Singapore’s United Overseas Bank (UOB) has launched a Green Lane initiative with Invest Johor to fast-track investments into the Johor-Singapore Special Economic Zone (JS-SEZ).

The initiative, a result of the Memorandum of Understanding (MoU) signed at the 2024 Asean conference, aimed to streamline the approval process for high-impact investors. Invest Johor serves as Johor’s one-stop centre for investors, promoting and facilitating investments across various industries.

It aims to position Johor as a regional hub for high-tech, knowledge-based, and capital-intensive industries.

UOB will conduct pre-qualification assessments for its clients applying for Johor’s Super Lane approval, significantly reducing processing time.

The bank also introduced a Fast Lane account opening service for Singaporean investors expanding into the JS-SEZ and established dedicated JS-SEZ desks in Johor and Singapore for market entry support.

The Green Lane’s first beneficiary, Hong Kong-listed Gold Peak Technology Group, is set to invest RM670 million (US$150 million) to establish an advanced manufacturing and R&D facility in JS-SEZ.

Gold Peak Technology Group executive director and managing director Michael Lam presented a Letter of Intent (LOI) to Invest Johor chief executive officer (CEO) Natazha Hariss at a business mission event attended by Johor Menteri Besar Datuk Onn Hafiz Ghazi and other key officials.

Lam also expressed confidence in JS-SEZ’s potential as a regional manufacturing hub.

“With UOB and Invest Johor’s support, our new facility will drive innovation in battery technology, reinforcing our commitment to powering a greener tomorrow,” he added.

Onn Hafiz hailed the initiative as a milestone in strengthening cross-border trade and investment, aligning with Johor’s Maju Johor 2030 vision.

“Gold Peak’s investment will bring advanced manufacturing, high-quality jobs, and sustainable economic growth to Johor, solidifying JS-SEZ’s position as a premier investment hub,” he said today.

Gold Peak’s upcoming facility will focus on next-generation battery technologies, playing a crucial role in sustainable energy storage solutions, particularly for data centres in Southeast Asia. The investment is expected to generate 150 to 180 new jobs, fostering local talent and innovation.

UOB Malaysia CEO Ng Wei Wei emphasised the bank’s commitment to driving strategic investments.

“Since our MoU with Invest Johor, we have actively delivered on our commitments, bringing in investments and streamlining approvals.

“The LOI from Gold Peak reflects growing investor confidence in JS-SEZ,” Ng said.

The collaboration between UOB, Invest Johor, and key investors is expected to accelerate the JS-SEZ’s transformation into a leading economic zone, attracting high-value, sustainable investments.

Source: NST

Gold Peak’s RM670mil investment first under JS-SEZ fast-track initiative

Pantech Global Bhd, en route to becoming Bursa Malaysia’s first Main Market listing of the year, plans to accelerate expansion and enhance operational efficiency, fuelled by the RM178.3mil it aims to raise from its initial public offering (IPO) on March 3.

The company, a wholly owned subsidiary of Main Market-listed Pantech Group Holdings Bhd before the listing, manufactures steel pipes and fittings for fluid transmission across industries such as oil and gas, semiconductors and shipbuilding.

While its parent company, Pantech Group, carries over 100,000 stock-keeping units (SKUs), while undertaking large-scale projects in Malaysia and the surrounding region, Pantech Global operates with a more focused product range of under 5,000 SKUs and is more export-oriented.

It primarily supplies original equipment manufacturers (OEMs), project-based clients, distributors, and resellers.

Unlike conventional steel producers focused on upstream processes like iron ore and billet production, Pantech Global operates further downstream, where value addition is significantly higher, group managing director Adrian Tan Ang Ang said.

“When you talk about steel, you start with iron ore and scrap, which are made into billets, then wire rods and other basic steel products. But we go further down, to fittings. That’s why our value-added is more,” he told StarBiz.

Tan noted that while the business has higher conversion costs, Pantech Global’s products fetch higher selling prices.

A check on the Malaysia Steel Institute’s website showed that median steel prices in December 2024 stood at US$105 per tonne for iron ore, US$315 per tonne for scrap iron, US$492 per tonne for billet/slab and US$555 per tonne for steel bars.

In contrast, Tan highlighted that Pantech Global’s carbon steel fittings, which undergo extensive value-added processing, and are sold at US$1,600 per tonne.

This is due to the multiple processes involved, such as sawing, cutting and other treatments, he said.

As a result, Tan, who has been with Pantech Global since 2000 and oversaw its first factory opening, said steel price fluctuations have little impact on the company’s business due to its focus on high-value downstream products.

“Instead, we will look at the market demand,” he added.

Asked about rising costs and trade challenges after US President Donald Trump raised tariffs on steel and aluminum imports to a flat 25% “without exceptions or exemptions”, Adrian remained confident.

“We can always pass on cost increases to customers. If our costs rise, so do our competitors’. For example, with the 25% tariff in the United States, we are still able to sell at competitive prices because the entire market faces the same conditions,” he said.

Pantech Global currently operates two factories – one in Klang, producing carbon steel fittings, and another in Johor manufacturing stainless steel pipes and fittings.

Although the group’s factory utilisation hovers around the high 70s to low 80s, Tan said “on the site, we feel like we are running at full capacity”.

Tan said this is due to the nature of the business, where parts need to be moved between machines, despite equipment running continuously.

Pantech Global seeks to raise RM178.3mil from its IPO, with the bulk of the proceeds allocated for business expansion (RM67.3mil or 37.8%) and capital expenditure (RM64.7mil or 36.3%).

The remainder will go towards working capital (RM22.7mil or 12.7%), repayment of bank borrowings (RM15mil or 8.41%) and estimated listing expenses (RM8.6mil or 4.8%).

Part of the funds will be used to acquire operational facilities, including its Klang factory and Johor land, as part of its long-term expansion strategy.

“This will save us RM3.3mil annually in rental costs,” Tan said.

The company is also investing in automation and efficiency enhancements, such as a new pickling facility in Johor designed to handle 11.8m pipes.

Pantech Global’s pickling process is limited to 6m pipes, requiring double-dipping for longer lengths.

“With the new facility, we can process 11.8m pipes, which fit into a 40-foot container. This reduces labour from 35 to just five workers,” Tan said.

Pickling is a process where carbon is removed from stainless steel pipes using acid treatment after annealing and heat treatment.

The company is also acquiring new machinery, replacing conventional bandsaws with laser-cutting machines.

Source: The Star

Pantech Global fast tracks expansion

The Sipitang Oil and Gas Industrial Park (SOGIP) will serve as a key catalyst for the growth of the energy sector, which is crucial for Sabah’s continued economic development, said Chief Minister Datuk Seri Panglima Hajiji Noor.

SOGIP, he pointed out, has attracted numerous investments, including high-impact projects, such as Esteel’s Green Steel plant, which involves a phased investment of RM20 billion.

