LRCX and the Malaysian Investment Development Authority (MIDA), in announcing the development, said the construction of the facility would commence early this year.
“The Ministry of International Trade and Industry (MITI) and MIDA have been hard at work to entice more quality investments globally, particularly in technology and innovation, to propel Malaysia to greater heights.
“This project, in particular, will ultimately create new opportunities for local businesses and vendors as well as high-value jobs for Malaysians,” MITI Minister Datuk Darell Leiking said in a statement today.
The new 700,000 sq ft facility at the initial phase is expected to make its first shipment by 2021.
Through the project, about 350 jobs will be created over the next three years, including roles in manufacturing, facilities and on-site shipping and receiving.
Finance Minister Lim Guan Eng said the establishment of the facility is a mark of confidence in the capacity and promise of sustainable growth of the Malaysian economy, especially in the manufacturing sector.
“We are confident that Malaysia’s attractive talent pool, facilitative investment environment, as well as its deep integration with the international supply chain, offers the right mix for the high-tech sectors,” he said.
The expansion adds to LRCX’s global production footprint with locations in the US, South Korea and Austria.
Meanwhile, LRCX senior vice president (global operations) Kevin Jennings said: “We are excited to partner with the government of Malaysia, specifically with the state of Penang, as we add to our global footprint.”
The new facility he added, would enable the company to provide additional capacity, ensure business continuity for critical activities and most importantly, improve its speed to solutions by being closer to customers and suppliers in the region.