Industry News Archives - MIDA | Malaysian Investment Development Authority
English
contrastBtngrayscaleBtn oku-icon

|

plusBtn crossBtn minusBtn

|

This site
is mobile
responsive

sticky-logo

Penang focusing on international hub for electronics and semiconductors, says Kon Yeow

Penang will continue to focus on transforming the state into an international hub for trade, especially in the electronics and semiconductor sectors, Chief Minister Chow Kon Yeow said today.

He said this is in line with the state’s efforts to provide more employment opportunities to the younger generation.

“With Penang’s robust record in investment policies and facilities, the state government is confident that Penang will continue to be a preferred destination for high-quality and high-value investors, thanks to the diligent efforts of the workers in this state,” he said in his Labour Day message.

He said Penang only has an unemployment rate of 2 per cent, citing the Labour Force Survey for the fourth quarter of 2023.

He said Penang also has a Labour Force Participation Rate of 73.3 per cent, which proved that workers in the state are hardworking and always striving to improve their living standards.

He expressed his appreciation to all workers in Penang who had worked hard for the state to successfully record an investment inflow of RM71.9 billion in 2023, the highest in Malaysia.

“I would like to remind everyone to embody the Madani values in our lives as workers and individuals,” he said.

He reminded the people to continue to contribute to the wellbeing of their workplace.

“Showcase your creativity in development and innovation sectors, be someone who always respects their colleagues regardless of their background, position, or status,” he said.

He said the state government and its leadership will continue to work hard to ensure the wellbeing of the people.

Source: Malay Mail

Penang focusing on international hub for electronics and semiconductors, says Kon Yeow


Content Type:

Duration:

The formulation of a comprehensive semiconductor plan is timely for Malaysia to secure a position at the forefront of the global supply chain, according to InvestPenang chief executive officer Datuk Loo Lee Lian.

She said environmental, social, and governance (ESG) elements, such as net zero carbon emissions as well as sustainable energy and water, must be abided by under the strategic plan.

Loo added that clear objectives and milestones should be incorporated into the strategic plan as it is vital to ensure that its execution and results follow existing international standards.

“Malaysia, including Penang, is in a sweet spot to attracting semiconductor industry players given the nation’s neutrality during the United States (US)-China trade war, which allows the nation to host semiconductor companies from the US and China, as well as other nations, so they can invest and operate within the country,” she told Bernama.

Furthermore, Loo said the success of the upcoming semiconductor strategic plan depends on the availability of talent and encompasses a national talent blueprint to address human capital strategies in alignment with the New Industrial Master Plan (NIMP) 2030.

She said the blueprint’s vision should focus on building a high-skilled and sustainable STEM workforce to support the semiconductor industry’s rapid development.

“Hence, the blueprint should address the issues that caused the talent availability and the readiness of the workforce in Science, technology, engineering, and mathematics (STEM), such as skill mismatch, brain drains, availability of upskilling or reskilling programmes, the restrictive hiring process for expatriate and relevance of syllabus in universities,” she said.

Echoing this, Malaysian Semiconductor Industry Association (MSIA) president Datuk Seri Wong Siew Hai said the plan should focus on nurturing local enterprises and increasing their market competitiveness at the international level.

“The government should also consider a robust framework for upskilling and rescaling Malaysia’s workforce, ensuring it can meet the advanced demands of the semiconductor industry.

“This focus on education will aim to provide Malaysians with the skills needed to drive innovation and maintain the country’s competitive advantage,” he said.

Wong also said the government should be aware of the need to improve web infrastructure, a move that will support the high-tech needs of the semiconductor industry and ensure smooth operations for businesses growing in the sector.

This will likely involve improvements to digital connectivity and access, enabling efficient and uninterrupted operations essential to high-tech manufacturing and development, he said.

“The government’s strategic focus on company development, workforce education and infrastructure improvement put Malaysia on a good track to achieve higher revenue and exports for the sector,” Wong said.

On April 16, Prime Minister Datuk Seri Anwar Ibrahim said the strategic plan will include a more attractive incentive package to enhance the inclusion of strategic investments in high-tech semiconductors, particularly to encourage more front-end activities in the semiconductor industry in Malaysia.

He said this is important to attract the interest of various international semiconductor companies to establish high-quality semiconductor manufacturing facilities in Malaysia.

Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Abdul Aziz said the semiconductor strategic plan aligns with the initiatives under NIMP 2030.

He said the plan is important to attract the interest of various international semiconductor companies to transfer or establish their respective high-quality semiconductor manufacturing facilities in Malaysia.

Rated sixth in the world for semiconductor exports, Malaysia reportedly has 7.0 per cent of the global market share.

The local semiconductor sector showed its tenacity last year when exports dropped only 3.0 per cent from RM595 billion in 2022 when global industry sales dipped 8.2 per cent.

As for companies preparing for future growth, the global semiconductor sector’s revenue is projected to increase to a staggering US$1 trillion (US$1=RM4.76) by 2030, compared with US$575 billion currently. 

Source: Bernama

Semiconductor plan timely for Malaysia to secure position at global supply chain’s forefront


Content Type:

Duration:

IT is heartening to note that Sarawak’s new leadership wants to venture into high-tech industries such as semiconductors.

While this aspiration deserves a big applause, one sector that also needs attention is electronic manufacturing services (EMS), which is slightly lower down the value chain than semiconductors but an easier first step into high-tech manufacturing.

In countries such as Malaysia and Vietnam, EMS companies are benefitting from the trade war between the US and China, which seems unlikely to end any time soon.

EMS offers numerous opportunities for places like Sarawak, but some basics must be in place first.

Infrastructure like international airports, highways, industrial parks, workers quarters, ports and good logistics systems are of course very important on a macro level.

Sarawak should also address the issue of cabotage laws. Materials and semi-finished components will be sourced from around the world, including China. These will cost at least 10% to 20% more under existing cabotage laws.

The lead time to secure the imported components will also increase. Any delays can result in the bullwhip effect, making it even costlier and eroding competitiveness. Bullwhip effect is when small fluctuations in demand at the retail level can cause progressively larger fluctuations in demand at the wholesale, distributor, manufacturer and raw material supplier levels.

A reliable supply chain and a network of competent partners are also crucial to the survival of the EMS sector.

Competencies within the supply chain include machine and technology suppliers, technical support, and maintenance experts. Efficiency and productivity are key factors in EMS. Competitiveness can be compromised by anything that takes a long time or is physically distant.

Any disruption in the supply chain will raise costs resulting in higher prices for customers.

In order for the EMS sector to thrive, competent human resources with the right skills are also needed.

Many EMS companies need engineers to fill a variety of roles, including project engineers, mechanical engineers, electrical engineers and quality control engineers. Only with these in place, can an EMS factory become efficient and of high quality.

There are several ways Sarawak can build a thriving EMS industry:

  • Create more free trade zones so companies can become more efficient and competitive without cabotage laws.
  • Give entrepreneurs easy access to government agencies through one-stop platforms so they can focus on building their businesses rather than having to deal with red tape.
  • Provide incentives for Sarawakians to return and help their state fulfil its dream of creating high-value industries and jobs. Incentives can include unlimited reinvestment allowance, 20-year pioneer status, matching grants, export allowance, and grants for events and exhibitions on top of what Matrade is doing.
  • Set up industry-led training centres, partially financed by the state. To produce the right skill set of workers, these training centres need industry input.

Semiconductor challenges

In the semiconductor industry, the back-end sector is undergoing a significant technology leap which will see a lot of technology becoming obsolete.

