GEORGE TOWN – Simmtech Holdings Inc of South Korea has chosen Penang for its first plant in Malaysia, with an investment totalling RM508 million.
The company’s Southeast Asia managing director Jeffery Chun said construction of the facility on a 7.3ha site in Batu Kawan began in May.
“We spent many years looking for the right location to expand our business before deciding on Penang,” he told a virtual press conference with Chief Minister Chow Kon Yeow today.
“Our future factory in Penang will enable us to bring our products closer to our customers in the region.”
Construction is scheduled for completion by early next year, and operations expected to begin in the first half of 2022.
Among the reasons for Simmtech choosing Penang are its well-established electronics industry ecosystem and strong customer base.
“That was why we chose to invest in Penang,” said Chun.
Simmtech’s major products are module printed circuit boards for semiconductor memory expansion, as well as substrates for semiconductor chip assembly.
Chow said the firm’s investment will create 1,200 high-value jobs in engineering, manufacturing and quality management.
He said Penang has witnessed a number of global heavyweights announcing new investments and expanding their existing facilities in the state over the last two years.
“Simmtech’s project will bring Penang’s industry to greater heights and further integrate the state into the global semiconductor supply chain.
“We take this opportunity to express our appreciation to the federal government, particularly the International Trade and Industry Ministry and Malaysian Investment Development Authority, for their synergistic efforts together with InvestPenang to bring in this strategic investment.”
The state continues to be Malaysia’s leading electrical and electronics hub and a key pillar of the country’s external trade, he said.
Last year, Penang recorded RM310 billion in exports and RM110 billion worth of trade surplus, contributing 32% and 60%, respectively, of the country’s total in these areas.
“Notably, Penang’s E&E exports were valued at RM231 billion in 2020, forming more than half of the country’s total,” said Chow. – The Vibes, July 30, 2021
.jpeg)
.jpeg)