Most recently, an Energy, Oil, and Gas Hub project worth RM8.88 billion (USD2 billion) has been announced and the joint venture between Sabah Oil and Gas Development Corporation (SOGDC) which manages SOGIP and Gibson Shipbrokers Limited will position Sabah as a key energy hub in Southeast Asia.

For this reason, he said, the Sabah government remains committed to fully supporting investments that bring long-term benefits to the people of Sabah.

“I am confident that the success of this project will spur growth in the oil and gas industry, ultimately establishing Sabah as a competitive energy hub at the international level.”

“We are fortunate that Sabah is rich in natural resources, including forests, minerals, fauna, flora and marine life. Our strategic location, stable political environment, abundant natural resources, and diverse economy make Sabah an attractive destination for foreign investors,” Hajiji said when officiating the launch of the Petroleum Storage and Refining Plant Construction Project at SOGIP on Tuesday.

According to Hajiji, Sabah holds great potential in oil and gas resources, and the construction of the Petroleum Storage and Refining Plant by Petroventure Energy Sdn Bhd, set to begin in April, will significantly contribute to the state’s economic growth.

The project will involve the construction of a refinery with a capacity of up to 150,000 barrels per day (BPD) and oil storage facilities capable of holding three million cubic meters of crude oil and refined petroleum products.

“This is yet another strategic new investment that will undoubtedly reinforce Sabah’s position as an oil and gas industrial hub in the region,” said the Chief Minister, adding that with 400 acres of land allocated for the project at SOGIP, it is expected to attract over USD 3.5 billion (RM15.5 billion) in foreign direct investment (FDI) and create nearly 5,000 job opportunities for the people of Sabah.

During the construction phase, the project is estimated to require more than 3,000 workers, while the fully operational plant will provide permanent employment for over 1,000 workers.

“All of this is a positive indicator of our efforts to create employment opportunities for our people. I have always emphasized the importance of prioritizing local Sabahans in the workforce for all projects and operations in the state. I expect all industry players to adhere to this fundamental requirement as a key principle in our commitment to local development,” he stressed.

The project will also include the development of a jetty, oil grading facilities, a petroleum testing laboratory, and an administrative building.

Hajiji expressed confidence that Petroventure’s various environmental studies, including the Environmental Impact Assessment (EIA), will ensure that the project is developed sustainably, aligning with industry requirements and the state government’s environmental priorities.

Speaking to the media later, Hajiji said that the collaboration between SOGIP and Petroventure Energy Sdn Bhd at SOGIP is another effort to prioritize industrial growth in Sabah.

“I am very pleased that our long-term vision is progressing and succeeding day by day. This initiative will create job opportunities for local talents and boost our economy.

“We have an investor-friendly policy, but we prioritize local investors. However, we also welcome foreign investors, especially those with expertise in certain areas. The most important thing is that their investments bring benefits to Sabah,” he said.

Source: The Borneo Post

SOGIP to serve as key catalyst for growth of energy sector — Hajiji

Taiwanese semiconductor services firm ASE Technology Holding Co Ltd on Tuesday officially opened its fifth plant in Penang for chip packaging and testing.

The new plant will more than triple its floor space in Malaysia to about 3.4 million square feet, according to a statement. ASE, the world’s largest provider of outsourced semiconductor assembly and test services, said it will hire an additional 1,500 employees “over the next few years” for the plant.

“With Malaysia solidifying its position as a regional semiconductor hub, we see our expanded facility playing an even greater role across the global semiconductor value chain and contributing to the country’s economic growth,” said ASE chief executive officer Dr Tien Wu.

ASE’s plant in the Bayan Lepas Industrial Zone comes online at a time of rising demand for cutting-edge chips required for artificial intelligence and other advanced computing.

Penang is home to some of the largest global electrical and electronics companies, including semiconductor giants Intel and Infineon Technologies, as well as major manufacturers such as medical device maker B Braun and power tool company Bosch.

The new facility “further cements Penang’s position as a powerhouse in the global semiconductor landscape, reinforcing its reputation as the ‘Silicon Valley of the East’,” Penang Deputy Chief Minister II Jagdeep Singh Deo said in the joint statement.

For the Malaysian Investment Development Authority (Mida), ASE’s continued expansion in Penang underscores the long-standing partnership between Malaysia and Taiwan.

“These partnerships will not only drive demand for precision engineering, automation and semiconductor manufacturing, but they’ll also help our homegrown leaders,” said Mida deputy chief executive officer of investment promotion and facilitation Sivasuriyamoorthy Sundara Raja.

Source: The Edge Malaysia

Taiwan’s ASE opens fifth plant in Penang, will hire additional 1,500 staff

Sabah’s Petroleum Storage and Refinery Plant project is expected to create close to 5,000 job opportunities for Sabahans, says Chief Minister Datuk Seri Hajiji Noor.

“This is a promising development for our local workforce,” said Hajiji, adding: “I am committed to ensuring that Sabahans are prioritised for these opportunities, as part of our ongoing efforts to drive local development.”

The project that would bring in over USD 3.5bil (RM15.5bil) in foreign direct investment (FDI) will require more than 3,000 workers during its construction and over 1,000 permanent jobs will be created once the plant becomes fully operational.

The project, owned by Petroventure Energy Sdn Bhd is slated to begin in April and is expected to contribute significantly to the state’s economic growth, leveraging Sabah’s vast natural resources.

Hajiji expressed confidence that the facility, designed to process up to 150,000 barrels per day (BPD), will help establish Sabah as a prominent hub for oil and gas operations in the region.

With the addition of an oil storage capacity of three million cubic meters for both crude oil and refined petroleum products, the project will further cement the state’s strategic position within the global energy sector.

“This is another strategic new investment that will undoubtedly strengthen Sabah’s position as a hub for the oil and gas industry in the region,” said Hajiji.

Beyond the refinery itself, the project will also involve the construction of essential infrastructure, including a jetty, oil upgrading facilities, petroleum testing laboratories, and administrative buildings.

These additions will further enhance SOGIP’s appeal as a global investment destination.

Hajiji also reassured the public that the environmental impact of the project has been carefully considered.

Petroventure Energy has carried out extensive studies, including an Environmental Impact Assessment (EIA), to ensure the development aligns with both industry standards and the state’s environmental priorities.

SOGIP has already attracted several high-impact investments, such as Esteel’s Green Steel factory, which carries an RM20bil phased investment.

In addition, the recently announced RM8.88bil Energy, Oil, and Gas Hub Project, a collaboration between Sabah Oil and Gas Development Corporation (SOGDC) and Gibson Shipbrokers Limited, promises to elevate Sabah’s position in the Southeast Asian energy sector.

Hajiji reaffirmed the state government’s commitment to supporting investments that would provide long-term benefits for the people of Sabah.

“We are confident that this project will catalyse the growth of the oil and gas industry, making Sabah a competitive energy hub on the international stage,” he said.

Sabah’s abundant natural resources, coupled with its strategic location, stable political environment, and diverse economy, continue to make the state a prime destination for foreign investors.

