INVESTMENT and economic opportunities are set to grow in Kota Tinggi district, thanks to the Integrated Sustainable Palm Oil Complex (iSPOC) project led by Johor Plantations Group Bhd.

Johor Mentri Besar Datuk Onn Hafiz Ghazi said the project in Tanjung Sedili was expected to create 250 jobs with a focus on developing local talents.

“The project will also drive research and development through its Centre of Excellence,” he said during the groundbreaking ceremony at Johor Plantations’ Pasir Gogok estate.

Onn Hafiz said the project would spur industries such as food production and green technologies, and was regarded as a key enabler of the Maju Johor 2030 vision to foster sustainable economic development.

“This project reflects the company’s leadership in sustainable palm oil and supports our vision for the new economy.”

Onn Hafiz said job creation, economic activity and cultivation of a skilled workforce would support Johor’s industrial growth.

The complex, he said, was among core projects in the company’s 10-year roadmap to drive strategy in expanding downstream activities into speciality oils and fats production.

He added that iSPOC would build on the success of Johor Plantations’ Smallholder Inclusion Programme that benefitted 289 state smallholders by improving their access to Roundtable on Sustainable Palm Oil certification and market opportunities.

Meanwhile, Johor Plantations chairman Tan Sri Dr Ismail Bakar said the complex was scheduled for commissioning in the third quarter of 2026.

The state-of-the art integrated complex houses a speciality oils and fats refinery, a palm oil mill, a palm kernel plant, an animal feed mill and a research and development centre.

The iSPOC is the first facility of its kind to embrace a circular economy model.

It will maximise the use of resource by creating renewable energy from biomass and biogas that are by-products of the palm oil mill.

The project is a joint venture with Fuji Oil Asia Pte Ltd.

Source: The Star

Sedili palm oil complex to spur sustainable growth

Wentel Engineering Holdings Bhd’s market share in Malaysia will largely be in the electronics and electrical (E&E) sector given the presence of numerous semiconductor and electronics manufacturers in the country.

CEO Chuah Chong Syn said the company is located in Johor and initially engaged in this segment through the Singapore contract manufacturing industry.

“Malaysia’s focus is on electronics and precision engineering, and Wentel Engineering is part of this sector, benefiting from the opportunities it presents. We are aiming for organic growth through our customers. This presents a chance to expand into industries we previously did not serve, particularly with the opportunity to transfer production from China to Malaysia and have it manufactured by Wentel Engineering. There are still many opportunities in Singapore as well,” he told reporters at a media briefing today.

Wentel Engineering supplies metal parts, either as individual items or in semi-finished assemblies.

In 2020, during the pandemic, the company saw an opportunity when demand for Covid testing machines, particularly PCR machines for swab tests, surged.

“This led us to enter the medical field, starting with the production of these machines. Since then, our customers have continued to engage us for other projects, including transferring products from Europe to Singapore and new R&D initiatives.

“Most of the products we produce are for laboratory tests, such as blood typing and analysis. Yes, we are still active in this business, focusing on laboratory applications,” Chuah said.

On the security segment, Chuah said as governments increase security measures, there will be a higher demand, particularly for technology such as scanning machines and these will be used by end users such as airports and ports.

“As a result, our customers will need to design new machines to meet these requirements and help local governments compete globally. This demand for security machines contributes to our organic growth.”

On the earnings front, Wentel Engineering’s revenue for the fourth quarter ended Dec 31, 2024 (FY24) rose by 8.68% to RM28.94 million, compared to RM26.62 million in the same quarter of the previous year. The growth was primarily driven by higher demand for metal fabrication, supported by a strong recovery in the semiconductor market.

Meanwhile, the group’s profit before tax (PBT) surged by 93.79% to RM8.43 million, up from RM4.35 million in the corresponding quarter of 2023. The significant increase in PBT was attributed to higher revenue and an improved gross profit margin.

For FY24, the group recorded revenue of RM112.43 million, a 13.85% increase from RM98.75 million in the same period of 2023. This growth was primarily driven by higher demand for semi-finished metal products and metal part fabrication, supported by the strong recovery of the semiconductor market.

