Taiwan’s EMC begins construction of US$191mil plant in Penang

  • First investment in Southeast Asia with its Copper Clad Laminate facility
  • Presence further strengthens Penang’s robust semiconductor ecosystem

(R 2 L): Chow Kon Yeow, Chief Minister of Penang with Albert Dong, Chairman and CEO of Elite Material; Lee Lian Loo, CEO of InvestPenang; Muhammad Ghaddaffi Sardar Mohamed, Director of MIDA Penang; and Aziz Bakar, CEO of Penang Development Corporation.

Taiwanese PCB manufacturer, Elite Material Co, Ltd (EMC) has announced the commencement of construction for its new Copper Clad Laminate (CCL) manufacturing facility in Penang Science Park North (PSPN). The facility marks EMC’s inaugural production plant in Southeast Asia. Current plans are to invest over US$191 million (RM900 million) over a period of time in the 14 acre site.

Construction of the facility that will serve global and local customers will be carried out in two phases: Phase One will have a monthly capacity of 600,000 sheets, with Phase Two adding an additional 150,000 sheets. Construction is expected to be completed in Q1 2025, with production to begin in Q2 2025. The investment was first reported by a Penang property news portal back in July 2023 which quoted Taiwanese media reporting that the planned investment was supposed to be around  US$39.45 million (RM186 million).

[Ed: Para updated with additional details.]

Chow Kon Yeow, Chief Minister of Penang, said, “EMC’s strategic investment is a testament to Penang’s robust industrial ecosystem having gained momentum in attracting investments from leading players in the E&E supply chain. This is a milestone in Penang’s industry transformation journey and evidence of how major strategic investments translate into technology and economic spillovers.”

Sikh Shamsul Ibrahim, CEO of the Malaysian Investment Development Authority (MIDA), said MIDA will provide comprehensive support to EMC throughout the entire project lifecycle. “This collaborative approach ensures smooth and successful operations, reinforcing Malaysia’s reputation as a reliable and trusted partner for global industry leaders like EMC.”

Albert Dong, Chairman and CEO of Elite Material, which holds more than 330 patents, said, “We are thrilled to become the number three player in our industry in 2023, but we are even more excited to embark on this new chapter in Southeast Asia with the establishment of our state-of-the-art Copper Clad Laminate manufacturing facility in Penang. We are confident that our presence in Malaysia will not only bolster the local PCB industry, but also the semiconductor industry since we are also an IC substrate material manufacturer.”

He acknowledged the support from the Malaysian government, MIDA, and InvestPenang in making the project a reality. “Together, we look forward to driving technological advancements and contributing to the vibrant industrial landscape of Penang and Malaysia.”

EMC, with an annual revenue of US$1.6 billion entered the IC substrate market in 2020 and commenced mass production in 2021. The IC substrate, a key material for semiconductors primarily used in IC products, has become a strategic focus for EMC. It expects its substrate capacity in Penang to be fully built as early as 2026. It currently operates six manufacturing sites in four countries with over 4,500 plus employees worldwide.

InvestPenang notes that EMC’s expansion into the IC substrate market aligns perfectly with Malaysia’s semiconductor ecosystem, renowned for its competitiveness, and often referred to as the Silicon Valley of the East.

 

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