Source: The Star

Sabah’s petroleum refinery project to create nearly 5,000 jobs, says Chief Minister

The National Investment Council (NIC) meeting has approved the implementation of a specific framework for the National Semiconductor Strategy (NSS) which outlines a clear direction to target the development of 110 local companies in high-value activities.

The Ministry of Investment, Trade and Industry (MITI) said the high-value activities are integrated circuit design (IC design), advanced packaging and advanced manufacturing equipment.

“This includes 10 local companies related to semiconductors with revenue of between RM1 billion and RM4.7 billion, as well as supporting the establishment of 100 other companies, each expected to generate annual revenue of around RM1 billion,“ it said in a statement today.

According to MITI, Prime Minister Datuk Seri Anwar Ibrahim, while chairing the NIC yesterday which was the first meeting of the year, approved the implementation of the NSS specific framework.

In this regard, MITI said it will work closely with other ministries, such as the Economy Ministry, the Foreign Ministry, the Science, Technology and Innovation Ministry, the Digital Ministry, the Natural Resources and Environmental Sustainability Ministry and the Higher Education Ministry.

NSS was launched on May 28, 2024.

It aims to strengthen Malaysia’s position in the global semiconductor supply chain as a strategic step to increase added value to the contribution of the manufacturing sector to the growth of Malaysia’s gross domestic product as well as the addition of skilled talent and an increase in median wages in the manufacturing sector, as targeted by the New Industrial Master Plan 2030.

Source: Bernama

NSS framework passed to develop 110 local high-tech companies – MITI

Malaysia is well-positioned to enhance its role in advanced packaging and semiconductor manufacturing, supported by a strong infrastructure base and a highly skilled workforce.

RHB Research noted that the country stands to capture a larger share of the technology market as geopolitical tensions and supply chain diversification push semiconductor companies to explore new manufacturing hubs.

“However, investments in these technologies require patience, often taking five to 10 years to yield returns,” it said in a note.

The firm said government support mechanisms are needed to establish and grow semiconductor fabs.

It said a strong base of engineering talent is crucial to sustain advanced manufacturing to achieve good yield and research and development efforts.

“Government policies such as subsidies and taxes further enhance investment appeal by lowering operational costs. Third, reliable and competitively priced utilities like electricity and water are necessary to support high-energy-consuming fabrication processes,” said the firm.

It added that the trade war has accelerated the diversification of supply chains, pushing companies to explore regions like Southeast Asia for manufacturing.

The shift is influencing the locations these companies choose to invest in and produce their products.

“Navigating this conflict requires a balanced approach, avoiding excessive alignment with either side to maintain trade relationships and strategic positioning,” it said.

The firm maintained an ‘Overweight’ call on the technology sector.

Source: NST

Malaysia can do better in advanced packaging, semiconductor manufacturing

Malaysia should implement a comprehensive strategy to attract semiconductor and high-tech industries to the country, according to RHB Investment Bank Bhd (RHB IB).

In a note on Tuesday, the investment bank said the strategy includes government support, talent attraction, education reforms and industry recognition.

It said the government must be prepared to provide substantial subsidies, tax incentives and special pricing for power and water to make the country competitive for investments.

“Efforts should be made to bring back experienced Malaysian semiconductor professionals working abroad, by offering special incentives and making the Malaysia My Second Home (MM2H) programme more attractive for expatriates.

“Strengthening universities by increasing engineering and technology programme intakes, aligning curricula with industry needs, and fostering research collaboration with companies will also help build a skilled local workforce,” it said.

RHB IB said recognising industry leaders, scientists and key contributors could also inspire greater participation in high-tech industries and drive motivation for research and development (R&D).

“Highlighting their achievements not only fosters innovation but also encourages the next generation to contribute to technological advancements,” it noted.

To strengthen its position in the semiconductor and software industries, Malaysia could collaborate with Asean to establish a regional cluster or hub, said RHB IB.

The bank said that working closely with Singapore will help attract major players like Micron, GlobalFoundries and Lam Research — by offering these companies incentives to expand their operations into Malaysia.

“Facilitating the seamless movement of equipment, materials and engineering support between the two countries can also enhance supply chain efficiency,” said the bank.

At a broader Asean level, RHB IB said linking with Thailand, Vietnam, and the Philippines could provide a cost-effective alternative to China for production activities.

It added that encouraging free trade and the smooth flow of materials within Asean can further enhance regional competitiveness.

“Positioning Asean as a China+1 alternative for semiconductor, software and equipment production will strengthen the region’s role in global supply chains, making it an attractive destination for high-tech investments,” it added.

According to RHB IB, semiconductor equipment investments are expected to double from US$100 billion today to US$200 billion over the next decade, reflecting the increasing demand and continued advancements in semiconductor technology.

Source: Bernama

Implement comprehensive strategy to attract semiconductor, high-tech industries to Malaysia — RHB IB

The National Investment Council (MPN) meeting has agreed that semiconductor diplomacy should become one of the strategic pillars of the National Semiconductor Strategy (NSS) policy framework, said Prime Minister Datuk Seri Anwar Ibrahim.

In a Facebook post, he announced that the strategic framework is designed to strengthen synergistic cooperation with international partners and ASEAN countries to ensure a sustainable and resilient supply chain for both domestic and global semiconductor players.

“In this regard, the Ministry of Investment, Trade, and Industry (MITI), in collaboration with the Ministry of Foreign Affairs, will foster closer cooperation in semiconductor diplomacy and strategic initiatives that can elevate the country to a higher level of expertise,“ he said.

The MPN meeting today agreed with the proposal to implement the NSS policy framework.

Anwar said it will focus strategically on the development of local companies to create 10 semiconductor-related companies with estimated revenues ranging from RM1 billion to RM4.7 billion.

Source: Bernama

Semiconductor diplomacy to become strategic pillar of policy framework – PM Anwar

UNITED STATES-based Benchmark Precision Technologies has officially expanded its presence in Penang with the groundbreaking ceremony of its fifth manufacturing facility.

Strategically located adjacent to its fourth facility in the Batu Kawan Industrial Park (BKIP), the new facility is expected to be completed by June 2026.

This expansion complements the company’s three other manufacturing sites in Bayan Lepas, further solidifying its role as a key player in Malaysia’s high-tech manufacturing landscape.

The groundbreaking ceremony, held today, was officiated by Deputy Chief Minister II Jagdeep Singh Deo, marking another milestone in Penang’s growing prominence as a hub for advanced manufacturing and precision engineering.

Benchmark Precision Technologies Group president Datuk Dr Balamurugan Sinnasamy highlighted that the new facility will be a cutting-edge two-storey building featuring office spaces, advanced production areas, including cleanrooms, complex machining capabilities, automated powder coating lines and a multi-storey car park and other in-house amenities.

“With an investment of RM110 million over the next 18 months, this facility will add an additional 215,000 sq ft of manufacturing space.

“Over the next five years, we expect to create employment opportunities for more than 500 professionals across various skill levels.

“Upon full operational capacity, Benchmark will have a total of 720,000 sq ft of manufacturing space in Penang, enhancing its ability to generate up to RM4.5 billion in annual revenue,” said Dr Balamurugan in his speech.