The group’s PBT rose by 10.63% to RM20.82 million, compared to RM18.82 million in the previous year’s corresponding period. This increase was in line with higher revenue, increased interest income from IPO proceeds placed in fixed deposits, and an improved gross profit margin.

The higher margin was attributed to a favorable product mix, with a greater proportion of high-margin products ordered by customers.

In a filing to Bursa Malaysia, Wentel Engineering said the global trade rebounded in the first half of 2024, rising 2.3% year-on-year, with moderate growth expected through 2025. This recovery follows a 2023 slump caused by high inflation and rising interest rates.

The World Trade Organization forecasts a 2.7% increase in global trade volume for 2024 and 3% for 2025, with gross domestic product growth steady at 2.7% in both years.

Source: The Sun

Wentel Engineering to ride on E&E opportunities, seeks organic growth

The government approved RM1.73 billion in investments for the pharmaceutical and medical devices sector in Malaysia between January and September last year.

Health Minister Datuk Seri Dr Dzulkefly Ahmad said the government is actively encouraging more international pharmaceutical companies to build drug manufacturing facilities in Malaysia.

One of the government’s efforts includes launching the Off-Take Plus Agreement Programme (PPO Plus) to ensure security in the supply of pharmaceutical products from local sources and to reduce costs, he said in a parliamentary written reply yesterday.

“During the tabling of the 2025 Budget on Oct 18, 2024, the prime minister announced that the government would implement an off-take or specific procurement policy for companies that make new domestic investments to manufacture pharmaceutical products and critical medical devices.

“The implementation of this programme is expected to begin in the second quarter of 2025,” he said.

Dzulkefly said the initiative was also meant to encourage technological transfers from international companies to Malaysians.

The programme prioritises local companies that offer pharmaceutical products or medical devices which have not been manufactured in Malaysia, which comes with the government’s commitment to procure 50 per cent of the product or any other amount it deems fit.

Additionally, companies dealing with drugs listed under the National Essential Medicines List (NEML), which typically consists of basic drugs that are required for public health, are also given priority to participate in the programme.

Moreover, companies that manufacture products under the Control of Drugs and Cosmetics Regulations 1984 and the Industrial Coordination Act 1975 are also given priority.

“Selected companies for the PPO Plus programme will go through a few stages of committee evaluations and contracts will be finalised on companies that are successful,

“Contract extensions will be considered if the company demonstrates a high commitment to meet the domestic market demand in producing pharmaceutical products and medical devices and potentially to be exported overseas,” said Dzulkefly.

The Health Ministry is also planning to go on sourcing missions to countries that produce pharmaceutical products to attract more investments and strengthen the supply of medicine to Malaysia.

The emphasis, said Dzulkefly, was on generic medicines and the missions would begin this year.

He said the ministry plans to visit China, India and Brazil to diversify its source of medicine supply in Malaysia.

In response to a question by Syerleena Abdul Rashid (PH-Bukit Bendera), he said the sourcing missions will also promote Malaysia as an ideal investment destination.

This, he added, would be done via engagements with organisations, supply companies, and international medicine manufacturers.

“This will help expand the market — economy of scale — for pharmaceutical manufacturers in Asean and thus increase medicine supply self-reliance among regional countries.

“This effort is in line with the aspirations of the Asean Drug Security and Self-Reliance (ADSSR) goal led by Malaysia.

“This effort will also ensure access to safe, good quality, effective and affordable medication in Asean to achieve universal health coverage,” he said.

Source: NST

Govt approved RM1.73bil for pharmaceutical, medical device investments Jan-Sept 2024

Malaysia’s economy is deeply intertwined with global supply chains, with semiconductors and electrical components forming the backbone of its exports to the United States.

However, the looming threat of tariffs poses significant challenges, potentially disrupting this ecosystem. To safeguard its position in the semiconductor industry and strengthen its trade partnerships, Malaysia must take a strategic and forward-looking approach.

Total trade in goods between Malaysia and the United States amounted to US$80.2 billion, with Malaysia exporting US$52.5 billion worth of goods and importing US$27.7 billion.

Key Malaysian electronic exports to the US include integrated circuits, semiconductor devices, and broadcasting equipment. Given the scale of this trade relationship, any disruption caused by tariffs could have wide-ranging consequences.

