Kamen Steel 30th Anniversary Dinner
Speech by Chief Minister of Penang
At Kamen Steel 30th Anniversary Dinner
1 December 2018
St Giles Wimbley, Penang
Dato' Fan Kam Meng (CEO of Kamen Steel Industries Sdn Bhd)
Datin Catherine Low (Deputy CEO of Kamen Steel Industries Sdn Bhd)
Ladies and gentlemen
Good evening.
I wish to congratulate Kamen Steel on your 30th Anniversary celebration and we are proud that Kamen Steel is a Penang grown manufacturer contributing to the building and development of Malaysia, and to Penang in particular. Operating from your headquarters in Bukit Minyak Industrial Park in Penang, I am pleased to say that Kamen Steel is another successful example of ‘Powered in Penang’ company. Over the years, Kamen Steel has invested more than RM100 million, and I was informed that the company is looking into increasing their investments by another RM20 million. Kamen Steel is also employing more than 200 employees.
In the first half of 2018, the basic metal industry recorded MIDA approved manufacturing investment of over RM39 million in Penang. Constructional steel consumption has always been one of the indications of a country’s economy and Steel Fabric, used in the Reinforcement of Concrete, is one very important part of it. There were 40 Steel Fabric manufacturers in Malaysia with a total output of 600,000 metric tons in the year 2017. Kamen Steel, being one of the major players, contributed 12 %, amounting to 72,000 metric tons.
The raw material for the production of Steel Fabric is Wire Rod and is produced locally by the 4 major Steel Mills in Malaysia, of which, I am very proud to note that two are located in the State of Penang. This signifies a healthy ecosystem of the industry in Penang.
The State Government continues to encourage companies to partake in the Industry 4.0 transformation and the digital economic growth. The Launching of the National Policy on Industry 4.0 by the Prime Minister Tun Dr. Mahathir Mohamad on October 31 is a timely reminder to the industry players that you have to keep on improving in the production technology. As you enter a lawyer’s office in the 60s the clicking sound of the type writers would engulf you. With the introduction of the computer a single person could do the work of ten typists. Technology has been accelerating very fast in this decade and the new ABCs today are - Artificial Intelligence, Big Data and Cloud Computing.
Four days ago, I officiated the Penang SME Connextion Seminar organised by InvestPenang. The Malaysian Digital Economy Corporation (MDEC) also presented on DTAP which is a new joint initiative between MDeC & MIDA to provide support and incentives targeted to Malaysian companies focused on manufacturing and logistics.
Amongst key benefits of this program include:-
a. Digital Transformation Labs (DTL) – DTL provides a structured approach, including consultancy and expertise in developing and executing the digital transformation pilot. Amongst MDEC’s DTL partners include Deloitte, Bosch, Digital McKinsey, Roland Berger.
b. DTAP Pilot Grant – Outcome based matching grant (1:1) to cater for expenditures incurred for DTAP approved activities.
The State encourages local large companies and SMEs in Penang should take the opportunity to accelerate on your digital transformation though initiatives such as DTAP.
We are confident that Penang will remain a thriving growth hub for many years to come and this is in line with the Penang2030 aspirations aimed at making Penang a model for the nation and world. I would like to take this opportunity to invite all of you to join Penang as we embark on a new journey towards Penang 2030 action plan. All these projects will serve as an important continuity to our existing initiatives to make Penang as an international and intelligent city. Collectively, we will shape a more dynamic and stronger Penang together.
Once again, I wish to convey my heartiest congratulations to Kamen Steel on this landmark occasion. In line with the Prime Minister’s call for Malaysia to continue to be a producer nation of high-quality goods and a competitive nation, we hope for Kamen Steel’s continued growth in Penang and to be a global industry player.
Thank you.