Two foreign firms have committed to injecting over RM2 billion into the manufacturing sector here recently.
Chief Minister Chow Kon Yeow who presided over the two announcements, expressed optimism that Penang can weather the contagion ill effects from both the virus and the trade dispute among the world’s top two economies.
On Monday, the London Stock Exchange-listed Dialight Plc has pledged around RM1 billion in its new state-of-the-art 90,000 sq ft production facility in Prai, having relocated from a 40,000 sq ft building in the same industrial estate.
Dialight Sdn Bhd is a global leader in LED lighting technology for industrial and hazardous areas. The new factory allows the company to produce a larger range of products including the highbay, glass reinforced polyester and stainless steel linear, bulkhead and flood light range.
Dialight continues to expand its footprint with operations in the US, Britain, Denmark, Germany, Malaysia, Singapore, Australia, Mexico and Brazil.
In Penang, it will generate more jobs from the present 240 skilled workers when it upgrades it production output.
On the virus outbreak, Dialight managing director and vice-president of Asia Pacific operations Malcolm Lee said the group has put a contingency plan in place due to possible disruption to production capacity.
Last Wednesday, Lam Research Corporation, a multinational American semiconductor company, has also committed to setting up a manufacturing plant in Batu Kawan, which is expected to generate up to RM1 billion worth of investments and 350 jobs.
Chow said the spillover is expected to reach up to RM1 billion to the Penang economy as well as the creation of new jobs in wafer fabrication equipment.
Its presence is also expected to boost Malaysia as a preferred location for the semiconductor industry, he added.
Chow hosted a video conferencing session with Lam Research’s global operations senior vice-president Kevin Jennings and its manufacturing vice-president Mike Snell where the duo pledged the company’s reaffirmation to come to Penang.
Lam Research engages in the design, manufacture, marketing, and service of semiconductor processing equipment used in fabrication of circuits.
Source: The Sun Daily