- In order to boost local industry and attracting global tech companies or investors, Malaysia Aims for $107 Billion Investment in Semiconductor Industry.
- Anwar outlines Malaysia’s ambition to establish 10 local companies in semiconductor chip design and advanced packaging, aiming for substantial revenues.
- Malaysia’s appeal to international chip firms is evident through partnerships with Chinese and Western companies, including Xfusion and NationGate, as well as expansions by StarFive, TongFu Microelectronics, Infineon, and Intel.
Malaysia targets 107 billion dollars investment for semiconductor industry, positioning itself as a global manufacturing hub.
Ambitious investment goals and measures
In order to boost local industry and attracting global tech companies or investors, Malaysia aims for 107 Billion dollars Investment in Semiconductor Industry. Prime Minister Anwar Ibrahim announces the country’s objective to secure at least 500 billion ringgit in investment for its semiconductor sector. With a strong presence in global testing and packaging, Malaysia is seeking to expand its capabilities in integrated circuit design, advanced packaging, and semiconductor manufacturing equipment.
Authorities is streamlining regulatory processes, reducing bureaucratic hurdles, and enhancing transparency and prioritising infrastructure development, including the construction of the proposed integrated circuit design park and other facilities to support advanced semiconductor manufacturing.
Malaysia is also investing in education and training programs focused on semiconductor design, manufacturing, and related fields, which will ensure a steady pipeline of talent to support the industry’s growth.
Also read: China launches $47.5B fund to boost semiconductor industry
Local industry development and future plans
Anwar outlines Malaysia’s ambition to establish 10 local companies in semiconductor chip design and advanced packaging, aiming for substantial revenues. The government plans to allocate $5.3 billion in fiscal support to bolster these efforts, demonstrating its commitment to nurturing a robust domestic industry and attracting foreign investment.
To attract global tech companies and investors, Malaysia proposes the creation of Southeast Asia’s largest integrated circuit design park, offering incentives such as tax breaks, subsidies, and visa exemption fees. This strategic move aims to transition the country towards high-value, front-end design work, beyond traditional backend chip assembly and testing.
Also read: Tesla starts producing next generation semiconductors
Global partnerships and expansion
Malaysia’s appeal to international chip firms is evident through partnerships with Chinese and Western companies, including Xfusion and NationGate, as well as expansions by StarFive, TongFu Microelectronics, Infineon, and Intel. These collaborations signal Malaysia’s growing importance as a destination for semiconductor manufacturing and innovation.
With these ambitious plans and strategic partnerships, Malaysia is poised to elevate its status as a key player in the global semiconductor industry, capitalising on the shifting dynamics of the market and advancing its position as a premier manufacturing hub.
