KUALA LUMPUR (Dec 1): Brazil and Malaysia’s collaboration in the semiconductor industry will involve the development of joint initiatives in integrated circuit (IC) design next year, according to sources from the Brazilian Embassy in Malaysia.
The sources are optimistic about the potential collaboration and growth following a recent Malaysia-Brazil semiconductor industry meeting in Rio de Janeiro in the presence of Prime Minister Datuk Seri Anwar Ibrahim as part of its recent official visit to Brazil.
Currently, Malaysia is the sixth-largest semiconductor exporter globally, with exports exceeding US$85 billion (RM378 billion), while Brazil’s semiconductor export value stands at only US$1.2 billion as of 2022.
However, the largest country in South America has a competitive edge in IC design.
“IC design is definitely an area we will focus on, and there have already been initial contact between stakeholders from both countries to develop joint initiatives,” one of the sources told Bernama when contacted.
During Anwar’s official visit, a memorandum of understanding (MOU) was signed between Mimos Bhd and Brazil’s Eldorado Institute and a second between the Malaysia Semiconductor Industry Association, the Brazilian Association of the Electrical and Electronic Industry and the Brazilian Semiconductor Industry Association.
The sources indicated that concrete initiatives might include joint ventures between Brazilian and Malaysian companies, which would present mutual investment opportunities; joint research and development projects between institutions like Mimos and Eldorado; and initiatives aimed at talent development in both countries.
While no specific details have been finalised, the sources noted that significant discussions are underway to bring the signed agreements to life.
The discussions around Brazil-Malaysia cooperation began in 2023, following the “Brazil-Asean and Semiconductors: Unveiling Global South Synergies” event, organised by the embassy in October 2023. This event marked the beginning of dialogues between stakeholders from both nations.
Malaysian and Brazilian organisations have been in active contact over the past year, and the agreements signed during Anwar’s visit to Brazil marked a key milestone in strengthening ties between the two countries.
“As the collaboration progresses, trust-building remains crucial to identifying specific areas of cooperation,” the sources added.
Malaysia’s semiconductor ecosystem includes global giants such as Intel, Infineon, Micron and Texas Instruments, as well as homegrown champions like Carsem and Inari.
Anwar’s working visit consisted of two main components: first, a bilateral meeting with the President of Brazi, Luiz Inacio Lula Da Silva on Nov 17, 2024 and second, participation in the G20 Summit under the presidency of Brazil from Nov 18-19, 2024.
The prime minister’s inaugural visit to Brazil generated export potential worth RM6.8 billion over the next three to five years.
Anwar, who is also finance minister, attributed this success to discussions with 58 industry leaders representing 28 leading companies and business associations in Brazil.
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