PENANG – SUSTIO Sdn Bhd, a factory set to produce semiconductor packaging substrate and HDI Printed Circuit Board (PCB) is now fully operational, following its grand opening ceremony in Batu Kawan Industrial park here recently.
SUSTIO is the Malaysian subsidiary of SIMMTECH, one of the global leading manufacturers for semiconductor packaging substrate and HDI PCB from South Korea.
Since the site’s ground breaking ceremony in May of 2021, SUSTIO invested more than RM600 million to construct the factory on an 18-acre site in Batu Kawan Industrial Park.
In a statement from the Malaysian Investment Development Authority (MIDA), SUSTIO’s new factory is expected to immediately contribute to the current demand for semiconductors amongst key industries.
The statement remarked that SIMMTECH is expecting a 20% increase to its total capacity of substrate and PCBs overall with this factory.
Southeast Asia SIMMTECH managing director, Jeffery Chun, said that the factory is ready to start delivering large volumes of substrate and PCB products to their customers starting from the second half of this year.
Additionally, Chun stated that the SUSTIO factory will be ramping up their production of DRAM and NAND, in time with the new DRAM technology transition (DDR5).
MIDA’s Deputy CEO Lim Bee Vian remarked that Malaysia is recognised by foreign investors as an integrated global manufacturing hub for the electrical and electronics (E&E) industry with SUSTIO being a prime example.
She added that Malaysia’s business and manufacturing sectors offer a competitive edge particularly for global and regional business expansions.
Furthermore, she also expects the SUSTIO factory to employ high-skilled workers particularly Malaysians in the engineering, manufacturing and quality management fields.
“This factory’s establishment will create more prospects for local businesses via vendor development programmes in automation, supply of raw materials and quality control.
“This will also be a platform for collaboration with various local universities for internship programmes,” she explained.
SUSTIO has already employed more than 700 workforce and it will reach its full employment of more than 1,000 employees by 2023.
The new Penang plant will produce the first ‘Made in Malaysia’ semiconductor memory chip packaging substrate and module/SSD PCB, significantly strengthening Malaysia’s semiconductor supply chain.
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