Onn Hafiz bin Ghazi, Menteri Besar of Johor, Mr. Li Haiping, Chairman and President of Rianlon, Mr. Aldo Govi, Chief Executive Officer (CEO) of Infineum International Limited, and representatives from various parties attended the celebration.

The ceremony represents the realisation of Rianlon’s commitment, first announced during Prime Minister Datuk Seri Anwar Ibrahim’s working visit to China in September 2025. The RM1.27 billion investment will establish R&D and manufacturing base focusing on research, development, and production of anti-aging materials, lubricant materials, and bio-based materials. The facility will provide high-performance, solutions for global polymer and lubricant customers with the R&D and Phase I plant facilities slated to be completed by the first quarter of 2027.

At the ceremony, YAB Dato’ Onn Hafiz, Menteri Besar of Johor, stated that based on Johor’s clear regional advantages and superior business environment, it has attracted the attention of numerous international companies in recent years, with renowned global enterprises such as Nvidia, ByteDance, and BASF settling in Johor. The project brought by Rianlon is an innovation engine integrating R&D and manufacturing, which is expected to ignite the fire of innovation in the fields of fine chemicals and green chemistry in Johor, driving the collaborative upgrade of the entire industry chain. The Johor State Government will continue to optimise the business environment, ensure clear and transparent policies, and provide efficient administrative services to fully support the rapid delivery and efficient operation of the project.

Datuk Sikh Shamsul Ibrahim Sikh Abdul Majid, CEO of the Malaysian Investment Development Authority (MIDA), congratulated Rianlon Malaysia on this significant milestone in its global expansion journey. “Aligned with the New Industrial Master Plan 2030, this project is set to enhance innovation in advanced materials and green chemistry capabilities, create quality jobs for Malaysians, and contribute meaningfully to sustainable and technology-driven industrial development.”

Strategic Partnership and Regional Impact

Mr. Aldo Govi, CEO of the Infineum International Limited, stated that Rianlon is an important strategic partner of Infineum. Both parties will seize the opportunity of the construction of the Rianlon Malaysia R&D and manufacturing base to strengthen deep cooperation in the lubricant value chain. They remain committed to providing superior lubrication technology, products, and fast services for the lubricant industry. The deep cooperation between the two parties will build a new paradigm, playing an active role in enhancing supply chain security and efficiency in the lubricant additive sector in China and the Asia-Pacific region.

Mr Li Haiping, Board Chairman of Rianlon Corporation, outlined the company’s development strategy and the significance of the Malaysia facility. “Malaysia is Rianlon’s first overseas R&D centre and production base, representing an important milestone in our globalisation strategy. We believe the completion and operation of this project will enhance the flexibility and security of Rianlon’s global supply chain and improve our service efficiency and innovation capabilities for global customers.”

The ceremony concluded with the distinguished guests performing the traditional soil-turning ceremony, symbolising the official start of construction.

(Ground breaking ceremony Rianlon Corporation held at Tanjung Langsat Industrial Complex, Pasir Gudang)

From Left To Right:
1. YB Tuan Hj. Azizul Bachok
2. Mr Chris Locke, Executive Vice President of Infineum International Limited
3. Mr Liu Rongxin, General Manager of Rianlon Malaysia Sdn. Bhd
4. Mr Aldo Govi, CEO of Infineum International Limited
5. Mr Li Hiping, Board Chairman of Rianlon Corporation
6. YAB Dato’ Onn Hafiz Ghazi, Menteri Besar Johor
7. YB Tuan Lee Ting Han, Chairman of The Investment, Trade, Consumer Affairs and Human Resources Committee
8. Tuan Mohd Masni Wakiman, District Officer of Johor Bahru
9. YB Datin Paduka Hajah Hazlina Jalil, Mayor of Pasir Gudang City Council
10. Mr Mohamad Reduan Mohd Zabri, Director of MIDA Johor
11. YB Dato’ Noorazam Bin Dato’ Osman, Mayor of Johor Bahru City Council

-END-

About MIDA

MIDA is the government’s principal investment promotion and development agency under the Ministry of Investment, 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 X, Instagram, Facebook, LinkedIn, TikTok and YouTube channels.

