Taiwanese circuit board materials manufacturer Elite Material Co Ltd (EMC) has commenced construction of a new RM900 million manufacturing facility at the Penang Science Park North near Batu Kawan. This significant investment marks a notable addition to Penang’s robust industrial landscape and highlights the state’s attractiveness for multinational corporations.
Facility Details and Construction Timeline
The 5.6-hectare facility will be constructed in two phases. The first phase is expected to deliver 600,000 sheets of copper clad laminate per month, with the second phase increasing production capacity to 750,000 sheets per month. EMC anticipates completing construction by the first quarter of 2025, with mass production beginning in the second quarter.
Strategic Location and Investment Rationale
Albert Tung, EMC’s chairman and CEO, emphasized the strategic decision to locate in Penang, citing the proximity to customers and the local culture of diligence. “After looking at the overall picture and long-term goals, we realised that Penang is the best location for us. We want to be closer to our customers that are already here and there is a culture of diligence,” Tung said at a press conference with Chief Minister Chow Kon Yeow in Komtar.
Economic Impact and Job Creation
The new facility is set to create 200 new jobs, contributing to the local economy. Additionally, EMC plans to source materials such as copper, glass fibre, and resin locally, further integrating into the Penang supply chain. EMC supplies critical components to major companies like Nvidia for AI server switchboards and Apple for iPhone logic boards.
Penang’s Industrial Growth
Chief Minister Chow Kon Yeow highlighted EMC’s entry into Penang as a valuable addition to the existing network of 350 multinational corporations and 4,000 ancillary companies in the state. He noted that Penang secured RM184 billion in approved manufacturing investments between 2019 and 2023, a 142% increase from the RM76 billion garnered between 2008 and 2018.
Record-Breaking Investments in 2023
In 2023 alone, Penang recorded RM63.4 billion in approved manufacturing investments, comprising 19 projects and creating more than 17,000 jobs. Chow emphasized that these figures underscore Penang’s growing appeal as a manufacturing and investment hub.
Government Support and Future Projects
Chow also mentioned plans to present a wish list to Second Finance Minister Amir Hamzah Azizan. This list includes requests for a 20% tax revenue return to Penang, funds for the Juru-Sg Dua elevated road, the Penang-Perak raw water deal, and a grant for the state’s integrated circuits design hub. He welcomed local participation in key infrastructure projects, following a business group’s request for more involvement in major projects like Silicon Island and the LRT project.
Conclusion
The construction of EMC’s RM900 million facility in Penang represents a significant milestone for the state’s industrial sector. This investment will not only boost local employment but also enhance Penang’s status as a premier destination for multinational corporations. With strong government support and strategic initiatives, Penang is well-positioned for continued economic growth and development.
