Landmark deal boosts Malaysia's semiconductor hub dream
PETALING JAYA: Malaysia's ambition to emerge as a global semiconductor hub received a boost as Collaborative Research in Engineering, Science and Technology (Crest) and the Human Resource Development Corporation (HRD Corp) inked a memorandum of understanding (MOU) to launch the Engineering Talent for Semiconductor Industry (ETSI) Programme.
Held in conjunction with the Asean Semiconductor Summit 2025 and marking the first anniversary of the National Semiconductor Strategy (NSS), the MOU was signed by Crest chief executive officer Jaffri Ibrahim and HRD Corp chief executive officer Dr Syed Alwi Mohamed Sultan.
The exchange was witnessed by Prime Minister Datuk Seri Anwar Ibrahim; Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Abdul Aziz; and Human Resources Minister Steven Sim.
ETSI aims to upskill and reskill 15,000 tertiary students, graduates, workers and researchers to meet the growing demand of Malaysia's semiconductor ecosystem.
Led by Crest, the programme aligns with the NSS and the New Industrial Master Plan 2030 by focusing on talent development across the semiconductor value chain.
'This is not just a partnership, but a national strategy in motion.
'By developing globally competitive engineers, Malaysia and Asean will be better positioned to capitalise on a sector projected to be worth US$2 trillion (RM8.46 trillion) by 2030,' said Tengku Zafrul.
The ETSI programme forms part of a larger effort under the NSS, which targets training 60,000 semiconductor engineers by 2030.
It also supports Malaysia's leadership in the Asean Framework for Integrated Semiconductor Supply Chain (AFISS), an initiative to empower SMEs and the workforce with the skills, tools and financing needed to succeed in the high-value semiconductor sector.
Sim said talent remains the driving force behind economic transformation.
'Through HRD Corp, we are implementing industry-driven, outcome-oriented training models. The race in semiconductors will be defined by the calibre of talent we nurture, not just infrastructure or investment,' he said.
Sim noted that HRD Corp's training schemes, including claimable courses and employer-led initiatives, reduce the financial burden on companies.
'It's about building a sustainable talent pipeline where employers play a central role,' he added.
The ETSI programme adopts a multi-pronged approach by enhancing employability through early technical exposure and curriculum alignment, boosting workforce skills and strengthening postgraduate R&D capacity.
It is designed to create a resilient, innovation-ready workforce with technical depth and global outlook.
'Talent is the heartbeat of Malaysia's semiconductor ambition. Through ETSI and our Semiconductor Centre of Excellence, we are equipping engineers and researchers with cutting-edge tools and future-critical skills.
'We're building not just talent, but innovators and changemakers,' said Jaffri.
The Semiconductor CoE, spearheaded by Crest, offers advanced training infrastructure to facilitate knowledge transfer and technology development, further cementing Malaysia's position in the global semiconductor value chain.
Echoing the sentiment, Syed Alwi described the partnership as a strategic leap forward.
'Every technological advancement must be met with a talent leap. With initiatives like ETSI and the Industrial Skills Framework for Semiconductors, we are preparing Malaysia's workforce to lead in design, innovation and IP creation,' he said.
ETSI exemplifies a whole-of- nation approach by uniting government, industry, academia and training institutions to build long-term competitiveness in semiconductors, deep tech and advanced manufacturing.
As global demand surges, the Crest–HRD Corp collaboration is poised to help Malaysia deliver not only a future-ready workforce, but also homegrown innovation that will shape the next chapter of the global semiconductor industry.
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