Malaysian Prime Minister Anwar Ibrahim announced on May 28th that the country will invest at least 500 billion ringgit (approximately 107 billion US dollars) in its semiconductor industry to enhance Malaysia's position in the global supply chain.
It is understood that Malaysia is one of the main participants in the semiconductor industry, accounting for 13% of the global total testing and packaging. In recent years, Malaysia has attracted billions of dollars in investment from top companies including Intel and Infineon. Previously, Malaysia announced that it would build the largest integrated circuit (IC) design park in Southeast Asia and provide multiple incentive measures such as tax reductions, subsidies, and free work visas to attract global technology companies and investors. The country's sovereign wealth fund also plans to establish a dedicated fund to invest in innovative and high growth Malaysian companies.
Anwar stated that this investment will be used for IC design, advanced packaging, and semiconductor manufacturing equipment in the semiconductor field. He gave a speech at an event, stating that "Malaysia hopes to establish at least 10 local semiconductor chip design and advanced packaging companies with annual revenue ranging from 210 million to 1 billion US dollars."
He added that the country will allocate $5.3 billion in financial support to achieve this goal.