President of the United States Donald Trump has argued that tariffs on US imports are necessary to revive domestic manufacturing. However, this strategy may not bode well for US companies operating in Malaysia. Semiconductor giants such as Intel, AMD, and Micron have invested billions in Malaysia’s semiconductor ecosystem and have built strong supply chain integration with local and Asean partners. Relocating these highly specialised operations is costly and disruptive, making an immediate exit unlikely.

If the US imposes tariffs, alternative locations offer limited advantages. Vietnam lacks the scale and advanced infrastructure for semiconductor manufacturing, while India remains a costly option as it is still developing its semiconductor ecosystem. Indonesia, though emerging as a potential player, faces significant hurdles before becoming a formidable force in the industry.

While the imposition of tariffs could hurt Malaysian semiconductor companies, it could also increase costs for US tech companies. Higher tariffs on Malaysian semiconductors and electronics would raise costs for US businesses relying on these components, affecting key sectors such as automotive, telecommunications, and defence. US firms may petition their government for exemptions, as they did with Chinese tariffs, to mitigate disruptions.

Malaysia must capitalise on this situation by moving up the semiconductor value chain to reduce its vulnerability to tariffs and trade disputes. Currently, the country is a key player in semiconductor assembly, testing, and packaging (ATP), but it lags behind in chip design, wafer fabrication, and advanced manufacturing. By focusing on these areas, Malaysia can enhance its competitiveness and secure its role in the global semiconductor landscape.

To achieve this, Malaysia must strengthen partnerships with semiconductor giants such as Intel, AMD, and Texas Instruments to establish chip design and R&D centres within the country. Offering tax incentives and grants to US semiconductor firms can encourage the development of next-generation AI, automotive, and 5G chips in Malaysia. Additionally, Malaysia should transition beyond traditional assembly and testing towards advanced packaging to increase value addition and attract investment in emerging fields such as silicon photonics, which is critical for AI chips and high-speed data centres.

Malaysia should also position itself as a semiconductor resilience hub by offering special incentives for US semiconductor firms to expand their presence rather than relocate elsewhere. Establishing Special Economic Zones (SEZs) for semiconductor manufacturing, with tax breaks and streamlined approvals, can further strengthen Malaysia’s appeal.

A robust talent pipeline is equally crucial. The government must strengthen local semiconductor engineering programmes in partnership with US universities and tech companies while providing scholarships for students to specialise in chip design, fabrication, and AI-driven semiconductors. Encouraging Malaysian semiconductor startups to collaborate with US firms on AI chips, automotive chips, and 6G technologies can further drive innovation. Government grants and venture funding can support these initiatives, fostering a strong domestic semiconductor ecosystem.

While Malaysia deepens its collaboration with the US, it must also maintain a balanced approach in its relations with China. Allowing Chinese companies to invest in packaging and testing while keeping core chip design and fabrication aligned with the US will enable Malaysia to navigate geopolitical tensions effectively. Strengthening regional ties through a semiconductor alliance with Singapore, Vietnam, and Indonesia can also position Malaysia as a key player serving both the US and Chinese markets.

As Malaysia navigates the shifting dynamics of global trade, decisive action is necessary to secure its semiconductor industry’s future. By advancing in the value chain, strengthening ties with US tech giants, and investing in R&D and advanced manufacturing, Malaysia can mitigate the impact of tariffs while enhancing its long-term competitiveness. At the same time, balancing relations with China will be essential to maintaining its status as a trusted global semiconductor hub. By positioning itself as a resilient, high-value semiconductor player, Malaysia can turn these challenges into opportunities and reinforce its role in the global supply chain.

*The writer holds an MBA from the University of Strathclyde in the UK awarded through the prestigious British Chevening Scholarship. With extensive experience in the financial markets and a robust background in management education, he has also served at a prominent think tank.

Source: NST

Malaysia’s semiconductor strategy in a shifting global trade landscape

The Malaysian government’s US$250 million (RM1.11 billion) partnership with leading semiconductor design firm Arm Holdings plc will usher in Malaysia’s second semiconductor wave, said Prime Minister Datuk Seri Anwar Ibrahim.

Following decades of being an established back-end player in chip testing and assembly, Anwar said Malaysia eyes a leap to the front-end of the supply chain by developing its own chip designing capabilities with the help of SoftBank Group Corp-owned Arm.