We need to keep up with these changes. The closer a company is to the semiconductor value chain, the higher the capital intensity that is needed to play in that space.

Without a high level of investment, the company can become irrelevant quickly. The rate of development can be accelerated by having an anchor company, or a few anchor companies with a good track record.

We will then have to compete for talents who are highly sought after globally, such as in China, the Netherlands, Taiwan and the US, which are all pushing hard to have semiconductor independence.

Source: The Star

Boost EMS sector in Sarawak


Content Type:

Duration:

The Penang State Government is working with the Federal Government to continue efforts in attracting investment in the semiconductor sector, including the integrated circuit (IC) design segment, said Chief Minister Chow Kon Yeow.

He said that Penang will also continue with various investments to complete the ecosystem and supply chain, as the semiconductor field is extensive and involves many sub-sectors, such as ICs.

“Moreover, the Federal Government is currently working on a Semiconductor Strategic Plan, and I understand there are plans to specialise states in specific sub-sectors, so we do not need to compete with other states but rather view this sector in the context of the nation.

“So, we need to see what the Semiconductor Strategic Plan, which is expected to be announced in May, proposes, and we will assess the roles assigned to Penang. I believe this state has the most complete ecosystem in Malaysia,“ he told reporters here today.

He was met after attending a charity luncheon for Hari Raya Aidilfitri organised by the Honorary Consulate Corps of Malaysia, which was also attended by Penang Yang Dipertua Negeri, Tun Ahmad Fuzi Abdul Razak and his wife Toh Puan Khadijah Mohd Noor, along with various consulate representatives in Penang.

Chow said this in response to former Finance Minister Lim Guan Eng’s suggestion that Penang should learn from Selangor’s success in establishing the Malaysia Semiconductor Accelerator and IC Design Park .

Therefore, Chow said that the state government will arrange a meeting with Lim, who is also a former Chief Minister of Penang, as well as with Invest Penang and the Penang Development Corporation (PDC) to hear proposals on an IC park in the state.

Yesterday, three new semiconductor companies, namely China Wafer Level CSP Co (WLCSP), Ningbo SJ Electronics Co (SJE), and Wuxi AMTE Inc (AMTE), expressed interest in investing in Penang, with a total investment of US$100 million (US$1=RM4.76).

Regarding the issue of water tariffs, Chow, who is also state Finance, Land Development, and Economy Committee chairman, said that tariff increases in the state depend on approval from the National Water Services Commission (SPAN), which has its own mechanism, including a tiered tariff system.

He explained that the first tier tariff has not been increased since 1992 in the state, while the second tier has not been adjusted since 2015, even though tariff rates are supposed to be reviewed or can be raised every three years as allowed by SPAN.

“Sometimes, Penang does not enforce (the three-year tariff increase) or it does not get approval, so when the water tariff does go up, it’s steep. If the review were done every three years, it wouldn’t be as drastic as now. Since it hasn’t gone up for a long time, we have to ‘catch up’,“ he said.

He was commenting on proposals from several state assemblymen suggesting solutions to the problem of increasing water tariffs, including raising the tariff in three phases over a year.

Source: Bernama

Penang working with Fed Govt to attract semiconductor investment – Chow


Content Type:

Duration:

The Pahang government is planning to establish industrial zones for all 11 districts in the state to encourage more foreign investment, particularly from China, said Pahang Menteri Besar, Datuk Seri Wan Rosdy Wan Ismail.

“(During a recent official visit to China), we met with investors and informed them that industrial zones will be created in all districts, and we also highlighted that the state’s infrastructure (is undergoing upgrades) and will improve by early 2027 when the East Coast Rail Link (ECRL) is fully completed.

“it was also announced that the Kuantan Port will be expanded to facilitate export and import,” he said during a media briefing at the 2024 Moh Karnival Makmur here today.

He was addressing queries on his recent official visit to China that was aimed at further strengthening investment and trade relations between Pahang and China.

He said that the meeting garnered positive responses, with the investors in China expressing keen interest in investing in Pahang, however, the state government will thoroughly vet the applications before granting approval.

“We raised that at least one condition must be complied with (by investors). That is (to employ) 80 per cent local workers. Initially, it’s acceptable to have maybe 60 per cent, but eventually (it must be) 80 per cent, and they agreed,” he said.

As of 2022, Pahang has attracted RM11.01 billion in foreign direct investment, with RM5.6 billion just from China. 

Source: Bernama

Pahang MB: All districts in state to have industrial zones


Content Type:

Duration:

High-tech companies that have shown an interest in Selangor’s integrated circuit (IC) design park are also in discussions to invest in Penang, said Penang Chief Minister Chow Kon Yeow.

The lawmaker said the companies will be in Penang tomorrow to discuss investments in the state.

“The same group of people who went to Selangor are talking to Penang as well and tomorrow they will be here to announce a few investments,” he told reporters here after launching the Northern International Audio and Visual Show Penang here.

He said Penang may not have an IC design park but that doesn’t mean there are no IC design companies here.

“We do have IC design companies in Penang, maybe spread out across different locations, not in a specific IC design park,” he said.

He said not having a park does not mean high-tech IC design companies will not invest in Penang.

He was responding to criticisms by his predecessor Lim Guan Eng and former deputy chief minister II P. Ramasamy that Penang had lost the opportunity to host the IC design park to Selangor which led to the state losing investment opportunities.

Earlier today, Ramasamy also said high-tech investors such as ARM Limited and Phison Malaysia are keen to invest in the Selangor IC design park when they would have invested in Penang.

Source: Malay Mail

No IC design park, no problem: Kon Yeow says high-tech companies set to announce investments in Penang


Content Type:

Duration:

The race to attract foreign investment in Malaysian property has intensified following Thailand’s recent policy adjustments.

Sr. Samuel Tan, executive director at KGV International Property Consultants, said it is crucial for the Malaysian government to revive the local economy and entice foreign investors, especially with challenging times ahead.

Thailand’s government has introduced various measures, including reductions in property registration and transfer fees, to stimulate its residential real estate market.

Tan highlighted the significance of these measures, aimed at bolstering Thailand’s economy, the second-largest in Southeast Asia. 

He noted significant changes, such as lowering transaction fees and tax deductions for home construction, along with revised rules on foreign ownership and lease extensions.

“This shows the gravity of the matter. The Malaysian government should adopt a proactive approach, and review the less favourable policies to encourage foreign property ownership. One of the most glaring is the 4.0 per cent stamp duty levied on foreigners who buy Malaysian properties. This may deter investment,” he told NST Property.

He also questioned the necessity of recent policies, such as the prohibition on Malaysia My Second Home (MM2H) residents selling their homes for 10 years, arguing that such transactions could contribute to tax revenue.

“Many foreigners sell their property because they are upgrading or leaving. Any such transactions will bring tax revenues to the coffer,” he added.

Despite Thailand’s efforts, Tan believes Malaysia should remain attractive to investors due to its favourable legal framework, welcoming environment, security, and cuisine.

Tan Ka Leong, managing director at  CBRE | WTW, believes Thailand’s new property measures will not significantly impact Malaysia’s market due to their differing advantages and appeal. 

He said that Malaysia remains one of the countries in Southeast Asia with favorable policies for foreign property ownership. 

Foreigners can purchase both landed and stratified residential properties on a freehold basis, unlike in Thailand, where foreigners are limited to non-landed properties, subject to varying minimum prices set by different states, Tan said.

