KUALA LUMPUR: TF-AMD Microelectronics Sdn Bhd today announced plans to expand its manufacturing facility in Batu Kawan Industrial Park, Penang, with nearly RM2 billion of capital investment.
The new facility, spanning 1.5 million square feet and occupying approximately 5.67 hectares, will manufacture advanced integrated circuit technology and is expected to be completed in 2023.
TF-AMD corporate vice president and managing director Neoh Soon Ee said that once completed, the facility will bring the company's total manufacturing capacity to over 2.3 million sq ft.
"This is an exciting day for TF-AMD as it marks the beginning of a new chapter in our continued pursuit of providing excellent support to our customers with differentiated high-value engineering solutions," said Neoh.
Penang chief minister Chow Kon Yeow said that with a presence that spans half a century, TF-AMD's expansion had demonstrated the conduciveness of the state's business environment, buoyed by its resilient supply chain, excellent infrastructure, and future-proof talent pool.
"With TF-AMD's wealth of knowledge and experience in the electrical and electronics (E&E) industry, I am confident that this strategic expansion plan will provide immense opportunities for local talent development in high-performance computing solutions," he said.
Malaysian Investment Development Authority (MIDA) chief executive officer Datuk Arham Abdul Rahman said Malaysia continues to be the investment destination for high-value manufacturing and global services in Asia.
"Foreign investors' confidence in Malaysia continues to grow because the nation is a haven for one of the most comprehensive ecosystems in the region—the E&E and machinery and equipment (M&E) industries—making the country the preferred single largest site for offshore semiconductor firms, like TF-AMD.
"We aspire to see more companies emulate TF-AMD's success story by raising their bar in terms of best practices and capabilities in the near future," said Arham.
On April 29, 2016, TongFu Microelectronics of China acquired 85 per cent of AMD's stake in two locations—AMD in Penang, Malaysia and AMD Suzhou, Jiangsu in China—and formed a joint venture called TF AMD Microelectronics (Penang) Sdn Bhd.