“Malaysia’s collaboration with Arm represents the start of the second semiconductor wave. This marks a fundamental shift in our approach to semiconductors and technology that will define our future,” Anwar said in his keynote address at Malaysia’s Silicon Vision launch ceremony on Wednesday.

“Through this comprehensive partnership with Arm, we have conceived one of the most ambitious technological plans Malaysia has ever seen to pioneer ‘made by Malaysia’ AI (artificial intelligence) chips. These chips will be designed, manufactured, tested and assembled here, and sold to the rest of the world,” he added.

Under the deal, Arm will provide Malaysia with intellectual property (IP) licences and compute subsystems (CSS) for RM1.11 billion, to be paid over ten years. In addition, Arm will collect royalties on chips sold. Details of the royalty were not disclosed.

Anwar said the partnership comprises three key features, which are the establishment of a comprehensive training programme to develop 10,000 integrated circuit (IC) design engineers, providing selected Malaysian companies with privileged access to Arm’s cutting-edge technology and IP portfolio, and facilitating the development of locally designed semiconductor products.

The prime minister noted that Arm will also establish its first office in Asean in Kuala Lumpur.

Building on Malaysia’s decades-long semiconductor experience with Arm’s expertise

Speaking on why Malaysia was selected as Arm’s partner, the UK-firm’s chief executive officer Rene Haas highlighted Malaysia’s decades-long experience in the semiconductor industry.

He noted that with Arm’s expertise in the chip design space, Malaysia can leverage the firm’s expertise to develop the country’s own chip design ecosystem.

“We are in an age of innovation with the advent of AI, which makes this partnership and this timing so perfect because Arm’s computing hardware is going to be needed in all [of] these devices,” he said. 

Haas underlined that AI-powered chips will not only be used in data centres for large language models, but are required for every device that requires the use of AI.

“We have the world’s largest software developer system of over 20 million developers, and it’s growing. This ecosystem that we have, perfectly places us to partner with the government of Malaysia,” he said.

According to Haas, Arm-designed chips are nearly all-present in the modern world. He noted that the company has shipped over 300 billion chips since its founding in 1995 and today, 99% of all individuals are connected to an Arm chip-powered device.

“The future of AI is going to run on Arm, and it (the future of AI) is going to run here (Malaysia). We are thrilled and I applaud the vision of the Malaysian government — [its] ambition and courage to embark on such a programme,” Haas said.

“I know it was not easy, but we are not only exceptionally grateful, but we won’t let you down. This is going to be an extremely exciting 10 years and more,” he added.

Prioritising local players

Minister of Economy Datuk Seri Rafizi Ramli said for each of Arm’s CSS, the government is looking to build a complete supply chain in advanced industries, such as AI data servers, autonomous vehicles, internet of things (IoT), and robotics.

“An ecosystem perspective also means that we will prioritise local players as the first resort for every part of the supply chain,” Rafizi said in his opening remarks.  

“For this to work, we have to put in place a collaboration structure with advanced foreign firms, proposed technology transfer and localisation requirements, so that we could uplift our local players in a realistic and holistic way,” he added.

Rafizi also noted that outsourced semiconductor assembly and testing captures 5% to 10% of semiconductor supply chain value, while integrated chip design accounts for 60%.

Compared to his previously expressed timeline of five to ten years for Malaysia to begin producing its own chips, Rafizi has brought the projection earlier to five to seven years.

Source: The Edge Malaysia

Anwar: RM1.1b partnership with UK’s Arm Holdings marks beginning of Malaysia’s second semiconductor wave

Malaysia will invest US$250 million (US$1= RM4.44) over the next decade, leveraging on Arm Holdings Plc’s expertise, to create a new ecosystem in the artificial intelligence (AI) and semiconductor industry through a strategic collaboration with the United Kingdom-based company.

Prime Minister Datuk Seri Anwar Ibrahim is expected to launch the strategic collaboration later today.

This move will kick off the journey towards the first Malaysia-based chip while providing a platform for local players to gain access to the semiconductor and software design firm’s intellectual property (IP) network, as well as transfer of technology and know-how.

According to a Bloomberg news report, Malaysia is aiming to create as many as 10 chip companies with total annual revenue of US$20 billion.