Regarding taxes, he said that Malaysia imposes a flat rate of 4.0 per cent for the transfer of property ownership (MOT) and a 10 percent Real Property Gains Tax (RPGT) on chargeable gains, which are comparatively attractive to foreign investors.

Additionally, the Malaysian government is reviewing its MM2H guidelines, with expectations of introducing more investor-friendly regulations to encourage foreigners to consider Malaysia as their second home.

He expressed optimism about these developments benefiting the Malaysian property market, particularly the high-end and high-rise residential sectors.

“I personally welcome Malaysia’s friendly foreign ownership policy and guidelines, but at the same time, I also strongly feel that Malaysia needs to have good and consistent policies and guidelines to ensure the relaxation of any of the foreign ownership policies and guidelines wouldn’t compromise the locals opportunity to own reasonable priced residential properties. 

“Besides, Malaysia should have consistent policies and shouldn’t always introduce different and uncertain policies and guidelines that will deter foreigners’s interest and confidence in the Malaysian property market,” he said.

Source: NST

Property investment race heats up


Content Type:

Duration:

Deputy Premier Datuk Amar Awang Tengah Ali Hasan recently held a networking session with Business Sweden, an agency promoting Swedish companies to grow in the global market and for foreign direct investors to expand business in Sweden.

Awang Tengah extended an invitation to the Swedish business community to venture into Sarawak’s forestry, forest plantation and wood-based industries.

He pointed out that Sarawak is moving towards a sustainable and renewable wood-based industry utilising material from forest plantations to produce engineered wood, biomass fuels, pulp and paper.

“Sarawak has a geographical advantage as it is located near to large market with high growth rate such as China, Japan, India, Korea and Australia,” he said in a press release issued by his office.

Awang Tengah, who is also Minister of International Trade, Industry and Investment, had led a Sarawak delegation on a two-day working visit to Sweden which began last Thursday.

According to the press release, Business Sweden sees potential opportunities to consider in Sarawak in areas like research and innovation, digital application in forest management, forest industries for wood structure constructions, and human capital development.

It said Business Sweden in collaboration with the industries and agencies will continue to engage in dialogues with Sarawak to identify areas of common interest to be considered and implemented in the future.

Meanwhile, Awang Tengah at the meeting was briefed by the Swedish Forest Agency, Swedish Wood Building Council, Ecco Innovation Foundation, and Swedish pulp and paper manufacturer Billerud on matters pertaining to the development of forest industries in Sweden.

The Deputy Premier and the Sarawak delegation were told about the use of engineered wood to construct timber structures, collaboration by Ecco Innovation Foundation in other countries in Southeast Asia, and pulp and paper industry.

At the same session, Sarawak Planted Forest Sdn Bhd general manager Paul Valentine gave a briefing on the overview development status of planted forest in Sarawak and opportunities for future collaborations and investments for the Swedish business communities.

These opportunities are in digital technology, mechanisation for planted forest harvesting, and production of high value-added products such as pulp, paper, engineered wood and biomass fuel, said the release.

Source: The Borneo Post

Swedish businesses invited to venture into Sarawak’s forest plantation and wood-based industries


Content Type:

Duration:

The nation aims for EVs to represent 15% of TIV by 2030, 80% by 2050

AS THE world grapples with the urgent need for sustainable solutions, Malaysia stands poised at the forefront of an emerging electric vehicle (EV) revolution.

Malaysia has aimed for EVs to account for 15% of the total industry volume (TIV) by 2030 and 80% by 2050, aligned with the Low Carbon Mobility Blueprint (LCMB) and the National Energy Transition Roadmap (NETR).

The Malaysian Automotive Association (MAA) also forecasts that EVs will contribute 2% of 2024 TIV, equating to 14,800 units.

Malaysian Green Technology and Climate Change Corporation (MGTC) group CEO Shamsul Bahar Mohd Nor said Malaysia is on track to achieve its EV adoption targets, buoyed by strong governmental support and collaborative efforts across various sectors.

The government deter mined that by 2025, half of the new vehicles procured or leased for all ministries will be EVs.

“This commitment will also extend to government-linked companies,” he noted.

He added that the government’s ambitious goal of establishing 10,000 public charging points by 2025 underscores its commitment to facilitating EV adoption nationwide.

“While the target may seem quite farfetched, both the government and private entities are working together to achieve the numbers, which are deemed necessary,” he said.

Additional Efforts Needed

EV tech company Blueshark Ecosystem Sdn Bhd group COO (Asean) Jin Chan said it envisions exponential market growth in the coming years, driven by factors such as wider market acceptance, infrastructure expansion and greater consumer choice.

However, while market projections indicate growth, additional efforts are needed to meet ambitious targets.

Chan stressed the importance of addressing key concerns, including the lack of public chargers and long recharge times, particularly for two-wheeled EVs (2WEVs).

“Many 2WEV riders, particularly those who depend on their motorcycles as primary transportation, cannot afford the lengthy charging times of EVs, which is where fast battery swapping can make a difference, but only if there is widespread use of such facilities like in Taiwan, for example,” he told The Malaysian Reserve (TMR).

Meanwhile, Malaysia Automotive, Robotics and Internet of Things Institute (MARii) CEO Azrul Reza Aziz emphasised the nation’s long-term commitment to sustainable mobility.

“While evaluating the success of Malaysia’s EVs may be premature, positive indicators suggest we are moving in the right direction.

“With ambitious targets set by the government, including 20% of TIV comprising xEVs by 2030, Malaysia demonstrates a robust commitment to electric mobility,” he said.

Azrul Reza also believed that though the sector’s development was parked under the mission towards net zero, the rest of the segments of the EV value chain also provided opportunities for the sector to engage with other missions.

“As announced by the Investment, Trade and Industry (MITI) Minister Tengku Datuk Seri Zafrul Tengku Abdul Aziz, Perusahaan Otomobil Kedua Sdn Bhd’s (Perodua) first EV which will be developed as an affordable model potentially priced under the RM100,000 mark, will enter mass production by the end of 2025,” he stated.

EV Market Current Status

Although only around 2% of vehicles in Malaysia are electric, Chan said EV penetration remains modest as there are promising signs of growth.

“MAA reported that EV sales in Malaysia skyrocketed by 286% in 2023, with a total of 10,159 units delivered last year compared to 2,631 in 2022 (itself a tenfold increase from 277 units the year prior), so the potential are good,” he said.

This surge in sales reflects growing consumer interest and the effectiveness of government initiatives and incentives aimed at promoting EV adoption.

He also emphasised the importance of a holistic EV strategy.

“The government’s various initiatives and exemptions have been very encouraging for EV adoption and the decarbonisation of transportation in Malaysia,” he added.

He highlighted the incentives, adding that it supported EV manufacturers and helped expand the EV industry ecosystem.

“The MARiiCas RM2,400 rebate for 2WEV purchases (with 1,995 applications approved with rebates valued at RM4.8 million as of March 31) is a compelling stimulus, but it must be given time to fully take root as we found that the public at large still requires a lot more awareness and education on the merits of electromobility,” he elaborated.

Meanwhile, Shamsul Bahar said MGTC is at the forefront of promoting sustainable transportation options, particularly the adoption of EVs across Malaysia.

“MGTC provides policy advocacy, technical assistance and studies to support EV charging development in Malaysia,” he told TMR.

He noted the current green mobility shift in the nation has picked up tremendously since the gazetting of the LCMB in 2021 and the establishment of the National EV Task-force in 2020.

He added that MGTC strived to raise awareness and introduce EV technology to both the general public and academia to get better-targeted growth results.

