LEM MALAYSIA INAUGURATION CEREMONY
SPEECH BY YAB TUAN CHOW KON YEOW
THE CHIEF MINISTER OF PENANG
LEM MALAYSIA INAUGURATION CEREMONY
19TH APRIL 2024
PENANG SCIENCE PARK NORTH, SIMPANG AMPAT
Her Excellency Madam Andrea Reichlin
Ambassador of Switzerland to Malaysia
YBhg. Datuk Wira Arham Abdul Rahman
Chief Executive Officer of Malaysian Investment Development Authority (MIDA)
YBhg. Dato’ Loo Lee Lian
Chief Executive Officer of InvestPenang
Mr. Simon Fluck
Chairman of Swiss Malaysian Chamber of Commerce
Mr. Andreas Huerlimann
Chairman of the Board of Director of LEM
Mr. Frank Rehfeld
Chief Executive Officer of LEM
Mr. Gregorie Lafore
General Manager of LEM Malaysia Sdn Bhd
Distinguished guests,
Members of the media,
Ladies and gentlemen,
Good morning and Salam Sejahtera.
Today, I stand before you with great pleasure and excitement as we gather to commemorate the official inauguration of LEM’s first manufacturing plant in Penang, Malaysia. This momentous occasion has been long anticipated since the groundbreaking ceremony two years ago, and it is truly a joy to witness LEM reach this significant milestone.
LEM, since its establishment in 1972 in Geneva, Switzerland, has earned a distinguished reputation as a global leader in providing innovative solutions for measuring electrical parameters. Their focus on current and voltage transducers has served various industries, spanning from drives & welding to renewable energies & power supplies, and from traction to high precision, conventional, and green cars businesses.
Located strategically within the Penang Science Park, LEM’s new facility marks another stride forward in its growth trajectory and represents a substantial investment in the region. This greenfield project is dedicated to manufacturing and testing current sensors, addressing global markets such as automotive, renewable energies, robotics, industrial, and instrumentation sectors.
With an investment of 15 million Swiss francs (approximately RM 78 million), LEM’s venture is expected to create 500 job opportunities in the manufacturing of advanced current sensors and semiconductor current sensors, known as Integrated Current sensors. We eagerly anticipate the knowledge exchange and skill development in advanced current sensing technologies that LEM will bring to our local workforce.
Moreover, Penang, renowned for its well-developed industrial ecosystem, boasts the capacities and capabilities to support the needs of industrial players in next-generation technologies and growth strategies. I am optimistic that LEM will reap significant benefits from its operations in Penang, often referred to as the Silicon Valley of the East.
Ladies and gentlemen,
With over 50 years of industrial excellence, Penang stands as a key pillar of Malaysia’s economy. The manufacturing sector, in particular, has consistently been the largest contributor to the state's economic growth. In 2023, Penang led as the top recipient of approved manufacturing investments, reaching RM63.4 billion. Notably, the Electronics & Electrical Products sector remained the top sector, with a total approved manufacturing investment of RM54.7 billion in 2023, accounting for 86% of the total.
As the economic powerhouse of Malaysia, Penang led the nation in 2022 with an export value of RM463 billion. Despite the semiconductor industry's slowdown in 2023, Penang maintained its position at the top of the list, recording an export value of RM435 billion, representing 31 percent of the country’s total.
As we celebrate these achievements, it is imperative to recognize that the Penang State Government remains committed to continuous improvement. To solidify Penang’s position as a hub for advanced manufacturing, the State Government has placed a special emphasis on attracting companies with strong commitments in developing cutting-edge technologies and sustainable investing.
In line with the industry growth, Penang is also placing strong emphasis on sustainability. As such, we are most proud that our conducive environment bodes well for the industry players here as we have witnessed many of them making true commitments to environmental stewardship, social inclusivity and ethical governance. I am pleased to note that LEM is strongly engaged in sustainability with an ambitious CO2 reduction roadmap and this plant is a leading example certified by Malaysia’s Green Building Index.
Ladies and gentlemen,
Sustaining a dynamic ecosystem capable of supporting the needs of industrial players in next-generation technologies and growth strategies is a top priority for the Penang State Government. Through collaborative efforts among the public, private, and civic sectors, we aim to create sustainable economic growth and equitable opportunities for all stakeholders involved in our vibrant community.
Looking ahead, I am confident that LEM's presence in Penang will not only contribute significantly to our economy but also stimulate innovation, promote knowledge transfer, and elevate the skills of our workforce. The partnership between LEM and the Penang State Government exemplifies our shared commitment to sustainable development, technological advancement, and economic resilience.
Accordingly, I extend my heartfelt gratitude to LEM for selecting Penang as the location for its new manufacturing plant. I also express my appreciation to the Swiss Malaysian Chamber of Commerce for its continuous support in strengthening bilateral trade relations between Switzerland and Malaysia. Furthermore, I would like to thank the Malaysian Investment Development Authority (MIDA) and InvestPenang for their unwavering support and facilitation throughout the investment process.
In conclusion, I extend my heartfelt congratulations to LEM on this momentous occasion. Your dedication, expertise, and vision have brought us to this milestone, and I have no doubt that your future endeavours will continue to propel us all to even greater heights.
Thank you.