The report said Malaysia is already a key hub for chip testing and packaging, but the country has yet to make a meaningful foray into chip design.

Arm Holdings has to date issued 6,800 patents while 2,700 applications are still pending, and more than 300 billion Arm-based chips have been sold worldwide.

Confirming the matter, the Prime Minister’s senior press secretary Tunku Nashrul Abaidah said that through the collaboration, Malaysia will make history in the global technology industry and witness a transformation in its AI and semiconductor landscape.

Tunku Nashrul, in the Prime Minister’s Office (PMO) daily briefing streamed live on Anwar’s official Facebook page as well as PMO Malaysia’s Facebook page, said Malaysia will be the first country in this region where the company will set up its office.

“The Prime Minister views this collaboration as a strategic step to strengthen the country’s technology ecosystem, positioning Malaysia as a key player in the global technology arena.

“With this collaboration in place, Malaysia moves ahead of other countries by becoming the company’s first technology ecosystem partner, making it a key hub in ASEAN,” he said.

Tunku Nashrul said this MADANI Government initiative is implemented by the Investment, Trade and Industry Ministry, the Finance Ministry and the Economy Ministry.

He said this partnership will enable Malaysian companies to leverage advanced technology and expertise in semiconductors, as well as train the local skilled workers.

“This will accelerate the development of a high-skilled workforce and strengthen the competitiveness of the nation’s technology industry,” he said.

He added that the launch and signing of this strategic collaboration is a testament to global investors’ confidence in the MADANI Government’s policies and continued commitment in having high-value collaborations with Malaysia.

Source: Bernama

Malaysia to invest US$250m over next decade via strategic collaboration with Arm Holdings

Malaysia’s comprehensive partnership with ARM Holdings Plc represents the start of a second semiconductor wave, marking a fundamental shift in the country’s approach to semiconductors and technology, which will shape our future, said Prime Minister Datuk Seri Anwar Ibrahim.

“We have conceived one of the most ambitious technological plans Malaysia has ever seen: to pioneer ‘Made by Malaysia’ AI chips.

“These chips will be designed, manufactured, tested and assembled here, and sold to the rest of the world,” he said in his keynote address at the Strategic Collaboration in Semiconductor Industry, here today.

Anwar said the partnership has three key features: firstly, it aims to establish comprehensive training programmes for 10,000 integrated circuit (IC) design engineers, thereby creating a robust talent pipeline for the semiconductor industry. 

Second, it would provide selected Malaysian companies with privileged access to ARM’s cutting-edge technology and internet protocol (IP) portfolio. 

Third, the partnership would facilitate the development of locally designed semiconductor products, advancing the nation’s goal of producing more advanced chips in Malaysia.

“Beyond offering state-of-the-art technologies that cover all parts of semiconductor design, Arm is also establishing its first ASEAN office in Kuala Lumpur, to expand outreach to ASEAN, Australia, and New Zealand markets.

“I am thankful for the trust that the Arm senior management has placed in our country,” Anwar said.

The prime minister highlighted that the partnership was made possible by a cross-ministerial effort involving the Ministry of International Trade and Industry (MITI), the Economic Ministry, and the Finance Ministry.

The prime minister also emphasised the need for the entire government machinery, universities, research centres, industries, and science agencies to be fully mobilised to meet the needs of the semiconductor industry.

This is to ensure that the younger generation receives adequate training in terms of qualifications, capabilities, and skills so they can benefit from the development of giant semiconductor companies such as Arm.

“With Arm, a giant in the AI semiconductor field, and as mentioned as the catalyst for change, I believe Malaysia is in the right position.

“I want to stress that the preparations are not only in terms of the ecosystem but also the training and all necessary resources should be mobilised to implement this programme,” he said.

Source: Bernama

Anwar: Malaysia’s collaboration with ARM represents start of second semiconductor wave

Local solar industry players should explore alternative markets, particularly in ASEAN, to reduce reliance on the United States (US), the Ministry of Investment, Trade and Industry (MITI) said.

The US government has imposed tariffs on solar panel imports from four Southeast Asian countries, including Malaysia.

MITI said it is directly involved, on behalf of the Malaysian government, in the US countervailing and anti-dumping investigation into the matter.