Meanwhile, MARii’s insights unveil a landscape ripe with initiatives aimed at fostering EV adoption and nurturing a vibrant ecosystem.

From strategic policies outlined in the National Automotive Policy (NAP) 2020 to incentives bolstering the EV industry’s growth, Azrul Reza said Malaysia is currently adopting a holistic approach.

Observable Trends and Leading EVs

Chan believed that the environmental, social and governance (ESG) plays a role in the shift towards EV transition, where companies must report and offset their carbon footprint or face penalties.

He said governments, through policies, EV incentives, and penalties; corporations, through ESG initiatives and fleet electrification; and consumers, through greater receptivity of EVs and EV adoption, are driving the shift in mindsets and creating a movement in favour of EVs as the de facto mobility platform over several decades.

With an influx of new EV market entrants, primarily from China, Chan saw competition intensifies, leading to price competition and greater consumer choice.

“This can only be good for the consumer and for innovation overall, as the nation’s EV industry takes shape from its formative years over the past decade,” he noted.

Also, established motoring brands and emerging players vied for market dominance, positioning Malaysia as a competitive arena for EV innovation.

Looking ahead, Blueshark Ecosystem remains committed to its leadership role in the 2WEV segment.

On the other hand, Shamsul Bahar said the launch of the LCMB has spurred the government to offer a range of incentives, including tax exemptions for importing EVs, tax rebates for installing charging infrastructure and financial support under the Green Technolog y Financing Scheme (GTFS).

“There are slightly above 16,000 battery electric vehicles (BEV) in Malaysia as of 2023,” he said.

Furthermore, efforts are underway to promote the production of affordable EVs through tax exemptions for importing EV parts and components.

While the availability of affordable EV models remains limited, he said the government’s focus on incentivising local production of completely knocked down (CKD) vehicles aims to address this gap and make EVs more accessible to Malaysian consumers.

He saw initiatives such as rebates for electric motorcycles and the adoption of EVs in mass transportation plans by local municipalities further drive the momentum towards sustainable mobility solutions.

Meanwhile, Azrul Reza believed Malaysia stands as a beacon of innovation and collaboration in EVs.

“We are witnessing a dynamic interplay of various brands and players contributing to the advancement of sustainable mobility,” he said.

From global automotive giants to local manufacturers, Malaysia’s EV landscape thrives on diversity, fostering innovation and accessibility for consumers.

Azrul Reza noted that EVs in Malaysia encompass a wide range of brands such as BMW, MINI, Nissan, Renault, Ora, Hyundai, Kia, Mercedes-Benz, Volkswagen, Volvo, BYD, Audi, Lotus and many others.

TMR also spoke with a Proton Holdings Bhd spokesperson who gave their insight into the EV market for 2024.

They expect that Sime Darby Motors Sdn Bhd’s BYD Atto 3 model, which was launched in Malaysia in December 2022, will be coming out on top this year.

Last year, the model sold 9,190 units, or a 298.5% increase from 2022, and this year’s potential is forecasted to be around 15,000 to 20,000 units.

The Atto 3 is an e-SUV with a starting price of RM149,800 with 150 kilowatts of maximum power, able to go from zero to 100kmh in approximately seven seconds and have a range of 480km in one charge.

In terms of charging, the Atto 3 can reach from zero to 80% in just 45 minutes of charging using a DC charger.

This puts it on the more affordable end of EVs compared to other models which hover around the RM200,000 mark yet are still quite on par with other EVs in the market.

Anticipated Increase in Adoption

As Malaysia strives to become a manufacturing and assembly hub for EVs in the Asean region, Chan believes significant growth in adoption is anticipated.

Market projections suggest a doubling of EV volumes compared to previous years, driven by domestic market growth and increased demand from neighbouring countries.

“It is only set to increase exponentially as market acceptance of EVs is positive, improved infrastructure, enhanced consumer choice and the impending removal of fuel subsidies looms,” he said.

Chan added that the road to mass adoption involves making EVs accessible to everyone while establishing robust infrastructure support.

Over the next decade, he believes South-East Asian countries are expected to witness exponential growth in the 2WEV market, surpassing regions like Europe and East Asia.

Shamsul Bahar said the government’s commitment to transitioning to renewable energy (RE), coupled with advancements in EV technolog y and research capabilities, bode well for the future of sustainable transportation in the country.

“By 2050, 70% of the energy mix will be from RE,” he noted.

With the introduction of affordable EVs by local manufacturers on the horizon, he said Malaysia is poised to witness a significant uptick in EV adoption.

“This will surely boost EV uptake, as long as there is confidence in this technology’s sustainability,” he said.

Meanwhile, Azrul Reza said MARii foresees a future brimming with promise for EV adoption in Malaysia.

“Malaysians can anticipate a future where more affordable EVs become available, reflecting evolving market dynamics, particularly with Proton and Perodua entering the EV-making business,” he noted.

With government-led initiatives bolstering charging infrastructure and financial institutions offering tailored financing options, the stage is set for accelerated growth.

“The expansion of public charging stations and the installation of fastcharging infrastructure will address one of the key concerns for potential EV buyers — range anxiety,” he clarified.

This year, Azrul Reza expected to see a greater influx of globally recognised EV models entering the Malaysian market.

He emphasised that continued investment in research and development, innovation in battery technology and policy support for EV adoption are needed to establish Malaysia as a regional EV powerhouse.

“It is reasonable to anticipate a substantial increase in EV uptake by the end of this year,” he added.

Source: The Malaysian Reserve

Malaysia on track for EV revolution


Content Type:

Duration:

Global semiconductor firm Nasdaq-listed TTM Technologies Inc has invested US$200 million (about RM958 million) for its first manufacturing plant in Malaysia.

The group’s new facility at Penang Science Park provides significant opportunities for TTM’s local suppliers while nurturing local technical talent in advanced printed circuit board (PCB) technology solutions.

The plant is designed for mass production in commercial sectors such as networking, data centres, medical, industrial and instrumentation.

TTM president and chief executive officer Thomas Edman said in a statement on Thursday that Penang was a preferred location for the company due to its robust industrial ecosystem.

He also noted Penang’s position as a hub for the electrical and electronics industry, and its strong talent pool and conducive business environment.

The plant is expected to create around 1,000 jobs for local talent and generate full run rate revenue of around US$180 million (approximately RM855 million) by 2025. 

“Furthermore, the plant is built to support a Phase 2 expansion that could result in a 25% increase [in capacity],” said the joint statement by TTM, Invest Penang and Mida. 

Meanwhile, Mida chief executive officer Sikh Shamsul Ibrahim Sikh Abdul Majid said TTM’s expansion aligns with the government’s objective in the New Industrial Master Plan 2030 which focuses on bolstering the semiconductor ecosystem.

“It opens avenues for skill development and knowledge sharing among local talents, reinforcing Malaysia’s stature on the global stage as a competitive, technologically advanced nation,” he added. 

TTM’s announcement came a day after the ATX Semiconductor Group launched its manufacturing facility in Melaka, marking its first expansion outside China.

Source: The Edge Malaysia

Nasdaq-listed TTM Technologies invests RM958 mil for manufacturing plant in Penang


Content Type:

Duration:

Melaka is set to become a centre of excellence in the field of technology through the construction of the German Technology Park (GTP) .

Construction is scheduled to begin in early 2025 with an infrastructure development investment value of about RM200 million.

Melaka chief minister Datuk Seri Abdul Rauf Yusoh said the project under the Melaka Corporation (MCorp), in collaboration with German industry players, will provide nearly 10,000 job opportunities, consisting of skilled workers produced under the technical and vocational education and training (TVET) scheme.

