KEDAH, May 19 (Bernama) — Ferrotec Holdings Corporation, a global supplier of materials, components, and precision system solutions, has announced its establishment of the new manufacturing facility at Kulim Hi-Tech Park, Kedah, facilitated by the MIDA.
The plant which will be undertaking electromechanical assembly and advanced material fabrication for semiconductor equipment is designed to meet customer needs while also expanding the Group’s business globally.
“Ferrotec has seen increasing demand for our products and services in Asia. With this new production facility, we expect to provide expanded capacity, improve business continuity for critical activities, and most importantly, ensure that our customers do not experience disruptions to their supplies from us,” says Eiji Miyanaga, Chief Executive Officer (CEO) of Ferrotec (USA) Corporation.
80,000 square feet
The plant is expected to kickstart its operation in 2023. With a total investment expected to exceed RM500 million and at a facility of more than 80,000 square feet, the project is anticipated to create approximately 250 high-value jobs for Malaysians.
As a tier 1 company supplying to MNCs in semiconductor industry, the company has committed to provide trainings to Malaysian employees at the factories in Japan and the United States.
“Ferrotec’s decision on choosing Malaysia as a destination of choice for its high-tech manufacturing facility speaks volumes of our talent readiness, strength and capability of our manufacturing and business ecosystems.
“Indeed, Ferrotec’s presence in Malaysia will turbocharge our local talent development and strengthen our value proposition in the global supply chain,” says Dato’ Seri Mohamed Azmin Ali, Senior Minister at MITI.
In 2021, the machinery and equipment (M&E) industry received 48 approved projects worth RM1.67 billion in investment from both foreign and domestic sources.
These projects are expected to generate 2,500 employment opportunities, with about 56 per cent of employees in the managerial, technical and engineering related skills.
The specialised M&E for specific industries sub-sector is the largest contributor of investment for 2021, with 16 projects totalling RM592 million approved.
Ferrotec a leading manufacturer
Datuk Arham Abdul Rahman, CEO of MIDA says, “It is encouraging to know that Ferrotec, who is the key supplier to a leading global front-end wafer fabrication equipment manufacturer has decided to establish a plant in Kulim, Kedah.
With Malaysia’s attractive talent pool, positive investment environment, and diversified supply chain among others, I am optimistic that Ferrotec will benefit from the spillovers the nation has created and have more to offer to its global customers.”
To continue transforming the industry, the Malaysian government encourages investors to invest in state-of-the-art technologies that can support advanced manufacturing processes across supply chains.