23-04-2025
- Business
- New Straits Times
Ferrotec starts work on second plant, total investment hits RM1.9bil
KUALA LUMPUR: Ferrotec Holdings Corporation has held a groundbreaking ceremony of its second high-tech manufacturing facility at Kulim, Kedah, with an investment of RM1 billion.
This brings the company's total investment in Malaysia to RM1.9 billion, reinforcing its long-term commitment to the country and its growing role in the global semiconductor industry.
Scheduled for completion within a year, the facility will strengthen Ferrotec's footprint in the region, enabling faster delivery, enhanced customer service and greater innovation for global markets across Asia, Europe and the Americas.
Ferrotec Manufacturing Malaysia managing director Anzhi He said the second facility plant reflects the confidence in Malaysia's thriving semiconductor ecosystem.
"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," he said in a statement.
He added the company is working alongside the Malaysian Investment Development Authority (MIDA), Kulim Technology Park Corporation Sdn Bhd and the Kedah state government in developing the fast-growing digital economy.
MIDA chief executive officer Datuk Sikh Shamsul Ibrahim Sikh Abdul Majid said Ferrotec's continued expansion in Malaysia underscores the country's position as a premier destination for high-tech investments in the semiconductor industry.
"This commitment not only reflects investor confidence in our policies, infrastructure and talent, but also reinforces our ambition to become a regional leader in advanced manufacturing.
"MIDA is proud to support Ferrotec's journey as it strengthens the global semiconductor value chain from the heart of Kedah. We look forward to even greater collaboration as Malaysia advances its New Industrial Master Plan 2030 and fosters innovation-driven, sustainable growth," he added.
The new factory covers nearly one million square feet on 8.09 hectares and houses over 700 computer numerical control machines, smart production lines and Internet of Things-enabled systems with predictive maintenance.
The plant is expected to create more than 1,000 high-value jobs and boost Ferrotec's precision manufacturing for semiconductor components.
