Manufacturing

Penang’s vibrant industrial ecosystem is a strong determining factor for many investments,
upheld by a network of diversified and competent local manufacturers

Electrical & Electronics (E&E)

The electrical and electronics (E&E) industries in Malaysia aims to strengthen the available manufacturing ecosystem, especially in the production of semiconductor, solar energy, light emitting diodes (LED), storage technologies and electronic manufacturing services (EMS). The industry itself contributed RM575.5 billion in Malaysia’s export for the year 2023 which contributed to 40.4% of Malaysia’s total exports in the same year (source: DOSM). According to SEMI, an international organisation in the semiconductor field, Penang itself contributes approximately 8% of the global back-end semiconductor output, making it among the world’s leading location for microelectronics assembly, packaging and testing.

 

Penang’s vibrant E&E ecosystem has been a strong determining factor for many investments and is supported by a network of over 4,000 well-diversified and competent local suppliers covering the following domains, but not limited to:

Automation

Vision inspection system, test handlers and material handling systems

Plastics

Precision plastics, engineering plastics, injection moulding and blow moulding

Electronics

Various products, components and services including lead frames, flex circuits, built-in, plating and assembly & test

Software Development

Manufacturing, telecommunication, enterprise resource planning (ERP) and Human Resource Management (HRM)

Packaging

Paper & boards, polystyrene, sponge & hard rubber, antistatic packaging, clean room engineering & accessories and sterile medical packaging

Precision Engineering & Metal Work

Precision machining, precision tooling, stamping and fabrication

The E&E industries in Malaysia can be generally categorised into 5 sub-sectors which are:

Electronic Components

Encompasses semiconductor devices, passive components, printed circuits board and other electronic components such as media, substrates, and connectors.

 

Companies: Intel, TF-AMD, Broadcom, IBIDEN, Analog Devices

Industrial Electronics

This sub-sector refers to multimedia information technology products such as computers and computer peripherals, telecommunications equipment, office equipment, and boxes-built products for industrial applications.

 

Companies: BOSCH, Motorola, Keysight Technologies, SAM Engineering, ViTrox

Electrical Products

Currently there are more than 381 companies producing a wide range of products such as household electrical appliances, wire and cables and electrical industrial equipment. Incorporates three sub-sectors, namely industrial equipment, electrical components and household appliances.

 

Companies: OSRAM, Lumileds

Electronics Manufacturing Services (EMS)

Covers the design, manufacturing, testing, distribution, and provision of repair services for electronic components and assemblies for original equipment manufacturers (OEM) – also known as electronics contract manufacturing (ECM).

 

Companies: Plexus, Jabil, Benchmark, Sanmina, Inari Amertron, Flex

Note: The list of companies is not comprehensive and it is for general information purposes only. All content and information on the list might be changed or updated without notice.

Penang,
Your Preferred
Investment Destination

Overview of Investment and
Trade Figures In Penang

Total Approved Manufacturing
Investments By Sector (2024)

Source: MIDA

Penang's Approved Manufacturing
Investments (2024)

Source: MIDA

Penang's E&E Exports Contributed Average 59% of the Nation's Total

Source: DOSM