Ferrotec Holdings Corporation has announced its establishment of the new manufacturing facility at Kulim Hi-Tech Park, Kedah, facilitated by the Malaysian Investment Development Authority (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. The plant is expected to kickstart its operation in 2023.

With a total investment expected to exceed MYR 500 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 training to Malaysian employees at the factories in Japan and the United States. He also stressed that Ferrotec's investment will open up greater possibilities for other global companies in the industry to follow suit and invest in Malaysia.

He added that this major investment is poised to realise Malaysia's long-term aspiration of becoming a global manufacturing hub. In 2021, the machinery and equipment (M&E) industry received 48 approved projects worth MYR 1.67 billion in investment from both foreign and domestic sources. These projects are expected to generate 2,500 employment opportunities, with about 56% of employees in the managerial, technical and engineering related skills.

The specialised M&E for specific industries sub-sector is the larger contributor of investment for 2021, with 16 projects totalling MYR 592 million approved.