South Korean semiconductor giant Simmtech Holdings Inc., through its Malaysian subsidiary Sustio Sdn Bhd, has marked another major milestone with the completion of its second operations facility at the Batu Kawan Industrial Park (BKIP), Penang. The RM326 million phase two expansion features cutting-edge printed circuit board (PCB) technologies that support the development of smaller, faster, and more powerful electronic devices, meeting global demand driven by artificial intelligence (AI) and next-generation computing.
Since entering Penang three years ago, Simmtech has invested approximately RM750 million in its local operations, establishing Southeast Asia’s first advanced facility of its kind. The expansion has created 1,400 high-value jobs, further reinforcing Malaysia’s vital role in the global semiconductor supply chain.
Semtech Co. Ltd CEO Jeffery Chun highlighted the company’s long-term commitment to Penang, sharing that plans are already in place for a third facility at the current site and that Simmtech has secured an additional 10 acres for a future Building 4. “With Sustio’s cutting-edge capabilities, we are not only supporting global technology demands but also empowering local economic development,” he said.
Penang Chief Minister Chow Kon Yeow, who officiated the launch, congratulated Simmtech on its rapid growth and praised its confidence in Penang’s ecosystem. He noted that the new facility will double Sustio’s high-density interconnection (HDI) manufacturing capacity, positioning the company to meet future demand in AI, smart devices, and advanced electronics.
Chow reaffirmed the state government’s commitment to supporting high-tech industries, through enhanced infrastructure, improved utilities, and talent development initiatives. “Your continued investment underscores Batu Kawan’s emergence as a premier destination for advanced electronics manufacturing,” he said.
The opening ceremony was attended by South Korean Ambassador to Malaysia Yeo Seung-bae, MIDA Penang director Muhammad Ghaddaffi Sardar Mohamed, InvestPenang CEO Datuk Loo Lee Lian, Simmtech chairman Simon Chun, and MSIA president Datuk Seri Wong Siew Hai.
With this expansion, Simmtech continues to elevate Penang’s position as a regional technology powerhouse — often referred to as the “Silicon Valley of the East.”
