INVESTMENT ANNOUNCEMENT OF TF AMD MICROELECTRONICS SDN BHD
SPEECH BY YAB TUAN CHOW KON YEOW
THE CHIEF MINISTER OF PENANG
INVESTMENT ANNOUNCEMENT OF
TF AMD MICROELECTRONICS SDN BHD
TF AMD, Bayan Lepas | 14 June 2022
Datuk Arham Abdul Rahman
Chief Executive Officer of Malaysian Investment Development Authority (MIDA)
Tuan Mohamad Haris Kader Sultan
Chief Executive of Northern Corridor Economic Region (NCER)
Dato’ Loo Lee Lian
Chief Executive Officer of InvestPenang
Mr. Shi Ming Da
Chairman of TongFu Microeletronics Co. Ltd.
Dato' Devinder Kumar
Executive Vice President, Chief Financial Officer and Treasurer of AMD
Mr. Neoh Soon Ee
Managing Director and Corporate Vice President of TF-AMD
Members of the press,
Ladies and gentlemen,
It gives me great pleasure to be here today for the Investment Announcement of TF AMD in Penang, Malaysia. Being one of the pioneer multinational companies that has set foot in Penang since 1972, Penang is pleased to see TF AMD, a prominent global player in High Technology Assembly and Test, deepening its roots in the state over the years.
Since 2016, TF AMD has invested an approximate value of RM900 million in Malaysia. Today, we are pleased to share that the company is expanding its manufacturing facility in Penang with nearly RM2 billion in capital investments, constructing its second site in Batu Kawan Industrial Park.
With a presence that spans half a century, TF AMD’s expansion has greatly demonstrated the conduciveness of Penang’s business environment, bolstered by its resilient supply chain, excellent infrastructure and future-proof talent pool. With TF AMD’s wealth of knowledge and experience in the E&E industry, I am confident that this strategic expansion plan will provide immense opportunities for local talent development in high-performance computing solutions.
Having been a key industry player in developing the capacity and capability of Malaysia’s semiconductor ecosystem, TF AMD is also committed to establish collaborative opportunities with local vendors and universities.
Specifically, the company targets to employ two to three thousand new employees with science and technical backgrounds within the next 5 years as a means of developing the skills of local talents and vendors in the areas of Industry 4.0, automation, and engineering services. The company’s efforts to build a strong talent pipeline through training programmes, upskilling, and reskilling initiatives are expected to generate positive spillover effects on Penang’s talent pool.
Ladies & gentlemen,
The significance of Penang on the global scale is well attested, underpinned by its critical role in the E&E industry. In particular, Penang accounted for over 5% of the global semiconductor sales.
In terms of trade performance, Penang’s exports climbed 16% year-on-year in 2021, reaching its all-time high of RM364 billion. Notably, electrical and electronic (E&E) and semiconductor products dominated Penang's exports, accounting for more than 70% of the state's total. Penang, being one of the key pillars to the country's economy, have recorded RM132 billion trade surplus last year.
On the investment front, Penang topped and accounted for 41% of the country’s foreign direct investment (FDI) in 2021, with an all-time-high of RM76 billion. The state’s commendable performance in its approved manufacturing investment has multiplied Penang’s potential and generated a multitude of opportunities ready for its taking.
While we commemorate the 50th anniversary of Penang's industrialization this year, I am especially delighted to see a new wave of strategic investments from existing investors who have been with us for decades.
I would like to take this opportunity to express the State Government’s appreciation to the Malaysian Investment Development Authority (MIDA), InvestPenang and Penang Development Corporation (PDC) for their support and efforts in maintaining Penang’s position as a preferred location for investors.
The State, via InvestPenang and other relevant state agencies, is committed to outpace investors’ expectations by providing continuous facilitation throughout this expansion project.
Penang looks forward to another 50 strong years and maintain a long-lasting business relationship with TF AMD. Once again, my heartiest congratulations to TF AMD on this strategic expansion plan and I wish you all the success.