About Rianlon Corporation

Founded in 2003 and listed on the Shenzhen Stock Exchange (ChiNext: 300596), Rianlon Corporation is a global supplier of polymer anti-aging additives, including antioxidants and light stabilizers, serving plastics, rubber, coatings, fibers and adhesives. The company has expanded into lubricant additives and advanced high-performance materials, supported by multiple R&D and manufacturing bases in China and an international sales network. Driven by the mission of “Creating a Better Life through Chemistry and Biology,” Rianlon is committed to stable quality, reliable supply and fast customer response worldwide.

For media enquiries please contact:

MIDA
Ms. Siti Halimaton Mohd. Rejab
Director, Chemical and Advanced Material Division
No. Tel: +603-2267 6701
Email : [email protected]

Rianlon Malaysia Sdn. Bhd.
Mr. Wicky Law
Public Affairs Manager
Email: [email protected]

Rianlon Malaysia Breaks Ground on RM1.27 Billion R&D and Manufacturing Base in Johor

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SEBERANG PRAI, Penang, 19 January 2026 – Syntiant Corp., a global provider of low-power artificial intelligence (AI) solutions officially opened its new manufacturing and research and development (R&D) campus in Penang today. The expansion marks a major milestone in Syntiant’s growth in Asia and reinforcing Malaysia’s rising role as a strategic hub for the next-generation semiconductor and AI manufacturing.

The new campus more than doubles Syntiant’s footprint in Penang to approximately 220,000 square feet, increasing annual production capacity to around 1.6 billion units. The facility brings together production, engineering and AI research in one location, supports a workforce of up to 800 employees, and features advanced micro-electro-mechanical systems (MEMS) processing, IC preparation, and test and assembly capabilities.

The ceremony was officiated by Yang Berhormat Tuan Jagdeep Singh Deo, Penang’s Deputy Chief Minister II, together with Syntiant’s Chief Executive Officer (CEO) and Co-founder Kurt Busch.

Yang Berhormat Tuan Jagdeep Singh Deo, Deputy Chief Minister II of Penang, stated, “Backed by over five decades of industrialisation, Penang has cultivated its comprehensive ecosystem which continues to command confidence by international investors to establish presence and expand within the State. We are proud to welcome Syntiant’s new campus to Penang which will contribute to Penang’s technological expertise and further strengthening the State’s position as leading hub for advanced electronics and AI innovation, aligned with our reputation as the Silicon Valley of the East.”

Datuk Sikh Shamsul Ibrahim Sikh Abdul Majid, CEO of the Malaysian Investment Development Authority (MIDA), said, “Syntiant’s expansion in Penang is a landmark investment that positions Malaysia at the forefront of next-generation AI and advanced semiconductor innovation. By anchoring high-value activities such as embodied AI and MEMS processing locally, this facility strengthens technological capabilities, drives innovation-led growth and creates quality jobs for Malaysian. It is a clear vote of confidence from global investors in Malaysia’s talent, infrastructure and ecosystem, and reinforces our mission to make the country a preferred hub for advanced electronics and high-tech manufacturing.”

Kurt Busch, CEO and Co-founder of Syntiant Corp., stated, “Our new Penang manufacturing and R&D campus represents a major step forward for Syntiant in Asia where we bring our DNA in producing faster, safer and energy-efficient solutions across consumer, industrial and enterprise markets. By combining world-class manufacturing with cutting-edge AI research, we can accelerate innovation, better serve our customers and contribute to Malaysia’s growing technology ecosystem.”

Ong Lay Pean, General Manager of Syntiant Malaysia, emphasised,“Investing in Penang reflects our confidence in Malaysia’s talent and innovation ecosystem. This new facility positions us to turn cutting-edge research into real-world solutions that benefit consumers and industries globally. With the support of MIDA and InvestPenang, Syntiant selected Penang as the ideal location to expand its manufacturing and R&D capabilities.”

Syntiant’s expansion aligns with Malaysia’s New Industrial Master Plan 2030, supporting high-value job creation and advanced technology development. Following its 2024 acquisition of the Knowles Consumer MEMS Microphone business, the company has strengthened its capabilities in embodied AI and intelligent sensing solutions. The company develops ultra-low-power AI solutions that integrate sensors, neural decision processors and software for IoT, consumer, automotive and industrial applications, with more than 20 billion SiSonic™ MEMS microphones shipped globally to date.