Dr Balamurugan emphasised that the expansion also will strengthen Benchmark’s capacity to meet the rising demand for Wafer Fab Equipment (WFE) manufacturing in the region.

“This facility will enhance our expertise in complex module assembly and high-level system integration for leading semiconductor WFE manufacturers.

“Additionally, it will accommodate large-form-factor precision machining and incorporate a state-of-the-art automated powder coating line, reinforcing Benchmark’s position as a Tier 1 contract manufacturer in Southeast Asia,” he added.

Meanwhile, Jagdeep lauded Benchmark’s continued investment in Penang, recognising it as a testament to the state’s robust industrial ecosystem, skilled workforce, and strategic global connectivity.

“I am confident that Benchmark Precision Technologies will continue to thrive by leveraging Penang’s dynamic industrial landscape.

“Since its entry into Malaysia in 2007, the company has played a crucial role in shaping our economic and technological progress,” Jagdeep stated.

He also noted the significant role of US investors in bolstering Penang’s industrial growth.

“Investments from US firms, including Benchmark, have been instrumental in advancing technological innovation and industrial capabilities in the region,” said Jagdeep.

Also present during the groundbreaking ceremony were Bukit Tambun assemblyman and InvestPenang director Goh Choon Aik, Malaysian Investment Department Authority (Mida) Penang director Muhammad Ghaddaffi Sardar Mohamed and Benchmark Precision Technologies Penang vice-president and general manager Khoo Kay Chuan.

Source: Buletin Mutiara

Benchmark Precision Technologies expands footprint in Penang with fifth manufacturing facility

The Ministry of Investment, Trade and Industry (MITI) is reviewing five legislations to strengthen industrial development which the ministry intends to present to parliament this year.

Deputy Minister Liew Chin Tong, representing MITI Minister Tengku Datuk Seri Zafrul Abdul Aziz, highlighted five key Acts under review, namely the Industrial Coordination Act 1975 (Act 156), which is planned to be replaced by the Industrial Development Bill 2025.

The others are the Countervailing and Anti-Dumping Duties Act, 1993 (Act 504), the Malaysia Productivity Corporation Act 1966 (Act 408), the Standards of Malaysia Act 1996 (Act 549) and the Strategic Trade Act 2010 (Act 708).

Speaking at a town hall session today, Liew said the proposed Industrial Development Bill 2025 seeks to simplify business processes for manufacturers and enhance supply chain resilience, drawing lessons from the COVID-19 pandemic. He recalled that when COVID-19 hit in 2020, Malaysia scrambled to gather data and information to decide which sectors were essential and which were not.

“The draft bill is guided by the spirit of making it easier for manufacturers that fulfill requirements to obtain manufacturing licenses (MLs) and manufacturing status (in place of the current ICA 10), especially through the adoption of digitalisation and streamlining of processes,” he said.

He added that the new Industrial Development Bill 2025 intends to use the issuance of manufacturing licenses and manufacturing status, as well as the once-every-three-year validation, as a mechanism to keep track of local manufacturing activities and build a resilient local supply chain. “Beyond making it easier for manufacturers and ensuring supply chain resilience, the new Industrial Development Bill 2025, which includes elements of star-rating industrial parks, will also be the foundation for Malaysia to build a strong Malaysian industrial base for the next generation.” 

The deputy minister highlighted that the reinforced Countervailing and Anti-Dumping Duties Act will be more effective in protecting the local industry against unfairly priced imports, especially when faced with potential global trade wars and disruptions. “The Anti-Dumping Amendment Bill is now at quite a mature stage, while all other bills would require further input to strengthen them. All your feedback is welcome and I assure you that MITI is all ears, listening and flexible in accommodating good suggestions,” he added.

Source: Bernama

MITI reviews five legislations to strengthen industrial development

JHT Semiconductor Sdn Bhd, a wholly-owned subsidiary of JHT Design Co Ltd, has officially opened its leading-edge manufacturing facility in Batu Kawan, Pulau Pinang, on Feb 15.

In a joint statement today, Malaysian Investment Development Authority chief executive officer Datuk Sikh Shamsul Ibrahim Sikh Abdul Majid said the launch of the manufacturing facility marks a significant step towards Malaysia’s goal of becoming a key player in the global semiconductor machinery ecosystem.

“This project aligns perfectly with the New Industrial Master Plan 2030 and the National Semiconductor Strategy by strengthening our role in global supply chains, advancing semiconductor engineering, and enhancing research capabilities.

“The company’s focus on cutting-edge test handlers and the creation of high-skilled job opportunities for Malaysians reflect our commitment to driving economic growth, technological innovation, and reinforcing Malaysia’s position in the global semiconductor value chain,” he said.

Speaking on behalf of JHT Design Co, Rick Cui said the establishment of JHT Semiconductor in Malaysia marks a significant milestone in the company’s global expansion.

“This expansion strengthens our commitment to innovation and excellence. Malaysia’s strategic location and strong semiconductor ecosystem make it the ideal hub for our operations.

“This facility will enhance our production, manufacturing, and aftersales services, ensuring better support for our clients. We look forward to driving technological advancements and fostering long-term partnerships in the semiconductor industry,” he said.

According to the statement, the new Batu Kawan facility is equipped with advanced infrastructure designed to optimise production processes and ensure superior product quality.

It said this development aligns with JHT Semiconductor’s commitment to technological excellence and enhances its diverse portfolio of high-performance integrated circuit test handlers.

Source: Bernama

JHT Semiconductor Opens State-ofthe-art Manufacturing Facility InPenang

Sabah is set to strengthen its position in the electric vehicle (EV) industry with the establishment of its first assembly plant at the Palm Oil Industrial Cluster (POIC) Sandakan.

Maxland Auto Sdn Bhd, which secured its federal manufacturing licence from the Malaysian Investment Development Authority (Mida) last year, plans to invest RM100mil in the project by 2028.

The project is expected to generate up to 500 jobs by its third phase, which includes a manufacturing plant.

“This milestone aligns with the state government’s vision for industrial diversification and sustainable economic growth,” state Industrial Development and Entrepreneurship Minister Datuk Phoong Jin Zhe said during a recent site visit.

His ministry and other agencies have pledged their support for this and other similar investments.

“The government is committed to fostering industrial growth and ensuring Sabah becomes a key player in the green technology sector,” Phoong said, stressing the importance of clean energy transportation in driving economic progress.

Accompanying the minister on the visit were ministry permanent secretary Datuk Thomas Logijin, Sandakan Municipal Council president Walter Joseph Kinson, Industrial Development and Research Department director Rodolfo Blantocas, Sabah Mida director Joseph Benjamin, and Invest Sabah Berhad deputy chairman George Wong.

With this development, Sandakan is poised to emerge as a hub for EV innovation, reinforcing the state’s commitment to sustainable industrialisation and economic transformation.