He added that GTP is a state government initiative that will be developed in collaboration with the private sector.

Among the local companies involved are CY Park Resources Bhd and Teladan Group Bhd.

“In October, they will host a visit with their economy minister during German Week in Melaka, where all industry players, from small and medium enterprises (SMEs) to high-tech companies, will come to see the potential of GTP first hand.

“We pray that GTP will catalyse the new economy in Melaka and become a hub for technology transfer in the Southeast Asian region,” he noted.

Abdul Rauf also said Melaka is the first state to provide a site for developing German technology in Malaysia.

He added that the state government, together with the Malaysian Investment Development Authority (MIDA), offers various incentives to ensure the project can be implemented within the set timeframe.

Melaka aims to commence the operations of GTP in 2027.

Abdul Rauf is currently in Hanover, Germany, to meet with technology industry players from the country at the Hanover Messe Expo 2024.

The GTP, developed on a 341-acre site in Ayer Keroh, is expected to attract between 20 and 30 German companies to invest in their respective fields.

Source: NST

Melaka poised to be a tech hub via GTP


Content Type:

Duration:

Ray Tech (Malaysia) Sdn Bhd, a subsidiary of Unicomp Technology China, has opened its first smart industrial X-ray inspection specialist plant in Gelang Patah, Johor.

The X-ray technology company said the cutting-edge facility would revolutionise the production and distribution of X-ray equipment, catering to the growing demand for advanced X-ray imaging in various sectors and regions around the world.

Ray Tech general manager Matthew Loh said the facility would not only bolster the company’s production capabilities but also strengthen its presence in the regional and overseas markets, enabling the company to better serve its customers.

“We are excited to inaugurate our X-ray assembling plant in Malaysia, a testament to our continued investment in innovation and commitment to advancing the use of smart industrial X-ray in various sectors,” he said in a joint statement with the Malaysian Investment Development Authority (Mida) today.

The company said Malaysia’s allure in attracting high-technology industries bodes well for the country as it brings along new technology and job opportunities.

It noted that the launch of this plant underscores investors’ confidence in Malaysia’s business-friendly environment and affirms the country’s status as a preferred investment destination for high-value manufacturing and innovation-driven investments.

“This 80% export-oriented project will be supported by the Malaysian technical workforce with more than 95% of the total manpower ranging from managerial, technical, and supervisory categories.

“The advent and portrayal of X-ray go further than the medical sector and is now extended to the automotive, electronics semiconductor, lithium battery, public security, foreign object detection and non-destructive tests,” it said.

The company said that among its noted clientele are Xiaomi, Tesla, BYD, Mercedes, BMW and Honda.

Meanwhile, Mida deputy CEO of investment promotion and facilitation Sivasuriyamoorthy Sundara Raja said the new facility signified a significant step forward for Malaysia’s industry and promised numerous job opportunities for the local community.

“We eagerly anticipate the growth and prosperity this investment will bring,” he said.

This achievement showcases the trust of companies in the country’s long-term investment propositions and the confidence of local and global investors in Malaysia as a preferred sustainable investment destination, he added.

Source: Bernama

Ray Tech opens its first smart industrial X-ray inspection specialist plant in Johor


Content Type:

Duration:

Vitrox Corp Bhd is optimistic that the global semiconductor industry will pick up its momentum gradually in the coming quarters.

The electronics manufacturing services (EMS) provider also maintains an optimistic outlook regarding the sustained growth in demand from artificial intelligence (AI), telecommunications, and automotive sectors in the near future.

“The group continues to focus on pursuing new opportunities through product innovation, enhancing customer services and exploring new markets coupled with tight cost control measures to stay competitive and resilient in the global market,” it said in a filing with Bursa Malaysia.

In the first quarter ended March 31, ViTrox’s net profit tumbled 48% to RM17.23mil, or earnings per share of 1.82 sen against RM33mil, or 3.49 sen achieved in the same quarter a year ago.

ViTrox said the decrease was primarily due to unfavourable product mix coupled with higher research and development (R&D) expenditures to support various new product introduction (NPI) projects.

Revenue for the period fell 10.3% to RM119.6mil against RM133.3mil posted last year, mainly due to softer demand from automated board inspection (ABI).

Source: The Star

ViTrox optimistic on semiconductor sector growth


Content Type:

Duration:

French electronic manufacturing service firm eolane has launched a new manufacturing plant in Kulim Hi-Tech Park, Kedah involving an investment of €8.7 million (RM45 million) for the first phase of the project.

The new plant is expected to create about 150 new jobs, the company said in a joint statement with Malaysian Investment Development Authority (Mida). eolane also plans to “substantially” increase its capacity in Phase 2 to meet future demand, it said.

“With the addition of this new facility in our pipeline, we are confident that we would be able to capture and capitalise on the industry’s demand, not only in Kedah or Malaysia but in the Asian region in general,” said eolane chief executive officer Olivier Clement.

eolane operates in seven countries, mainly designing and manufacturing electronic circuit boards for defence, industry, telecoms, rail, automotive, health, energy and aeronautics markets.

The company chose Kulim Hi-Tech Park in Kedah because “the state has the right infrastructure, talent, and capabilities to meet the demands of the manufacturing industry,” said Clement.

Mida CEO Sikh Shamsul Ibrahim Sikh Abdul Majid said the new facility aligns seamlessly with the government’s New Industrial Master Plan 2030, while symbolising eolane’s confidence in Malaysia’s sustained economic growth and commitment to sustainable practices.

“We are leaving no stone unturned in ensuring that the automated plant, with a commitment to sustainable practices, not only succeeds but also integrates Malaysia into eolane’s vital international value chain,” he said.

Kedah Menteri Besar Datuk Seri Muhammad Sanusi Md Nor meanwhile said eolane’s investment recognises Kedah as a state providing the right prerequisites for sustainable production of high-quality electronic products.

“This enables eolane to live its vision of improving performance for operation excellence in the electronic manufacturing industry,” he said.

Source: The Edge Malaysia

France-based eolane launches RM45 mil facility in Kulim Hi-Tech Park


Content Type:

Duration:

The Ministry of Investment, Trade and Industry (MITI) has until the end of May this year to prepare a comprehensive Strategic Semiconductor Masterplan that will ensure Malaysia’s relevance while also progressing up the global supply chain.

Its minister, Tengku Datuk Seri Zafrul Abdul Aziz, said the National Investment Council, chaired by Prime Minister Datuk Seri Anwar Ibrahim, had pushed for a high-level plan for the semiconductor industry, which is deemed a critical as well as strategic industry for the country’s economy.

“The prime minister has asked MITI to work closely with other ministries, especially the Ministry of Finance, to develop a comprehensive plan under which Malaysia will play a prominent role in the global space.

“It (the strategic plan) covers every aspect of the ecosystem, which includes infrastructure, talent force and incentives,” he said during the question and answer session following the presentation of MITI’s first quarter report card here, today.

Moreover, the minister stated that significant economies, such as the European Union and the United States, have introduced their legislation and strategies to encourage investments in the semiconductor sector; therefore, Malaysia must develop a concrete and strategic plan to promote its semiconductor industry and players.

“Despite the short timeline provided, we will seek input from all stakeholders. We talked to industry stakeholders to brief the task force on their perspectives on our sector and what they believe is relevant to include in the plan.

“We will continue to involve all parties. We’re having discussions every day about it, and we’re hoping to come up with a strategy that will make Malaysia highly competitive in the area,” Tengku Zafrul added.