– END –

About MIDA

About InvestPenang

InvestPenang is the Penang State Government’s principal agency for the promotion of investment. Its objectives are to develop and sustain Penang’s economy by enhancing and continuously supporting business activities in the State through foreign and local investments, including spawning viable new growth centers. To realise its objectives, InvestPenang also runs initiatives like the SMART Penang Center (providing assistance to SMEs), Penang CAT Center (for talent attraction and retention), Global Business Services (GBS) Focus Group (promoting and developing digital economy), and Penang Silicon Design @5km+ (establishing a unique and interconnected ecosystem for IC design and technology enterprises). For more information, please visit https://investpenang.gov.my/ and follow InvestPenang’s social media channels: Facebook; LinkedIn; WhatsApp Channel and TikTok.

About Syntiant Corp.

Founded in 2017 and headquartered in Irvine, Calif., Syntiant® is Making Edge AI a Reality™ by delivering highly efficient processor, sensor, and software solutions. With more than 100 million purpose-built Neural Decision ProcessorsÔ and ML models deployed, along with billions of MEMS microphones and sensors, Syntiant’s technology is powering embodied AI applications for speech, audio, sensor and vision processing worldwide. From earbuds to automobiles, the company’s turnkey solutions enable advanced edge AI capabilities across diverse consumer and industrial use cases. More information on the company can be found by visiting www.syntiant.com or by following Syntiant on X @Syntiantcorp or LinkedIn.  

For media enquiries, please contact:

MIDA
Mohd Mazlan Mokhtar
Director, Electrical & Electronics Division
Email: [email protected]
Phone: 603-2267 6655

InvestPenang
Elaine Cheah / Arief Ferdaus
Communications & Business Intelligence
Tel: +604-646 8833
Email: [email protected] / [email protected]

Syntiant Corp.
George Medici/Natalie Mu
PondelWilkinson
[email protected]/[email protected]
310.279.5980

Syntiant Launches New Manufacturing and R&D Campus in Penang, Doubling Production Capacity and Creating 800 High-Tech Jobs

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KEDAH, 19 JANUARY 2026 – Novolyte Technology Sdn. Bhd., a wholly owned subsidiary of Shenzhen Capchem Technology Co., Ltd., a global supplier of electronic chemicals and functional materials with over 30 years of industry experience, proudly held its groundbreaking ceremony to begin construction of its new battery electrolyte manufacturing facility at Kulim Hi-Tech Park, Kedah. The project marks a significant milestone in Malaysia’s growing advanced manufacturing ecosystem.

The ceremony was officiated by YB. Prof Dr. Haim Hilman Abdullah (Kedah EXCO for Industry & Investment, Science, Technology & Innovation, and Higher Education), Mr Zhou Youbin (Consul General of the People’s Republic of China in Penang), YBhg. Dato’ Haji Elmi bin Yusoff (Yang Dipertua MPKK), Puan Surayu Susah, Executive Director of Manufacturing Development (Resource), MIDA, Tuan Zuhdi Bin Abdul Zakaria (Head of Kulim District Customs), Encik Mohd Zaid Abdul Jalil (Deputy CEO of Kulim Technology Park Corporation), Mr Zhou Dawen (Vice Chairman of Shenzhen Capchem Technology Co., Ltd.) and attended by distinguished guests including Government officials and Novolyte management and staff.

Datuk Sikh Shamsul Ibrahim Sikh Abdul Majid, CEO of Malaysian Investment Development Authority (MIDA), said “MIDA welcomes Novolyte’s investment in Kedah, a development that underscores Malaysia’s competitiveness in the advanced manufacturing sector in the region. This project aligns seamlessly with the NIMP 2030’s mission to attract sophisticated, innovation-led investments. Beyond strengthening our domestic ecosystem, Novolyte’s presence will create spill over effects for local industries and provide our local workforce with invaluable exposure to cutting-edge battery technologies.”

*Puan Surayu Susah, Executive Director, Manufacturing Development (Resource), MIDA*

Encik Noor Ikhsan Bin Abdul Aziz, Chief Operating Officer of Invest Kedah Berhad, stated: “Invest Kedah Berhad welcomes Novolyte Technology’s decision to expand its operations in Kedah through the establishment of this new manufacturing facility at Kulim Hi-Tech Park. This investment reflects strong investor confidence in Kedah’s industrial ecosystem and supports the state’s aspiration to strengthen the new energy and high-value manufacturing sectors. We believe this project will create quality employment opportunities, enhance local supply chain capabilities and contribute positively to Kedah’s long-term economic development”.

