Ferrotec Breaks Ground on Second Semiconductor Facility in Malaysia
Ferrotec Holdings Corporation has begun construction on its second high-tech manufacturing facility in Kulim, Malaysia, with an investment of MYR 1 billion. This expansion will enhance customer service and innovation in semiconductor production, creating over 1,000 jobs. The facility aligns with Malaysia’s New Industrial Master Plan 2030, reinforcing its status as a hub for advanced manufacturing.
Ferrotec Holdings Corporation, a prominent Japanese semiconductor firm, has commenced the construction of its second high-tech manufacturing facility in Kulim, Kedah, Malaysia, with an investment of MYR 1 billion (approximately $226 million). This development reflects Ferrotec’s commitment to deepening its involvement in Malaysia’s semiconductor sector, enhancing its global operational footprint.
The new facility, expected to be completed within a year, will bolster Ferrotec’s capabilities across Asia, Europe, and the Americas. With a total investment of MYR 1.9 billion ($430 million) in Malaysia, it will enhance customer service, enable faster deliveries, and foster innovation in semiconductor production.
Spanning nearly 1 million square feet on a 20-acre site, the new plant will be equipped with over 700 CNC machines, smart production lines, IoT systems, and predictive maintenance features, adhering to the principles of Industry 4.0. The facility is also anticipated to create over 1,000 high-value jobs, further increasing Ferrotec’s precision manufacturing capacity in semiconductor components.
He Xian Han, Group Chief Executive Officer and President of Ferrotec, stated, “The groundbreaking of our second plant in Kulim is not only an important milestone in the history of Ferrotec, but also a true reflection of our deep cooperation on building the semiconductor industry chain.” He emphasized the success of the first facility and the confidence this investment instills for further development in Malaysia.
Anzhi He, Managing Director of Ferrotec Manufacturing Malaysia, remarked that Kulim Plant 2 represents more than just expansion; it signifies trust in Malaysia’s semiconductor ecosystem. He stated, “This plant is not just bigger—it is smarter. Powered by Industry 4.0 technologies, it embodies Ferrotec’s vision for a modern factory where machines learn, adapt, and collaborate with human ingenuity.”
Chief Executive Officer of MIDA, Sikh Shamsul Ibrahim Sikh Abdul Majid, noted that Ferrotec’s growth in Malaysia underscores the nation’s appeal as a top destination for high-tech investments, enhancing its ambition to lead in advanced manufacturing. He indicated that this investment solidifies Malaysia’s role within the global semiconductor value chain and aligns with the nation’s New Industrial Master Plan 2030.
This expansion is consistent with Malaysia’s New Industrial Master Plan 2030 and Kedah’s E10 initiative, aimed at establishing the country as a regional hub for advanced manufacturing and digital transformation. Ferrotec accentuates its commitment to sustainable growth, driven by core values of diligence, aspiration, exploration, and innovation as it continues to deepen collaboration in Malaysia and beyond.
Ferrotec Holdings Corporation’s initiation of its second manufacturing facility in Malaysia marks a significant commitment to the global semiconductor industry. With an investment of MYR 1 billion, this facility will not only enhance operational capabilities but also foster job creation and innovation. Supported by local and government initiatives, this development aligns with Malaysia’s vision for advanced manufacturing, showcasing the country’s growing importance in the semiconductor ecosystem.
Original Source: technode.global