Malaysia has been a prominent player in the global semiconductor value chain for the past 50 years, Malaysia accounted for an estimated 13 per cent of global back-end manufacturing and 23 per cent of US semiconductor trade in 2022.

Anwar previously announced plans to build Southeast Asia’s largest integrated circuit (IC) design park, which will house world-class anchor tenants and collaborate with global companies such as British chipmaker Arm Holdings.

Source: Bernama

Tengku Zafrul: MITI to prepare comprehensive strategic semiconductor Masterplan by May


Content Type:

Duration:

Solar glass, worth RM1.86 billion annually, is expected to be produced in Sabah soon, said Industrial Development and Entrepreneurship Minister Datuk Phoong Jin Zhe.

The first shipment of made in Sabah solar glass, weighing 672 tonnes with an estimated value of RM1.43 million, was exported to Cambodia last weekend, Phoong said at the Sabah State Legislative Assembly yesterday.

He said this of the Kibing Group, which operates the 50-hectare manufacturing facility at Kota Kinabalu Industrial Park (KKIP), when winding up for the ministry, in support of the policy speech by the Yang Di Pertua Negeri.

“The projected production, once the facility is fully operational, is expected to increase to 876,000 tonnes annually by next month, with an estimated product value of RM1.86 billion.

“This will outrightly increase the contribution of the manufacturing sector to the state’s Gross Domestic Product (GDP), apart from elevating the export value,” he said of the company, SBH Kibing Solar New Materials Sdn Bhd, launched late last year, with an investment plan of RM3 billion.

“I also wish to inform the Dewan at the ministry plans to coordinate a proposal for the Kibing Group to enhance it’s production of solar glass capacity in KKIP by adding a third production line.

“This investment expansion will increase the company’s investment by an estimated RM700 million and create 600 jobs,” added Phoong of the manufacturing facility that currently has about 2000 employees, mostly locals.

Meanwhile, the state Youth and Sports Ministry will give priority to the Sabah Youth Policy, which aspires to elevate the innovative potentials of the younger generation of people in the state.

Its minister Datuk Ellron Alfred Angin said this focus will be in 12 elements namely leadership, unity, education, personality, integrity, prosperity, volunteerism, entrepreneurship, knowledge, environment and confidence.

“To excel in these elements, the ministry has prepared a five-year Youth Development Strategic Plan. This will be the guide for the development progress to be constantly reviewed annually,” he said.

Source: NST

Sabah to produce solar glass worth RM1.86 billion annually


Content Type:

Duration:

A total of 2,214 electric vehicle (EV) charging stations were installed as of March 20, 2024, as the Investment, Trade and Industry Ministry (Miti) maintains its commitment to developing the infrastructure and achieving the targeted 10,000 charging points by 2025.

As outlined in 2021 under the Low Carbon Mobility Blueprint (LCMB) 2021-2030, Malaysia aims to have 10,000 EV charging stations by 2025, comprising 9,000 units of alternating current (AC) chargers and 1,000 units of direct current (DC) fast chargers.

“Out of the 2,214 EV charging stations installed, 1,741 are alternating current chargers and 473 direct current fast chargers,” minister Tengku Datuk Seri Zafrul Abdul Aziz said at a press conference after announcing the ministry’s first-quarter 2024 report card, here, today.

On the Electric Motorcycle Use Promotion Scheme (MARiiCas) programme, Zafrul said 1,995 applications were approved with rebates valued at RM4.8 million as at March 31, 2024.

On a separate matter, Zafrul said the Malaysian Industrial Development Finance Bhd (MIDF), an agency under Miti, has disbursed RM58.91 million to 17 small and medium enterprises (SMEs) in the first quarter (1Q) of 2024 for automation and modernisation.

The total allocation for the soft loan is RM150 million for 30 companies in the manufacturing and manufacturing-related services sector.

Additionally, there are matching grants available for Bumiputera aerospace SMEs.

“The target is 30 companies with a total allocation of RM150 million. As of 1Q this year, RM8 million has been disbursed to five SMEs,” he said. 

As for the Industry4WRD Intervention Fund (IIF), he noted that applications from 401 Malaysian SMEs were approved, with a total grant value of RM149.1 million, as of March 31, 2024.

The IIF serves as a financial support facility for Malaysian SMEs in the manufacturing and related services sectors to adopt Industry 4.0 technologies.

The top three approvals were for food manufacturing (78 SMEs), plastic products (51), and machinery and equipment (40).

In terms of states, the top three were Selangor, Johor and Penang with 165, 70, and 53 SMEs respectively.

Zafrul also highlighted that Miti assists SMEs on their environmental, social and governance (ESG) journey through a self-assessment mechanism.

To date, 702 out of the targeted 1,000 companies for 2024 have received assistance.

Source: Bernama

MITI maintains 10,000 EV chargers target by 2025, 2,214 installed so far


Content Type:

Duration:

Penang is committed to strengthening the state’s position as part of the global chip supply chain, Chief Minister Chow Kon Yeow said today as Putrajaya ramps up the country’s efforts to be an emerging powerhouse.

He said the state government has remained steadfast in securing strategic investments to boost its economy and solidify its position as a preferred investment destination in the Asia-Pacific region.

“Penang with its expertise in the manufacturing sector for over five decades has become a ‘natural magnet’ for back-end chip manufacturing and is expected to further integrate with the global chip supply chain in the upcoming decades,” he said in a statement issued here.

The Penang lawmaker said the state government has taken measures in its strategies to diversify its core industries, namely in the electronic and electrical (E&E) sector, in order to compete on the world stage.

“The introduction of the Penang Silicon Island (PSI) will serve as a pathway for the inducement of investment diversification,” he said.

“High-tech manufacturing, assembly, test and advanced packaging, automation, robotics, artificial intelligence (AI), Internet of Things (IoT), medical devices, and GBS will be the future of Penang’s manufacturing marvel,” he added.

He said Penang is currently home to over 20 companies specialising in Integrated Circuit (IC) design, with multinational corporations (MNCs) accounting for 85 per cent of the sector.

This included global players such as Intel, AMD, Lattice, Microchip, Efinix, StarFive and Synopsys.

“As a result, Penang has developed a complex yet dynamic E&E and semiconductor ecosystem that has consequently enabled the nurturing of three homegrown IC design corporations such as SkyeChip, Oppstar Technology, and Infinecs Systems,” he said.

He said the state government, through Penang Development Corporation (PDC), is investing RM220 million to construct two new Global Business Service (GBS) buildings, namely ‘GBS by the Sea’ and ‘GBS Tech Space’.

He said the buildings will offer state-of-the-art office space and lab facilities, totalling approximately 360,000 sqft of space.

“Completion is anticipated by Q4 of this year,” he said.

Chow commended the Selangor state government and the federal government’s investments of RM65 million and RM60 million respectively into the construction of Selangor Information Technology and Digital Economy Corporation’s (Sidec) Malaysia Semiconductor Accelerator and Integrated Circuit (IC) Design Park — touted to be the biggest in Southeast Asia.

He also welcomed the introduction of the New Industrial Master Plan 2030 (NIMP 2030) to woo future investors to Malaysia.

Source: Malay Mail

As Putrajaya doubles down on semiconductors, Penang says committed to strengthen position as part of global chip supply chain


Content Type:

Duration:

The government has so far implemented 1,802 projects, or 75.5 per cent of the 2,386 manufacturing projects approved from 2021 to 2023. 

Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Tengku Abdul Aziz said the 2,386 projects received the green light from the National Committee on Investments. 

A total of 1,597 projects are in the inception stage and 205 are in the construction or installation phases to date. 

Tengku Zafrul noted that 551 projects, or 23.1 per cent, are in the planning stage and 33 projects, or 1.4 per cent, are not implemented due to the companies’ change of strategy. 

On the approved investments for the first quarter of 2024, he said the figure will be announced in early June. 

The ministry also approved RM60.5 billion worth of digital investments in 2023.  

From 2021 to 2023, the amount approved totalled  RM144.7 billion, whereby data centres take up a lion’s share of the total at RM114.7 billion.  

Tengku Zafrul said foreign media had taken an interest in data centres   

“Although arguably data centres contribute a small number of jobs, what’s important is they enable the digital economy,” he told a press conference on the ministry’s first quarter report card  yesterday. 

By end-2022, the digital economy grew to RM205 billion, accounting for 14 per cent of gross domestic product (GDP), with mainly e-commerce and fintech charting the growth. 

“Our target is to expand the digital economy to 22.6 per cent of GDP by 2025 with efforts to improve Malaysia’s digital transformation to enhance competitiveness.  

“A robust data centre ecosystem will support this growth sustainably. When you bring data centres into the country, there will be spillover  to other companies within the ecosystem.” 

The year 2021 saw RM3.4 billion of approved digital investments. This surged to RM80.8 billion in 2023. 

On the electric vehicle sector, Tengku Zafrul said 2,214 charging stations were installed as of March 20. These are 1,741 AC chargers and 473 fast DC chargers. 

 The ministry has maintained its target of 10,000 charging stations by end-2025.  

On the electronics and electrical sector upcycle, Tengku Zafrul said Malaysia is poised to benefit from the rising demand.  

“Based on discussions with companies, our export will go up as they build up capacity following the demand from various industries. If we look at the investments made globally, this upcycle will benefit Malaysia.” 

 Tengku Zafrul added that the ministry is concluding a free-trade agreement (FTA) with the United Arab Emirates by June.

 He said it is the first  FTA with the Middle Eastern country, adding that it is a comprehensive economic partnership agreement.

Source: NST

MITI: 75.5pc of manufacturing projects approved between 2021 and 2023 have kicked off


Content Type:

Duration:

Ultra Clean Holdings Inc (UCT), which is employing 600 workers locally, has inaugurated its new manufacturing facility in Penang as part of its RM250 million investment.

UCT, with its headquarters in Hayward, California, is a developer and provider of critical subsystems, components, and ultra-high purity cleaning and analytical services for the semiconductor sector.

UCT CEO Jim Scholhamer said the “state-of-the-art facility” will ensure business continuity and enable the company to better serve its local and global customer base.

The construction of the facility, executed in phases, began in September 2020, according to a joint statement by UCT, Malaysian Investment Development Authority (MIDA) and Invest-in-Penang Bhd (Invest Penang).

The first phase covered 300,000 sq ft, focusing on weldments, frames and modules. The second phase, started in early 2022, added another 250,000 sq ft, boosting vertical integration capabilities.

With the recent acquisition of nine additional acres of land in mid-2023, the statement added that plans for a third phase were underway, promising to extend manufacturing capacities and vertical integration opportunities later this year.

Upon completion of all phases, UCT has projected an additional revenue potential of US$600 million to US$800 million (RM3.78 billion).

Among those present at the inauguration event were Penang Chief Minister Chow Kon Yeow, MIDA CEO Sikh Shamsul Ibrahim Sikh Abdul Majid and MIDA director Muhammad Ghaddaffi Sardar Mohamed. 

Source: The Malaysian Reserve

Penang semicon player UCT inaugurates new manufacturing facility


Content Type:

Duration:

The Kibing Group has successfully exported its inaugural batch of solar glass manufactured in Sabah, totalling 672 tonnes, to Cambodia last Sunday (April 21). 

The estimated product value amounted to RM1.43 million.

Sabah Industrial Development and Entrepreneurship Minister Datuk Phoong Jin Zhe announced this during the Sabah State Legislative Assembly  session on Tuesday.

Phoong highlighted that Kibing’s production of solar glass is set to increase to 876,000 tonnes annually starting this May, with an estimated product value of RM1.86 billion when the plant reaches full operational capacity. 

“This will simultaneously increase the manufacturing sector’s contribution to Sabah’s gross domestic product (GDP), as well as the state’s export value,” he said.

He said this when winding up the debate on the motion of thanks for the Sabah Yang Dipertua Negeri Tun Juhar Mahiruddin’s policy speech involving his ministry at the assembly.

During the session, Phoong elaborated on his ministry’s coordination of the Kibing Group’s proposed investment to expand the solar glass production capacity at its factory in the Kota Kinabalu Industrial Park (KKIP), by adding a third production line. 

This is expected to generate an additional investment of RM700 million and create up to 600 job opportunities, he said.

Phoong also highlighted his ministry’s efforts to attract more investment in downstream industries to add value to Sabah’s raw materials and mineral resources, thus developing a more comprehensive industrial ecosystem. 

“Various incentives are available to investors through the Malaysian Investment Development Authority (Mida), including income tax exemptions, investment tax allowances, grants, import duty exemptions and sales tax exemptions for raw materials, machinery, and related equipment,” he said.

He also emphasised the collaboration between his ministry, Mida, and the Sabah Economic and Investment Authority (Sedia) in promoting investments in Sabah. 

Additionally, the Sabah government offers competitive land rental costs in industrial parks to attract investors, he said.

The session concluded with the Sabah State Legislative Assembly Deputy Speaker Datuk Al-Hambra Tun Juhar adjourning the meeting until Wednesday (April 24).

Source: Bernama

Kibing Group exports 672 tonnes of Sabah’s first batch of solar glass to Cambodia


Content Type:

Duration:

ATX Semiconductor Group, a globally renowned semiconductor provider from China, intends to ramp up investment to US$200 million (RM952 million) for its new manufacturing plant in Melaka, over the next five years for its second-phase business expansion.

Chief executive officer Chris Hsu said the company has already invested more than US$55 million (RM258 million) in the group’s inaugural manufacturing facility outside of China, in Free Trade Zone III, Batu Berendam here.

Hsu added that production is slated to commence in the first half of 2026.

“The new facility has initiated manufacturing activities and will expand production capacity to better serve customers in Malaysia and surrounding regions,” he said during a press conference following the opening ceremony of ATX Semiconductor (Melaka) Sdn Bhd here today.

Hsu highlighted the potential for job creation, with over 2,000 jobs expected to be generated in the coming year.

He emphasised the positive impact on the economy and employment opportunities in Melaka as well as the facilitation of technology transfer and talent development between China and Malaysia.

The event was also attended by Melaka State Women’s Affairs, Family Development and Welfare Committee chairman Datuk Kalsom Nordin.

Hsu commented on ATX Group’s strong presence in China, with leading packaging and test solutions, and noted that the new facility in Melaka would leverage this expertise.

“ATX currently operates six manufacturing plants worldwide, with five in China and one in Melaka.

“This plant marks not only the first ATX Semiconductor facility in Malaysia but also the first ATX manufacturing plant outside China,” he added.

Hsu added that ATX’s products and services cater to various industries, including communication, automotive, consumer, industrial, high-performance computing and medical sectors.

Source: Bernama

ATX Semiconductor to boost investment in Melaka to RM952mil


Content Type:

Duration:

The Malaysia Semiconductor Accelerator and IC Design Park: Selangor Hub, an initiative of the Selangor government through its digital economy arm, is expected to bring in economic returns of RM500 million to RM1 billion.