“MITI is committed to defending Malaysia’s solar industry against US trade remedy actions by refuting unfounded allegations and providing views and feedback based on stakeholder input,“ the ministry said in an oral reply posted on Parliament’s official website last night.

The response was to a question from Datuk Seri Wee Ka Siong (BN-Ayer Hitam) on MITI’s stance regarding the tariffs and its readiness to address their impact on the country’s green energy sector.

MITI said it has also emphasised to the US government that Malaysia’s investment incentive programmes comply with the World Trade Organisation (WTO) Agreement on Subsidies and Countervailing Measures (WTO ASCM).

The ministry added that Malaysia’s solar industry has not benefited from the alleged programmes said to have harmed the US solar sector.

“This is to ensure that the cooperative relationship among ASEAN solar panel manufacturers strengthens the supply chain and collectively addresses these challenges.

“Encouraging investment in research and development related to green technology will also position Malaysia as a manufacturer of high-quality solar panels and green technology equipment, supporting its goal of becoming a regional green technology hub,“ it said.

Source: Bernama

MITI urges solar industry to tap ASEAN markets amid US tariff

Halal Malaysia (HALMAS)-certified halal industrial parks recorded cumulative investments of RM16.75 billion for the 2012-2024 period, according to the Ministry of Investment, Trade, and Industry (MITI). MITI Deputy Minister Liew Chin Tong said 14 HALMAS industrial parks have been set up nationwide, and of the total 5,484.74 hectares (ha) designated for trade and investment activities, 841.18 ha or 15.3 per cent has been successfully developed.

There are 361 companies, comprising 51 multinational corporations and 310 small and medium enterprises (SMEs), which are involved in segments ranging from food and beverages to cosmetics and personal care, he said during a question-and-answer session in the Dewan Rakyat today.

He was responding to a question from Yusuf Abd Wahab (GPS-Tanjong Manis) who asked about the ministry’s plans to assist the Sarawak government in promoting the Tanjung Manis Halal Hub internationally.

Liew said that HDC, as the responsible agency under MITI, is conducting a study to improve the HALMAS framework, which covers the Tanjung Manis Halal Hub.

“A dedicated study on the HALMAS framework development is being carried out, assisted by a private consulting firm to identify challenges as well as actual findings from industry players. It is expected to be fully completed by the first quarter of 2025,” he said.

The HALMAS framework also covers the operational method, governance mechanism, and relevant incentives.

He said that as part of efforts to position Malaysia as a global halal hub, the halal industry value or supply chain needs to be strengthened by emphasising the role of halal industrial parks to make them more industry-friendly.

“This effort involves four main actions: enhancing activities to promote HALMAS industrial parks as investment destinations, creating innovative support and facilitation services, improving shared services, and promoting business integration through digitalisation platforms,” he said.

Meanwhile, Liew said, the Tanjung Manis Halal Hub has recorded investments amounting to RM18 million, involving a foreign company and two local companies which are subsidiaries of the state government.

Of the hub’s 4,040.38 ha, 197.16 ha has been developed for basic infrastructure facilities, agricultural activities such as pineapple planting, and aquaculture activities such as shrimp farming.

Source: Bernama

HALMAS-status Halal Parks RecordRM16.75 Bln Investments In 2012-2024Period — MITI

The Investment, Trade and Industry Ministry (Miti), through the Malaysian Investment Development Authority (Mida), will continue advancing industrial reform policies to enhance Malaysia’s appeal as a prime investment destination.

Its minister Tengku Datuk Seri Zafrul Tengku Abdul Aziz said Southeast Asia has attracted investments across various sectors, including automotive, electronics, mining, and services.

In the third quarter of 2024, Malaysia, along with Indonesia, the Philippines, Thailand, and Vietnam, experienced an increase in foreign direct investment (FDI) inflows.

Tengku Zafrul noted the importance of patience in building a strong industrial base, stating that such a foundation cannot be established overnight.

“To that end, Miti through the New Industrial Master Plan (NIMP) is also prioritising tech- and knowledge-driven growth by attracting the right investments, promoting more research and development (R&D) in Malaysia, and deepening our collaboration with global partners,” he said at Betamek Bhd’s launch of its R&D centre here today.