Source: The Star

Sabah’s first EV assembly plant to be built in Sandakan

Malaysia should capitalise its strong aerospace ecosystem and must maximise its potential to drive industry growth, said Investment, Trade, and Industry (MITI) deputy secretary-general (Industry), Datuk Hanafi Sakri.

He said the aerospace industry aims to increase its revenue to RM55 billion by 2030 from a revenue of around RM20-21 billion currently, noting that much more needs to be done to achieve this target.

“Malaysia has an advantage in terms of its comprehensive ecosystem, encompassing human resources, maintenance, repair, and overhaul (MRO), as well as engineering facilities. This is a strength which we must fully utilise,” he told Bernama after officiating the MyAERO TVET 2025 Symposium at the World Trade Centre Kuala Lumpur today.

He added that the government will continue to monitor the implementation and progress of these initiatives through dedicated committees and relevant agencies.

“Nothing in this country happens by chance. We plan strategically, set clear objectives, execute carefully, and track progress through agencies such as the National Aerospace Industry Corporation Malaysia,” he said.

Hanafi noted that Malaysia’s aerospace sector is experiencing rapid growth, driven by rising air traffic and a booming tourism industry.

“Just yesterday, the Sarawak state government announced its acquisition of MASwings, highlighting the growing opportunities in the sector.

“What we need now is the right platform to ensure all stakeholders can play their role in strengthening Malaysia’s aerospace ecosystem,” he added.

The MyAERO TVET 2025 Symposium aims to enhance workforce development in the aerospace industry through collaborations between the government, industry players, and educational institutions.

The event also saw the signing of several memoranda of understanding (MoUs) between the government and industry players to strengthen training programmes and advance aerospace technology development.

Source: Bernama

Malaysia must fully leverage its strong aerospace ecosystem – MITI

PENANG has welcomed a major boost to its industrial landscape with the official opening of M.A.i Automation Technology Malaysia Sdn Bhd, the first production facility in Malaysia by M.A.i, a leading German specialist in customised automation solutions.

Strategically located in Jalan Jelawat, Seberang Jaya, the new facility strengthens M.A.i’s global footprint and enhances its presence in Southeast Asia.

With over 25 years of expertise spanning the automotive, medical, plastics, electronics, and new energy sectors, the company aims to leverage Penang’s robust infrastructure and skilled workforce to drive innovation.

Speaking at the launch ceremony, M.A.i Automation Technology Malaysia Sdn Bhd chief executive officer Andreas Forster described the expansion as a significant milestone in the company’s international growth strategy.

“This cutting-edge facility in Penang will serve as a regional hub for automation innovation and manufacturing excellence.

“Our engineering teams here will develop customised automation solutions while maintaining the high standards that have defined M.A.i since its founding in 1999,” Forster stated.

He added that the Penang facility will complement M.A.i’s German headquarters while extending its global reach, positioning the company at the forefront of automation advancements in Southeast Asia.

Forster highlighted that the decision to establish a presence in Penang was driven by its strategic location, well-developed infrastructure, and access to a pool of highly qualified professionals.

“The new branch will work closely with our German headquarters to leverage synergies and drive innovation, ensuring we continue delivering world-class automation solutions,” he said.

M.A.i chief executive officer Stefan Woldrich underscored the significance of the Malaysian expansion as part of the company’s broader strategy.

“Our headquarters in Kronach, Germany, remains the core of our innovations, strategic decisions, and production.

“We continuously invest in expanding and modernising our German operations, with further expansions planned,” he said.

He added that the new Malaysian facility would allow M.A.i to efficiently cater to the growing demand in Southeast Asia, further strengthening its worldwide network.

“This expansion enables us to enhance our global presence while capitalising on the strengths of all our locations,” Woldrich remarked.

Meanwhile, Malaysian Investment Development Authority (Mida) deputy chief executive officer Sivasuriyamoorthy Sundara Raja, who was also present, congratulated M.A.i on its new venture.

He emphasised how the company’s establishment aligns with Malaysia’s National Investment Aspirations (NIA).

“This milestone highlights Malaysia’s growing prominence in the global industrial sector.

“M.A.i’s decision to invest here reflects confidence in our economic direction and commitment to high-value job creation and sustainable growth,” he said.

Also present at the launch were Ambassador of the Federal Republic of Germany to Malaysia Dr Peter Blomeyer, Honorary Consular of the Federal Republic of Germany in Penang Datuk Hans Peter Brenner and Penang Mida director Muhammad Ghaddaffi Sardar Mohamed.

Source: Buletin Mutiara

German automation firm M.A.i opens first production facility in Penang

TOA Paint Products Sdn Bhd, a regional player in the paint and coating industry, is ramping up its production capacity, with its Nilai, Negeri Sembilan, plant expected to produce up to two million gallons annually.

Country manager Thomas Lai said the expansion comes as the company seeks to meet increasing market demand while maintaining cost efficiency.

Despite rising raw material prices, he said, TOA Paint has committed to keeping prices stable throughout 2025, focusing on internal cost optimisations rather than passing the burden onto consumers.

“Our group treasury actively manages forex risks daily, ensuring that despite currency fluctuations in Southeast Asia, our overall product gross profit margin remains strong,” he told SunBiz following the launch of TOA Paint’s new product line recently.

Lai said TOA Paint is diversifying its product portfolio. “The company confirmed plans to introduce new products every year, potentially expanding into categories beyond paints and coatings, such as adhesives and industrial chemicals.”

TOA Paint has established itself as the market leader in Thailand and is now looking to expand its dominance across Southeast Asia, he said.

“With a strong presence in key regional markets, the company is strategically investing in innovation, sustainability and advanced manufacturing capabilities to strengthen its competitive edge. As demand for high-performance and eco-friendly coatings rises, TOA is well positioned to capture new growth opportunities,” he added.

Lai highlighted that sustainability remains a core focus for TOA Paint, which is making efforts to incorporate eco-friendly raw materials, reduce volatile organic compound emissions and improve energy efficiency across its operations.

“These initiatives align with global trends favouring greener construction materials and sustainable industrial practices.

“The company is also actively engaged in corporate social responsibility programmes, supporting local communities through skill development initiatives and education on environmentally responsible painting solutions,” he said.

Additionally, TOA Paint is expanding its offerings in marine coatings, a crucial segment in the shipping and offshore industries.

Lai said the company’s newly developed marine paint products are designed to reduce maintenance costs, enhance fuel efficiency and minimise environmental impact by lowering carbon emissions. “As stricter regulations drive demand for sustainable maritime solutions, TOA Paint’s innovations in this sector position it as a key player in the future of eco-conscious coatings.”

TOA Paint also focuses on educating consumers about proper marine paint applications, ensuring that users maximise the lifespan and effectiveness of their coatings, Lai disclosed.

“While our marine paint products are designed for a wide range of vessels, including fishing boats, yachts, and catamarans, many customers lack awareness of essential anti-fouling techniques. By providing guidance on correct application methods, TOA aims to enhance product performance, reduce maintenance costs, and support sustainable marine practices.”

