PETALING JAYA (July 24): Malaysia has secured over RM63 billion worth of semiconductor investments under its National Semiconductor Strategy (NSS) as of March 2025, less than a year after its launch in May 2024.
Of the total, RM58 billion came from foreign investors and RM5 billion from domestic sources, Prime Minister Datuk Seri Anwar Ibrahim revealed at the Asean Semiconductor Summit 2025 on Thursday.
The NSS is part of the government’s efforts to strengthen Malaysia’s role in the global semiconductor value chain.
Notable foreign-led projects secured under the NSS include Carsem’s advanced packaging technologies for energy efficiency and AI, NXP’s semiconductor products, Infineon’s world largest 200mm silicon carbide power fab, Syntiant’s MEMS microphone and sensor operations, as well as Plexus’ manufacture and re-manufacture of printed circuit boards.
Anwar said 13 Malaysian companies have emerged as potential national champions across the semiconductor value chain, with each of the nine players — including Carsem, Inari Amertron Bhd (KL:INARI), Pentamaster Corp Bhd (KL:PENTA), ViTrox Corp Bhd (KL:VITROX) and Kelington Group Bhd (KL:KGB) — expected to generate over RM500 million in revenue this year.
Another four players, namely OppStar Bhd (KL:OPPSTAR), SkyeChip, Infinecs and Experior are integrated circuit design and development firms that have recorded annual revenue growth of above 25%, he added.
“15 years from now, we want Malaysia to be able to look back at this moment as the tipping point when the country began grooming its very own Fortune 500 tech companies,” Anwar said.
The NSS scheme aims to grow the local semiconductor industry by fostering the development of 10 Malaysian companies with revenues exceeding US$1 billion (RM4.2 billion) and 100 companies with revenue close to RM1 billion.
To address the shortage of skilled tech talent, the government has earmarked RM1.2 billion over the next five years to develop a robust tech talent pipeline for the industry, which aligns with the NSS’ target to create 60,000 engineers.
This effort is spearheaded by a partnership between Collaborative Research in Engineering, Science and Technology (CREST) and the Human Resource Development Corp Bhd (HRD Corp). CREST is an agency under the Ministry of Investment, Trade and Industry (Miti), while HRD Corp is an agency under the Ministry of Human Resources.
Moving forward, the government is preparing to provide stronger backing for the NSS, particularly support for homegrown Malaysian companies in three areas.
Firstly, Anwar said the government will unlock more catalytic capital to drive early-stage research and development (R&D), product development and ecosystem scaling. This includes targeted financing instruments, matching funds and customised incentives, alongside continued investments from government-linked investment companies.
“To date, we have received a commitment of more than RM2 billion in various forms to support the industry’s development, from the government and other stakeholders’ crowd-in capital. This includes support by Khazanah Nasional Bhd and Kumpulan Wang Persaraan Diperbadankan (KWAP), (under the GEAR-uP initiative), Bank Negara Malaysia and through partnerships with global players,” he added.
Secondly, he said the government aims to expand market access for Malaysian firms by elevating semiconductor diplomatic channels.
Thirdly, in strengthening the talent ecosystem, the government also plans to drive collaboration across public, private and academic institutions to develop a future-ready, industry-relevant workforce. In parallel, R&D efforts will be intensified through strategic partnerships to build focused capabilities and maintain competitiveness in a rapidly evolving global semiconductor landscape.