Tengku Zafrul said in line with Malaysia’s industrial plan’s objectives, various initiatives have been implemented to position the country as a key player in the global supply chain for advanced industries.

“Our goal is clear – to develop a more vibrant, resilient and future-ready Malaysian economy by 2030,” he added.

Betamek operates as an original design manufacturer (ODM) and offers electronics manufacturing services (EMS) specifically for the automotive industry.

The opening of the new R&D centre marks a significant milestone in the company’s commitment to enhancing local innovation and advancing next-generation automotive technology.  

Its chairman Ahmad Subri Abdullah stated that the R&D centre will be instrumental in developing advanced driver assistance systems, vehicle connectivity solutions, and smart cockpit technologies.

“The facility is expected to enhance Malaysia’s ability to develop homegrown automotive innovations, ensuring local players remain competitive in a rapidly evolving global market.

“With this new initiative, Betamek reinforces its role as an industry leader in automotive technology, driving innovation and setting new benchmarks for the future of mobility in Malaysia and beyond,” he added.

Ahmad Subri said the launch is not only a significant milestone for Betamek but also a bold step in Malaysia’s progress toward becoming a leader in automotive technology.

Source: NST

MITI advances industrial reforms to attract investment

Sarawak is exploring the development of an aerospace industrial park to attract investments and foster industry collaboration, says Tan Sri Abang Johari Openg.

The Sarawak Premier said the proposed park would position the state as a hub for high-value aerospace component production and research.

“The aerospace sector is taking off in Asean and Sarawak is ready to be a key hub in this high-growth industry, capitalising on its strategic location and commitment to high-tech innovation.

“Our plans to develop an aerospace manufacturing and maintenance ecosystem are attracting investments in high-value aerospace components, aircraft maintenance, and research in sustainable aviation fuels,” he said in his opening keynote address at the Asean Sarawak Business and Economic Forum here on Friday (Feb 28).

The one-day forum was organised by KSI Strategic Institute for Asia Pacific, the Asean Economic Club and Asean Business Club.

Abang Johari said Sarawak had already established an Aerospace Academy at the Centre for Technology Excellence Sarawak (Centexs) in Lundu.

Describing it as a game changer, he said it would prepare Sarawak’s workforce for aerospace engineering, drone technology and satellite manufacturing to meet the demands of the future.

The Premier also said Sarawak was emerging as an investment gateway, particularly in strategic infrastructure development.

He said the upcoming Tanjung Embang deep-sea port would enhance regional trade connectivity, while the development of the new Kuching International Airport in

adjacent to it would position Sarawak as a major integrated logistics hub for Asean.

“For investors, Sarawak is the perfect entry point into Asean. We are providing an ideal environment for companies looking to expand into the region,” he said.

Abang Johari noted that Sarawak approved RM13.4bil in new investments last year in sectors such as renewable energy, manufacturing and high-tech industries.

He said the state’s acquisition of a 31.25% stake in Affin Bank Berhad further strengthened its financial ecosystem to support businesses and SMEs with improved access to capital, especially for the upcoming investments in the new airport and deep-sea port development in the next five years.

“To businesses, investors, and policymakers, Sarawak is open for business.

“We are not just offering opportunities but a clear, stable and growth-driven environment where investments flourish.

“Whether in hydrogen energy, AI-driven industries or high-value manufacturing, Sarawak is the launchpad for Asean’s future,” he added.

Abang Johari later received the 2024 World Outstanding Muslim Leader of the Year award from the World Muslim Leadership Forum during the opening ceremony.

The award recognises his leadership, dedication and contributions to economic progress, social harmony and Sarawak’s global standing.

It also acknowledges his commitment to sustainability, digital transformation and inclusive growth, making Sarawak a model of prosperity in Asean and beyond.

It was presented to him by World Muslim Leadership Forum chairman Datuk Seri Mohamed Iqbal Rawther and Standard Chartered Bank Malaysia chief executive officer Mak Joon Nien.

Source: The Star

Sarawak mulling aerospace industrial park, says Premier

Melaka has allocated RM227.8 million to develop the German Technology Park (GTP) on a 169.42-hectare site in Bandar Hijau, Mukim Ayer Panas. 