Lai said TOA Paint’s localised research and development (R&D) teams provide a competitive edge over global brands, allowing the company to develop products that cater to regional climate conditions, customer preferences, and regulatory requirements. “By having R&D teams based in key markets across Southeast Asia, TOA can quickly adapt formulations to suit varying levels of humidity, temperature, and environmental factors that affect paint performance.”

In addition, the company’s deep understanding of local market dynamics allows it to outmanoeuvre global competitors, according to Lai.

He said competitors often rely on standardised formulations that may not be as effective in Southeast Asia’s diverse conditions.

“By continuing to invest in localised innovation, TOA strengthens its position as a dominant regional player while reinforcing its commitment to sustainability and performance-driven solutions,” Lai added.

Source: The Sun

TOA Paint ramping up production capacity while keeping prices stable

Sarawak is scaling up its commercial green hydrogen production by leveraging on its abundant hydropower resources to meet Asia’s growing demand for clean fuel, Sarawak Premier Tan Sri Abang Johari Tun Openg said.

He said the state’s partnership with Japan, South Korea and China had expanded Sarawak’s hydrogen supply chain to position itself as a leader in the Asia-Pacific green hydrogen economy, while integrating Carbon Capture Utilisation and Storage (CCUS) to unlock new low-carbon economic opportunities.

“We will continue engaging with global stakeholders to grow low-carbon industries, develop sustainable infrastructure and drive innovation in clean energy solutions,” he said when delivering a lecture at the Institute of Southeast Asian Studies (ISEAS) — Yusuf Ishak Institute in Singapore on Monday.

According to him, Sarawak’s goal is to boost electricity generation capacity to 10 Gigawatts (GW) by 2030 and 15GW by 2035, to strengthen its position as a green energy powerhouse in Asean to support industries, advance green technologies and enable regional electricity exports.

“Sarawak aims to be the battery of Asean by supplying clean energy and enhancing cross-border interconnectivity. Through the Asean Power Grid initiative, we are strengthening regional energy security while exploring storage solutions to optimise supply and distribution,” he said.

In his lecture entitled ‘Envisioning a Low-Carbon Future: Sarawak’s Journey Towards Sustainable Development’, Abang Johari said strong policies had driven Sarawak further into sustainable development, in addition to community engagement and global collaborations.

He said that in 2021, the state government laid down the Post Covid-19 Development Strategy (PCDS) 2030 which served as a roadmap for Sarawak to achieve prosperity, inclusivity and environmental sustainability in five years.

“At the midpoint of PCDS 2030, we are already seeing results, reflecting Sarawak’s ability to turn strategy into action. One of our most significant milestones is surpassing the World Bank’s high-income threshold ahead of schedule, reinforcing Sarawak’s position as an economic hub for trade and investment,” he said.

Sarawak had also introduced bold policy reforms, including the enforcement of a Land (Carbon Storage) Rules 2022 for CCUS, as well as the Natural Resources and Environment Ordinance 2024 to enhance resource governance.

“While policy reforms set the direction, their true impact lies in implementation. Sarawak is now putting these policies into action, accelerating industrial decarbonisation and advancing green innovation for a sustainable future,” he added.

Source: Bernama

Sarawak scales up commercial green hydrogen production — Abang Johari

Malaysia’s industrial sector is poised to maintain positive momentum in the near term, underpinned by resilient domestic demand and a gradual easing of supply chain constraints, said Public Investment Bank Bhd (PIBB).

In a note today, PIBB opined that downside risks to external demand remain pronounced, particularly in the second half of 2025 (2H 2025), as subdued global growth and persistent geopolitical uncertainties could dampen export-oriented industries.

“That said, sustained private consumption, targeted fiscal support for investment, and a measured recovery in key trading partners could provide some offsetting support to mitigate external pressures,” it said.

Kenanga Investment Bank Bhd (Kenanga IB) said the manufacturing index is expected to expand by 4.7% in 2025 compared with 4.4% in 2024.

“Growth momentum of manufacturing to continue in 1H 2025, supported by a low base effect from the early part of 2024, the ongoing tech upcycle, and strong domestic demand, backed by a steady labour market and record-high government spending under Budget 2025.

“We also believe Malaysia could benefit from a renewed trade war as Trump’s policy shift may drive trade and investment diversion,” it said.

Kenanga IB maintained Malaysia’s Q4 2024 gross domestic product (GDP) growth forecast at 4.6%, reflecting a second consecutive quarter of moderation weighed mainly by slower manufacturing expansion.

“That said, 2024 GDP growth is likely to settle at 5% and is projected to moderate to 4.8% in 2025,” it said.

CIMB Securities Sdn Bhd forecast 5% GDP growth for 2025.

“Given the softness of the 4Q 2024 industrial data, we expect GDP growth to come in at 5.1% for 2024, slightly missing our earlier estimate of 5.2%.

“For 2025, a sustained external demand recovery fuelled by the global tech upcycle, alongside strong investments and resilient consumer spending, is anticipated to sustain GDP growth at 5%, consistent with the government’s target of 4.5% to 5.5%.

“Nevertheless, downside risks remain elevated owing to uncertainties about a potential global trade war escalation, which may heighten global inflationary pressures, prompting central banks to adopt a more cautious approach to rate cuts, potentially dampening growth prospects,” it added. 

Source: Bernama

Malaysia’s industrial sector to maintain momentum in the near term: Analysts

Malaysia’s manufacturing sector is well-positioned to benefit from robust investment activities and resilient external demand, according to RHB Investment Bank Bhd.

Economist Chin Yee Sian highlighted that the sector’s positive outlook is driven by the strength of export-oriented industries and solid trade performance, contingent on favourable global economic conditions.

“This trend is further supported by continued strength in the global technology cycle and significant growth in global semiconductor sales.

“For 2025, global semiconductor sales are projected to grow by 11.2 per cent, following an estimated growth of 19 per cent in 2024,” she said in a note.

However, Chin cautioned that US protectionist policies could impact trade performance and the manufacturing sector in 2025.

She said rising protectionism and the potential escalation of trade tensions among major economies create uncertainty in the growth and export outlook.

This is due to the an abundance of uncertainties over tariff policies and the subsequent impact on global supply chains and inflation.

“While Malaysia’s export sectors are unlikely to be directly impacted by US protectionism (due to the low US trade deficit with Malaysia), the spillover through major trade partners, such as China, as well

as a potential slowdown in regional demand, could be substantial—especially in electrical and electronics (E&E) sector,” she said.

Chin added that a return to protectionist policies could escalate US-China tensions, affecting Malaysia’s role in China-centric supply chains.

To mitigate risks, she said Malaysia may strengthen ties with trade blocs like Regional Comprehensive Economic Partnership (RCEP), BRICS and Asean, while its domestic economic strength could help buffer external shocks.

In the medium term, she said Malaysia might potentially benefit from China’s efforts to reroute its manufacturing and export operations, given its significant role as an E&E exporter.

Despite short-term volatility, industrial production index (IPI) grew 4.6 per cent in December with strong manufacturing sector output.

