Penang’s semiconductor industry continues to attract investment from local companies, with homegrown engineering firm Estek Automation Sdn Bhd opening a new RM20 million manufacturing plant at Batu Kawan Industrial Park (BKIP).

Spanning approximately 50,000 sq ft, the new facility brings together semiconductor equipment manufacturing, artificial intelligence (AI)-driven solutions and contract manufacturing, giving the company more room to expand its operations and develop new technologies.

Founded in 2015, Estek specialises in semiconductor automation equipment and intelligent manufacturing solutions. Its latest investment reflects the growing role of Malaysian engineering companies in supporting the country’s semiconductor industry.

Chief Minister Chow Kon Yeow, who officiated the opening, said the investment was an encouraging sign of the progress made by local engineering firms in building their own capabilities and delivering higher-value solutions.

He added that the Penang government would continue working with industry players and relevant agencies to strengthen the state’s investment ecosystem and support the growth of local businesses.

Estek Automation chief executive officer Jacky Lee said the new plant would allow the company to increase its manufacturing capacity while strengthening its engineering and research and development (R&D) capabilities.

He also expressed confidence in Penang and Malaysia as destinations for advanced manufacturing, pointing to the state’s established semiconductor ecosystem, which includes multinational companies, a strong supply chain and a skilled workforce.

Beyond expanding production, Estek aims to develop more Malaysian-made technologies and capture a greater share of value within the global semiconductor supply chain.

ADVERTISEMENT

ADVERTISEMENT