Chief Minister Datuk Seri Ab Rauf Yusoh said the project, to be developed in two phases, would accommodate 20 to 30 investor companies, particularly local firms, and contribute to the state’s sustainable economic growth. 

“This project will be implemented in two phases. The first phase includes the development of industrial land lots, commercial premises, leisure centres, and worker dormitories, expected to be completed in 2027. 

“The second phase will complete the GTP with additional industrial lots, business complexes, and logistics hubs to support industry needs,” he told reporters after officiating the GTP groundbreaking ceremony here on Friday.

Also present was Deputy Exco for Investment, Industry, and Technical and Vocational Development (TVET) Datuk Khaidhirah Abu Zahar. 

Ab Rauf said the GTP would focus on research and development-based industries and serve as a key platform for innovation and technology in Melaka. 

He said the project aligns with the federal government’s ambition to position Malaysia as a high-tech and sustainable industrial hub by 2030. 

“The GTP is also expected to be a major catalyst for investment inflows and industrial sector growth, strengthening the socio-economic ecosystem and establishing Melaka as a prime destination for high-impact industrial investments. 

“More than 10,000 job opportunities are expected to be created, helping Melaka build a highly skilled local workforce,” he said. 

Ab Rauf added that the state government remains committed to attracting future investments by developing new industrial zones to draw investors from diverse sectors. 

“Alhamdulillah, Melaka secured RM8.18 billion in approved investments last year, RM2.2 billion higher than in 2023. 

“This increase reflects the rapid growth of Melaka’s investment sector and the continued confidence of investors,” he said. 

Source: Bernama

Melaka CM says RM227.8m set aside to develop German Technology Park

Sabah reached another milestone when Sabah Energy Corporation Sdn Bhd (SEC) signed a deal with PETRONAS to supply natural gas valued around RM1bil annually to Esteel Enterprise Sabah Sdn Bhd.

The agreement will see the wholly-owned state government-linked company supplying 150 million standard cubic feet per day (MMscfd) of natural gas, 100 MMscfd for manufacturing and 50 MMscfd for power generation to the green steel company.

“This agreement marks a significant step towards Sabah’s long-term development goals, promoting industrial growth and energy security and creating new opportunities to drive Sabah’s progress,” said Chief Minister Datuk Seri Hajiji Noor.

“We look forward to further collaboration with PETRONAS, taking into account the best interest of Sabah,” he said after witnessing the exchange of agreements between SEC and Petronas as well as SEC and Esteel at Menara Kinabalu here, Friday.

He said the state was also ready to cater to the growing industrial needs and investments and had put in place plans to improve infrastructure and facilities to complement these initiatives.

In the agreement between SEC and PETRONAS, the national petroleum company would supply an additional 104 MMscfd of natural gas to SEC to support Sabah’s industrial and energy needs.

With the increased supply of natural gas, PETRONAS is now supplying a total of 370MMscfd to SEC.

Representing PETRONAS was Senior General Manager of Malaysia Petroleum Management’s Integrated Hydrocarbon Management, Anuar Ismail, while chief executive officer, Datuk Adzmir Abdul Rahman represented the SEC.

Commenting on the agreement, senior vice president of MPM, Datuk Bacho Pilong said it underscored Petronas unwavering commitment to providing reliable energy solutions that contribute to Sabah’s growth while supporting more sustainable energy use.

Committed to best industrial practices, SEC maintains a 98% gas delivery efficiency uptime and continuously enhances its technical capabilities and operational efficiencies to drive growth in the energy sector.

Expected to be operational by the fourth quarter of 2027 on a 180-hectare site, phase 1 of Esteel’s green steel plant, with an investment of USD1.93bil (RM8.92bil), would create 2,795 direct job opportunities and produce 2.5 million tonnes of cleaner hot briquetted iron.

The three-phased project brings in an estimated USD4.39bil (RM19.6bil) investment.

The plant opted for natural gas as a reducing agent instead of coke and coal, reducing carbon emissions by 70% and making it low carbon, efficient, and environmentally friendly.

Earlier, Hajiji also said that this marked Sabah’s confidence in the green steel project, which is among investments that represented the foundation of the state’s economic growth and development strategy.

Source: The Star

Sabah inks RM1bil gas supply deal to boost green steel industry