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Ferrotec to start construction of new factory in Kulim

09/08/2022 04:44 PM

KULIM, Aug 9 (Bernama) -- Ferrotec Holdings Corp, a global supplier of materials, components and precision system solutions, today announced the groundbreaking ceremony to begin construction of its new manufacturing facility at Kulim Hi-Tech Park here.

The plant which will be undertaking electromechanical assembly and advanced material fabrication for semiconductor equipment is designed to meet customers’ needs while also expanding the group's business globally.

Kedah senior exco member of Industrial and Investment, Science, Technology and Innovation and Higher Education Datuk Dr Ku Abd Rahman Ku Ismail said Ferrotec will build a state-of-the-art plant of 800,000 sq ft built-up area with a total investment of more than RM500 million.

“This investment is expected to create around 800 high-value jobs for Kedah within the next two to five years, and will surely help to usher Kedah to be an industrialised and developed state," he said at a press conference after the groundbreaking ceremony of the Ferrotec manufacturing facility here today.

Also present were Malaysian Investment Development Authority (MIDA) deputy chief executive officer (investment development) Lim Bee Vian, Invest Kedah chief executive officer Muhamad Mahazi Ibrahim and Ferrotec Holdings group chief executive officer He Xian Han.

Ku Abd Rahman said Ferrotec will begin the construction of the plant immediately and the company expects the factory which will be equipped with the most advanced machines and technologies to start operation by September next year.

Meanwhile, Lim said Ferrotec’s investment does not only demonstrate the company's confidence in Malaysia's long-term investment propositions, but also the thriving state of the manufacturing industry in Malaysia.

She said despite facing competition from the low-cost production countries, Malaysia's machinery and equipment (M&E) companies continue to thrive in producing high-value-added products and integrated services, supporting the needs of the MNCs in their effort to serve their customers better.

“MIDA aims to help such companies by facilitating continuous investment opportunities to expand their operational capabilities to improve output quality and volume,” she said, adding that MIDA is negotiating the investment of a few more big projects into Kedah.




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