December 6, 2022 – Mattel Malaysia Sdn. Bhd. (MMSB) commemorated its 40th anniversary in Malaysia today with the announcement of a plant expansion, expected to be completed in January 2023. Located in Penang, Malaysia, MMSB is the world’s largest Hot Wheels manufacturing plant, with a current average output capacity of approximately 9.0M cars per week. According to Mattel, it expects this targeted, strategic investment to increase manufacturing capacity, improve productivity, and leverage technological capabilities, while reducing cost and enhancing operational efficiencies. The plant expansion will support Hot Wheels growth, and MMSB expects a 20% increase in production capacity by 2025.
Established in 1981 in Perai, Penang, MMSB was Mattel Inc.’s (NASDAQ: MAT) first manufacturing plant in Malaysia. Malaysia plays an important role in Mattel’s supply chain for the company’s manufacturing, tooling, and commercial operations. According to Mattel, MMSB currently employs almost 3,900 workers and has consistently invested in and upskilled its workers, while hiring talent with technical backgrounds. The plant expansion is estimated to increase the total workforce by approximately 10% to nearly 4,300 employees at MMSB. This expansion will also benefit Mattel Development and Tooling Sdn. Bhd. (MDT). MDT, established in 1985, is Mattel’s second manufacturing plant in Malaysia and a state-of-the-art facility for product development, digital model making, mould design, and manufacturing.
Chief Minister of Penang, YAB Tuan Chow Kon Yeow (pix), stated, “We are proud that Mattel continues to invest in Penang as a key destination within its global supply chain. This is a strong indication of the state’s efforts and commitment to developing a welcoming environment for industry players and positioning the state at the forefront of industrialisation.” He added: “Throughout the years, Mattel has also succeeded in developing a thriving ecosystem for the toy industry in the Perai Free Trade Zone, across industries. It is heartening to see the positive spillover effects that Mattel has brought to the homegrown companies.”