Selangor Information Technology and Digital Economy Corporation (Sidec) chief executive officer Yong Kai Ping said the integrated circuit (IC) hub, located in Puchong, Selangor, is expected to begin operations in July and contribute to the state’s economic growth.

He added that the state-of-the-art facility, developed in collaboration with the federal government, will open up professional career opportunities especially in the engineering field with high salary offers of between RM5,000 and RM7,000 a month.

He was speaking to reporters after signing a letter of intent with four strategic partners — Softbank subsidiary ARM Ltd, Phison Malaysia (MaiStorage), SkyeChin Sdn Bhd and the Shenzen Semiconductor Industry Association — here today.

The collaboration with these influential entities is aimed at leveraging global expertise and resources to boost local capabilities in semiconductor design.

“In the first year of operation, we expect more than 300 IC design engineers will be employed and the number will increase in the following year,” he said.

The IC Design Park, located in a 45,000 sq ft building initially, will be expanded up to 60,000 sq ft later to accommodate industry needs, Yong said.

“From three storeys, we will expand the building to six storeys. We have already received strong demand from international investors,” he added.

The signing ceremony, held on the sidelines of the KL20 Summit 2024, was witnessed by Economy Minister Rafizi Ramli, Digital Minister Gobind Singh Deo, Selangor state secretary Datuk Haris Kasim and Selangor state investment, trade and mobility committee chairman Ng Sze Han.

Prime Minister Datuk Seri Anwar Ibrahim launched the two-day summit that began today.

Ng said the hub is expected to be the largest IC design park in South-east Asia.

“It is an excellent initiative as it will not only create job opportunities but also opportunities in support sectors such as logistics and food and beverages,” he said.

The primary goal of the park is to promote original design manufacturing, encouraging local involvement in product design, prototyping and production — shifting from “Made in Malaysia” to “Made by Malaysia.” 

Source: Bernama

IC Design Park set to bring in economic returns of RM500m to RM1b, says Sidec CEO


Content Type:

Duration:

The Selangor state government, through its digital economy arm the Selangor Information Technology and Digital Economy Corp (Sidec), will lead the establishment of an integrated circuit (IC) design hub in Puchong, touted to be the largest in Southeast Asia.

The project — in collaboration with the federal government, international semiconductor firms and venture capitalists — is a strategic move to position Malaysia as a potential powerhouse in the global IC design industry.

Sidec chief executive officer Yong Kai Ping said Malaysia must quickly seize opportunities in chip design to move up the semiconductor value chain as competition intensifies.

“The IC Design Park will elevate Malaysia closer to the front-end IC design segment from the back-end process of packaging and testing,” he said in a statement on Monday.

The proposed IC Design Park, poised to begin operations by July 2024, has already secured the commitment of four partner companies, including ARM Ltd, Phison Malaysia, SkyeChip Sdn Bhd and Shenzhen Semiconductor Industry Association.

ARM, a subsidiary of the Japanese conglomerate SoftBank, is a notable name in the global semiconductor industry as it specialises in providing intellectual property (IP) cores and related technologies for processors. It licenses its designs to over 1,000 global partners like Apple, Microsoft and Samsung.

Phison Malaysia, established in 2000 by Datuk Pua Khein-Seng, who is famous for inventing the world’s first single-chip USB flash drive or pen drive, is the world’s largest independent provider of NAND Flash controllers and comprehensive storage solutions. The company plays a critical role in supplying essential technology for data storage across both consumer and enterprise-level products, according to Sidec.

SkyeChip, founded in 2019, specialises in the development of proprietary silicon IP and is already making a name for itself in artificial intelligence and high-performance computing IC solutions.

The Shenzhen Semiconductor Industry Association, meanwhile, boasts a membership of 587 semiconductor companies operating in China. It offers a comprehensive suite of support services to the semiconductor industry’s ecosystem such as research institutions and universities, extensive supply chain management, financial services and intellectual property management.

Phison to invest RM100 million to set up start-up company in Malaysia

Separately, Pua announced that the Taiwan-based NAND storage solutions provider Phison Electronics Corp is investing RM100 million to set up a start-up company called MaiStorage in Selangor, and plans to move over RM1 billion worth of matured technology back to his homeland.

Two of Phison’s five co-founders, including Pua, are from Malaysia.

Pua said Phison will collaborate with Mimos Bhd to grow Malaysia’s technology industry, hoping to groom 300-500 NAND storage talents within 18 months, creating high-paying jobs for the country.

“We are willing to offer higher-than-industry salaries to these underappreciated talents, more than RM6,000 a month for example, and fresh graduate’s starting pay will be RM8,000 with additional bonus,” he was reported as saying at the KL20 Summit 2024 on Monday.

Earlier on the same day, Prime Minister Datuk Seri Anwar Ibrahim in his keynote address at the KL20 Summit 2024 unveiled the plan to build the largest IC design park in Southeast Asia by Sidec, with ARM licensing its technology to the IC design park.

The proposed IC design park, Anwar said, is part of Malaysia’s efforts to move beyond backend chip assembly and testing and into high-value front-end design work.

At the summit, Anwar, together with Economy Minister Rafizi Ramli, Digital Minister Gobind Singh Deo, Science, Technology, and Innovation Minister Chang Lih Kang, and Federal Territories Minister Dr Zaliha Mustafa, witnessed the signing of a letter of intent for the establishment of the IC Design Park signed by Sidec’s Yong, ARM president of Asean CK Tseng, Phison’s founder and chief executive officer (CEO) Pua, SkyeChip CEO SK Fong, and Shenzhen Semiconductor Industry Association president Zhou Shengming.  

The IC Design Park will be equipped with common public service tools and facilities, including affordable electronic design automation (EDA) tools, servers, intellectual property (IP), multi-project wafer (MPW) services and training programmes.

The primary goal of the park is to promote original design manufacturing (ODM), encouraging local involvement in product design, prototyping, and production — shifting from “Made in Malaysia” to “Made by Malaysia”.

Source: The Edge Malaysia

Malaysia announces largest integrated circuit design park in SEA, attracts SoftBank’s ARM, Phison


Content Type:

Duration:

An investment of up to RM3 billion will be made by sovereign wealth fund Khazanah Nasional Bhd, Retirement Fund (Incorporated) (KWAP) and Blue Chip Venture Capital (BCVC).

Prime Minister Datuk Seri Anwar Ibrahim said the investment will be made in South-east Asian (SEA) and Malaysian ecosystems under the Asean Investment Initiative.

Speaking at the launch of KL20 Summit 2024 here today, Anwar, who is also the finance minister, also announced that Khazanah Nasional will launch a “National Fund of Funds” with an initial RM1 billion allocation to invest in innovative high-growth Malaysian companies.

He said this was following the Malaysia Madani Budget 2024 announcement last year, which outlined the government’s commitment to Malaysian companies, from Bumiputera entrepreneurs to start-ups, small and medium enterprises (SMEs) and rising champions.

“The government also aims to centralise investment agencies such as Malaysia Venture Capital Management Bhd (Mavcap) and Penjana Kapital under Khazanah Nasional,” he added.

BCVC is a specialised fund that aims to enhance technology and value in the semiconductor industry. 

Source: Bernama

PM Anwar: Khazanah, KWAP and Blue Chip VC to invest up to RM3b in SE Asian, Malaysian ecosystems


Content Type:

Duration:

wpChatIcon