Chin said the Malaysia’s gross domestic product growth is expected to sustain at 4.8 per cent in the fourth quarter of 2024, which will be announced on Feb 14.

Source: NST

Local manufacturers to gain from robust investment activities, rising demand

Sabah is set to become a major energy hub in South-east Asia with the launch of the US$2bil (RM8.88bil) Oil and Gas, Energy Hub Project at the Sipitang Oil and Gas Industrial Park (Sogip).

Chief Minister Datuk Seri Hajiji Noor said the project would play a pivotal role in Malaysia’s energy and industrial strategy.

“Sogip will serve as a catalyst for further growth in the energy sector, which is crucial for Sabah’s sustained economic growth.

“Most importantly, this project will open up more opportunities for collaboration, innovation and development in the oil, gas and energy sector, which will benefit both the industry and local communities,” he said at the launch of the project here yesterday.

Hajiji said the Sogip development would emphasise environmental sustainability, in line with the government’s initiative towards reducing its carbon footprint and integrating cleaner energy sources such as liquefied natural gas, among others.

He said the energy storage and distribution systems within Sogip are being developed to support Malaysia’s long-term renewable energy goals.

By ensuring a steady supply of natural gas and other lower-carbon fuels, Sogip – located some 150km from here – could help bridge the transition from fossil fuel dependency to greater adoption of renewables, such as solar and wind power, in Malaysia’s energy mix, he added.

The project is a collaboration between Sabah Oil and Gas Development Corporation (SOGDC), which manages Sogip, and Gibson Shipbrokers Limited – a maritime, energy and associated industries speciality company.

To be done in two phases, it would see the construction of a state-of-the-art port to support energy transportation and trade activities, among others, utilising an 80% local workforce.

Hajiji said the successful implementation of the project would not only enhance Malaysia’s domestic economy but also support regional energy security and boost international trade.

“With strong support from both private sector partners and the government, Sogip is anticipated to attract additional investments in energy infrastructure, technological advancements and industrial expansion,” he said, adding it would also offer job opportunities, skills training and community empowerment.

“As Malaysia continues to strengthen its presence in global energy markets, Sogip will play a strategic role toward economic resilience, energy independence and sustainable industrial growth,” he said.

He reminded investors to prioritise the employment of Sabahans in all projects and operations within the state while urging industry players to comply with this fundamental requirement.

SOGDC chairman Datuk Seri Rahman Dahlan said the company had been tasked with developing the oil and gas industry in Sabah, and today, has received some Us$2bil worth of investments from countries like Singapore, the United Kingdom, the Philippines, Japan and Saudi Arabia.

“This is exciting because it will place Sabah as a forward storage hub for major Middle Eastern producers.

“So, for example, if they want to sell their oil to China, Japan or South Korea, they do not have to wait for the supply from Middle Eastern countries,” he said.

This project is scheduled to start its first phase this year.

Source: The Star

Sabah on track to become regional energy hub

Malaysia’s manufacturing sector is well-positioned to benefit from robust investment activities and sustained external demand, RHB Investment Bank Bhd (RHB IB) said.

However, in a note today, the bank expressed caution over the potential impact of protectionist policies under the new United States (US) administration, which could affect trade performance and the manufacturing sector in 2025.

“The manufacturing sector in Malaysia is expected to be supported by the resilience of export-oriented industries and trade performance, provided our base case for positive global economic prospects materialises.

“This trend is further reinforced by continued strength in the global technology cycle and significant growth in global semiconductor sales,” it said.

For 2025, it said global semiconductor sales are projected to grow by 11.2 per cent, following an estimated growth of 19 per cent in 2024.

“On the downside, we remain wary of potential negative implications for Malaysia’s trade and manufacturing outlook amid rising protectionism and escalating trade tensions among major economies,” it said

According to the bank, the growth and export outlook remains uncertain due to potential shifts in tariff policies and their impact on global supply chains and inflation.

While Malaysia’s export sectors are unlikely to be directly affected by US protectionism, given the country’s low trade deficit with the US, the indirect impact-through major trade partners such as China and a potential slowdown in regional demand, could be substantial, especially in the electronics and electrical (E&E) sector, RHB IB said.

“A return to protectionist policies could heighten US-China tensions, affecting Malaysia’s role in China-centric supply chains.

“To mitigate risks, Malaysia may strengthen ties with trade blocs like the Regional Comprehensive Economic Partnership, BRICS, and ASEAN, while its domestic economic strength could help buffer external shocks,” it said.

In the medium term, Malaysia could benefit from China’s efforts to reroute its manufacturing and export operations, given its significant role as an E&E exporter, the bank added. 

Source: Bernama

Manufacturing sector to benefit from robust investment – RHB IB

Proton Holdings Bhd’s electric vehicle (EV) assembly plant in Tanjung Malim will mark a new chapter in strengthening the development of the Automotive High Technology Valley (AHTV), said Perak Menteri Besar Datuk Seri Saarani Mohamad.

He said Proton’s confidence in AHTV has created over 3,000 job opportunities for the people of Tanjung Malim, thereby strengthening the country’s automotive industry ecosystem.

“Therefore, I see the construction of this Proton EV plant as not just an assembly facility, but an investment for the future.

“It is the first plant in Malaysia specifically built for the assembly of new energy vehicles; reflecting our commitment to green technology and the advancement of the national automotive industry,” he said in his speech during the plant’s groundbreaking ceremony today.

Proton board member Ahmad Jauhari Yahya and Proton deputy chief executive officer Roslan Abdullah were also present.

Proton’s RM82 million assembly plant will produce various NEV models for the local and export markets.

The first phase is expected to be completed by the end of 2025 with a capacity of 20,000 units per year. Once completed, it will produce various models based on the Global Modular Architecture (GMA) platform, starting with the Proton e.MAS 7, marking a milestone as the first EV model from a Malaysian automotive brand.

Saarani highlighted that Malaysia has a strong automotive ecosystem, expertise in semiconductors and automotive electronics, as well as government initiatives such as the installation of 10,000 EV charging stations by 2025.

“This uniqueness not only provides a competitive edge but also attracts strategic investments from major automotive companies like Proton, further strengthening Malaysia’s position in the EV industry,” he said.

Saarani added that the state government is confident that strong connectivity and infrastructure are crucial in advancing the high-tech industry.

He further stated that following the West Ipoh Span Expressway (WISE) project, which connects Gopeng and Kuala Kangsar, Perak has long-term plans to enhance its logistics network.

“One of the key initiatives is to ensure that the AHTV in Tanjong Malim is connected to the Lumut Maritime Industrial City (LuMIC) in Manjung through the construction of a new highway to support the industrial ecosystem comprehensively,” Saarani said.

Source: Bernama

Proton’s EV plant enhances AHTV, creates 3,000 jobs opportunities – Saarani

The risk of negative impact on semiconductor export performance to the United States (US) following the implementation of tariffs by President Donald Trump is seen as minimal for the time being, said the Ministry of Investment, Trade and Industry (MITI).

Investment, Trade, and Industry Minister Tengku Datuk Seri Zafrul Abdul Aziz said this is because Malaysia was excluded from the recent tariff increase imposed on several countries.