Mr. Zhou DaWen, Vice Chairman of Shenzhen Capchem Technology Co., Ltd., stated, “Our investment in Kedah reflects confidence in Southeast Asia’s new energy market potential. Novolyte Technology will establish a benchmark for high-end electronic chemicals in the region, addressing the local supply gap for lithium battery electrolytes and meeting global customers’ needs for localised supply chains. We are grateful for the Malaysian government’s supportive policies and believe this project will bolster the local economy and contribute to the global clean energy transition.”

Slated for commissioning in Q3 2026, the plant will have an annual capacity of around 30,000 metric tons to serve domestic and Southeast Asian markets. The facility will cultivate a high-value talent ecosystem and act as a strategic catalyst for the region’s new energy sector.

This expansion builds upon the success of Novolyte’s existing Plant 1 within Kulim Hi-Tech Park – the first among Chinese electrolyte manufacturers to achieve order delivery in Southeast Asia. The achievement marks a substantial step in Capchem’s internationalisation strategy for the region, enabling the provision of more agile, customised electrolyte solutions for customers.

*(from left to right):*
**YBhg Dato’ Haji Elmi bin Yusoff**, Yang Dipertua MPKK; **Mr Zhou Youbin**, Consul General of the People’s Republic of China in Penang; **YB Prof. Dr. Haim Hilman Abdullah**, Kedah EXCO for Industry and Investment, Science, Technology and Innovation, and Higher Education; **Mr Zhou Dawen**, Vice Chairman of Shenzhen Capchem Technology Co., Ltd.; **Encik Mohd Zaid Abdul Jalil**, Deputy CEO of Kulim Technology Park Corporation; and **Puan Surayu Susah**, Executive Director of Manufacturing Development (Resource).

-END-

About MIDA

Malaysian Investment Development Authority (MIDA) is the government’s principal investment promotion and development agency under the Ministry of Investment, 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 X, Instagram, Facebook, LinkedIn, TikTok and YouTube channel.

About Invest Kedah

Invest Kedah Berhad (IKB) is the official investment promotion agency for the State of Kedah, responsible for attracting and facilitating strategic domestic and international investments.

IKB aims to ensure that all investments contribute positively to the state’s economic development and the well-being of its people. Through an investor-friendly approach and strong cooperation with federal and local government agencies, IKB is committed to making Kedah a premier investment destination in northern Malaysia.

About Capchem

Shenzhen Capchem Technology Co., Ltd. (“Capchem”), the ultimate holding company of Novolyte Technology Sdn. Bhd., was founded in 1996 and listed on the Shenzhen Stock Exchange (stock code: 300037) in 2010, with its headquarters in Shenzhen, China. Since establishment, Capchem is committed to creating a better future with electronic chemicals and functional materials.

Capchem is committed to becoming a leading global enterprise specialised in electronic chemicals and functional materials, guided by its core value of “Innovation for Application, Progress with Integrity” and the STEP business philosophy (Solid, Thorough, Excellent, Professional).

Its main products include battery chemicals, organic fluorine chemicals, capacitor chemicals and electronic chemicals, which are used in the fields such as new energy vehicles, consumer electronics, urban rail transit, biomedicine, digital infrastructure, photovoltaics and industry manufacturing.

Media Contacts

MIDA

Ms. Siti Halimaton Mohd. Rejab
Director, Chemical and Advanced Material Division
Email: [email protected]
Tel.: +603-2267 6701

Invest Kedah Berhad

Corporate Communication Department
Email: [email protected]
Tel.: +604-702 7373

Shenzhen Capchem Technology Co., Ltd.

Operation Management Department
Email: [email protected]
Tel: +86-(0)755-8992 3768

Novolyte Technology Sdn. Bhd. Holds Groundbreaking Ceremony for Its New Manufacturing Facility in Kedah, Malaysia

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Calls for Stronger Media Collaboration to Bridge Domestic Investment Perception Gap

KUALA LUMPUR, 13 January 2026 – The Malaysian Investment Development Authority (MIDA)
today hosted its first major engagement of the year, the Media Appreciation High-Tea & Networking Session, themed “Strengthening Partnerships for Investment Success.” Held at the Aloft Hotel, Kuala Lumpur Sentral, the event brought together close to 60 media representatives, including senior editors, bureau chiefs, and journalists from major news organisations, to align on Malaysia’s investment narrative and priorities for 2026.

