KUALA LUMPUR (March 12): Cape EMS Bhd’s (KL:CEB) US-based subsidiary iConn Inc has entered into a manufacturing pact with Guardian South East Asia Pte Ltd (GSEA), a Singapore advanced manufacturing company backed by VS Industry Bhd (KL:VS) to support its expansion without needing major capital spending.
According to a statement on Thursday, the agreement is effective immediately for an initial three-year term, positioning GSEA as an approved partner with iConn’s global engineered manufacturing network. The partnership is designed to support multinational original equipment manufacturer (OEM) customers pursuing ‘China+1’ supply chain diversification strategies.
Under the framework, iConn will continue to lead customer engagement, pricing, and commercial negotiations, while GSEA provides precision manufacturing capabilities, including precision CNC machining, mechanical component production, chemical etching, metal stamping, plastic injection moulding, medical-grade sub-assembly, and testing services.
The collaboration accelerates the group’s CEB 2.0 asset-light strategy, enabling expansion of high-value manufacturing capacity without significant capital expenditure.
“By integrating Guardian South East Asia into iConn’s manufacturing network, we can immediately scale our precision manufacturing capacity to meet international demand without incurring significant capital expenditure.”
“With the backing of two major listed groups, multinational customers gain the confidence required to deploy high-value manufacturing programmes across Southeast Asia”, Cape EMS group chief executive officer Christina Tee Kim Chin said in the statement issued after the signing event recently.
On the deal, iConn chief executive officer Turker Hidirlar added that US-based customers are actively seeking reliable alternatives to China.
“This partnership bridges demand with top-tier Southeast Asian execution, managed through iConn’s digital manufacturing platform built on Oracle NetSuite”, he said.
Cape EMS and VS Industry are providing corporate support to the partnership, which operates on a non-exclusive basis. The dual-assurance structure is intended to strengthen the supply chain confidence for multinational customers shifting complex programmes into Southeast Asia.