“Additionally, investment records also show that investments from the US remain strong, as the country is among the largest investors, totalling RM5.1 billion in the third quarter of 2024,” he said during the Minister’s Question Time in the Dewan Rakyat today.

Tengku Zafrul was responding to Datuk Ku Abd Rahman Ku Ismail (PN-Kubang Pasu), who asked MITI to outline the government’s steps in addressing geopolitical issues and global trade uncertainties, particularly the possibility of tariff increases that would affect Malaysia’s exports, especially to the US.

The minister said that Malaysia also signed a memorandum of cooperation on semiconductor supply chain resilience with the US on May 10, 2022. 

He said this agreement reflects the ongoing commitment of both countries to ensure a strong and resilient semiconductor supply chain and strengthen economic and strategic ties between Malaysia and the US.

“Therefore, the ministry is confident that existing investors from the US will remain in Malaysia and continue to grow to strengthen their global supply chain,” he said.

Tengku Zafrul said that the US is Malaysia’s third-largest trading partner in 2024, with a trading volume of RM324.9 billion, accounting for 11.3 per cent of Malaysia’s total trade.

“Exports to the United States amounted to RM198.6 billion, equivalent to 13.2 per cent of Malaysia’s total exports, while imports from the United States reached RM126.3 billion, equivalent to 9.2 per cent of Malaysia’s total imports.

“In terms of investment, the US is among the largest investors, and so far, Malaysia has become the preferred investment destination for more than 600 American companies,” he said.

In this regard, Tengku Zafrul said the government is proactively trying to maintain and further strengthen the good and dynamic bilateral trade and investment relations with the US to avoid tariff increases like those imposed on China, Canada, and Mexico.

The government also said it would ensure that Malaysia remains a reliable trading and investment partner for all its partners, including the US.

“This includes through a conducive and investor-friendly investment ecosystem, effective export control regulations and strategic trade management, as well as compliance with international standards that reassure investors,” he said.

Source: Bernama

Trump’s tariff have minimal negative impact on semiconductor exports to the US at this time – MITI

The industrial sector is anticipated to remain resilient in spite of global economic uncertainty, driven by robust investor interest in sophisticated manufacturing, logistics, and warehousing.

Positive government policies and growing investor confidence have contributed to a notable increase in industrial investment volumes in emerging Southeast Asian economies, including Malaysia, according to Knight Frank’s most recent Asia-Pacific outlook study.

Malaysia’s aggressive policies, advantageous location, and highly qualified workforce will further cement its position as a top location for manufacturing and industrial investments as companies reassess their supply chain plans.

The country’s position as a major industrial hub is expected to be strengthened as a result of manufacturers diversifying their production sites due to escalating global trade tensions, particularly the possibility of greater tariffs under a Trump government, the report states.

According to Allan Sim, executive director of Land and Industrial Solutions at Knight Frank Malaysia, manufacturers will work to reduce risks, control expenses, and look into new production markets in 2025 as trade tensions are expected to dominate the news, mainly due to Trump’s proposed tariff hikes against other nations.

“Malaysia’s industrial sector growth, driven by supportive government initiatives promoting industrialisation, infrastructure improvement, and the establishment of new planned industrial parks integrating AI elements, is set to further transform the country’s industrial landscape.”

The report also highlighted the increasing role of AI and automation in shaping the industrial sector, particularly in logistics, warehousing, and advanced manufacturing.

The integration of AI-powered industrial parks is expected to enhance operational efficiencies, predictive maintenance, and sustainability efforts, making Malaysia an attractive destination for both local and foreign investors.

Knight Frank Malaysia group managing director Keith Ooi said, “As Malaysia transitions into a high-tech, high-value manufacturing hub, we are witnessing a shift towards more sophisticated industrial facilities that align with global supply chain trends.”

Ooi said that as companies reassess their supply chain strategies, Malaysia’s forward-thinking policies, strategic position, and skilled labour force will strengthen its standing as a top choice for industrial and manufacturing investments.

Source: NST

Malaysia’s industrial sector to stay robust despite global uncertainty

Biofuel producer BAC Renewable Energy Sdn Bhd (BAC RE) has entered into a deal to develop a biofuel storage facility and export hub at Tanjung Langsat Port in Johor.

The company on Thursday inked a memorandum of agreement with Singapore-based bulk liquid storage services provider Dovechem Group and TLP Terminal Sdn Bhd, the operator of Tanjung Langsat Port, for the project known as BAC RE Asean Biofuels Storage and Exporting Hub.

BAC RE will serve as project developer, Dovechem as landowner as well as the facility operator, and TLP Terminal — which is wholly owned by Johor state investment arm Johor Corp — as overall port operator.

The development will be undertaken in phases, with Phase 1 comprising an initial bio-liquefied natural gas (BioLNG) storage capacity of 7,500 cubic metres, and an annual production and handling capacity of 33,000 tonnes of BioLNG.

Phase 1 is estimated to cost around RM150 million, according to BAC RE director and shareholder Hasnoel Ramly. He said the project has secured financial backing, but did not elaborate.

“We are looking to have our first ship-to-ship (STS) fuelling by 2027,” he told The Edge when asked on the project’s development timeline.  

Subsequent phases of the development are projected to expand the facility’s total handling capacity to 350,000 tonnes of BioLNG annually. Phase 2 of the development will also include the storage and handling of biomethanol to expand the facility’s offerings.

“We estimate that the potential biogas-to-BioLNG supply from palm oil waste across the region could reach 3.3 million tonnes annually. The hub is designed to capitalise on this abundant feedstock supply and facilitate the broader adoption of BioLNG in maritime operations,” the companies said.

European Delegation to Malaysia deputy head Timo Goosmann, who graced the signing ceremony as a guest of honour, said the BAC RE Asean Biofuels Storage and Exporting Hub aligns with the decarbonisation initiatives currently being undertaken by the European Union.

Hasnoel said Tanjung Langsat Port was selected due to its strategic location near the Straits of Malacca and Singapore, the world’s largest bunkering port. He also pointed out that Tanjung Langsat Port is one of three ports in the Johor-Singapore Special Economic Zone (JSSEZ).

The investment incentives provided in JSSEZ will act as an enabler to grow the biofuel industry, while the biofuel storage facility and export hub at Tanjung Langsat Port will act as the necessary infrastructure to connect the envisioned biofuel supply to the rest of the world, Hasnoel explained.

“It is projected to attract investments in green technology and engineering estimated between RM1.2 billion and RM1.5 billion. This project is not just about us, it is about unlocking new opportunities and creating a broader ecosystem [for biofuels],” he added.

According to the Companies Commission Malaysia, BAC RE is equally owned by Hasnoel and Azhim Hadi Daud. The company owns and is developing several biomass and biogas facilities across Perak, Terengganu, Pahang and Johor.

Source: The Edge Malaysia

BAC Renewable Energy to develop biofuel storage and exporting hub at Tanjung Langsat Port, Johor