The session served as a strategic curtain raiser for the year, featuring an address by MIDA Chairman, YM Tengku Datuk Seri Utama Zafrul Abdul Aziz, and MIDA Chief Executive Officer (CEO), Datuk Sikh Shamsul Ibrahim Sikh Abdul Majid. Renowned economist Dr. Anthony Dass provided key economic context through his briefing on the 2026 investment outlook, highlighting increasingly capital selectivity and intensified regional competition in a year projected to see flat global capital flows of USD 1.5 trillion.

Reframing the Narrative: Mobilising Domestic Investment

MIDA Chairman, YM Tengku Zafrul, emphasised that 2026 must be about the conversion of investment approvals into productive capacity and tangible benefits for Malaysian families. He highlighted that in the first nine months of 2025, 55% of approved investments were driven by domestic investors, yet a significant “perception gap” remains where many local SMEs are not fully aware of the range of facilities and support available across the Government, including those provided by MIDA.

“Approvals alone do not build industries. What matters is how those approvals translate into real projects, quality jobs and stronger local supply chains,” stated YM Tengku Zafrul. “Supporting the SMEs, who form a large part of Malaysia’s middle class means expanding opportunity, and that begins by ensuring Malaysian businesses know how to access MIDA’s holistic support that they can benefit from.”

Strategic Priorities for 2026

To support this shift, MIDA outlined a suite of initiatives aimed at making investment facilitation more seamless, ecosystem-driven, and outcome-focused:

Invest Malaysia Facilitation Centre (IMFC): Since its establishment in December 2023, IMFC has facilitated over 45,000 issues. In 2025 alone, over 27,000 issues were resolved—a 60% year-on-year increase—with 1,631 projects (81.9%) successfully implemented. The IMFC model will be expanded to Penang and Sarawak.
New Incentive Framework (NIF): A transition from volume-based incentives to outcome-driven investments, with emphasis on technology upgrading, automation, decarbonisation, and workforce development. Implementation will be phased, beginning with the manufacturing sector in Q1 2026, followed by the services sector in Q2 2026.
#InvestLokal Initiative: A communication campaign repositioning MIDA as a partner to domestic investors and the rakyat, featuring relatable stories of local business expansion, upgrading and success.
Regional Flagship Programmes: MIDA is intensifying engagement with State Governments through targeted, ecosystem-based promotion across all regions—Northern, East Coast, Southern, Sabah, Sarawak, and Central—to connect companies with anchor investors and new market opportunities.
Investment Coordination Platform (ICP): A facilitation platform helping Malaysian companies bridge financing gaps, raise capital, pursue mergers and acquisitions, and prepare for initial public offerings (IPOs). To date, MIDA’s ICP has engaged more than 80 companies on a one-to-one basis.
One-Stop Portal (OSP): MIDA is developing a One-Stop Portal to unify all government stakeholders on a single digital platform, enabling parallel approvals across federal and state agencies to address investor pain points.

A People-Centric Investment Narrative

“The media are not just channels of communication; you are our partners in nation-building. As we strengthen our focus on domestic investment and investor facilitation in 2026, your role in shaping an informed and confident business community becomes even more critical,” said Datuk Sikh Shamsul Ibrahim, CEO of MIDA.

Invoking Malay wisdom—”Khabar angin membawa rebah, khabar benar membawa teguh” (Rumours bring collapse, truth brings strength)—YM Tengku Zafrul called on media to collaborate by asking “the domestic angle” when covering major foreign investments and highlighting Malaysian SME success stories alongside headline numbers.

By strengthening data access, sharing local success stories, and deepening engagement with newsrooms, MIDA aims to ensure that Malaysia’s investment narrative in 2026 is not only competitive and policy-driven, but also inclusive, relatable, and people-centric, reflecting the vital role of domestic capital mobilisation in shaping the nation’s economic future.

-END-

About MIDA

MIDA is the government’s principal investment promotion and development agency under the Ministry of Investment, 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 X, Instagram, Facebook, LinkedIn, TikTok and YouTube channels.

For media enquiries, please contact:

Ms. Fatmah Ahmad
Director, Corporate Communications Division
Email: [email protected]
Tel.: +603- 2263 2428

MIDA Reinforces Its Outcome-Driven Investment Focus in 2026

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