By Danial Dzulkifly
KUALA LUMPUR, July 26 — Selangor and Penang can help and learn from each other as more investment comes from major semiconductor companies eager to leverage their respective strengths.
Selangor Menteri Besar Dato’ Seri Amirudin Shari said his administration has learned from Penang’s extensive experience growing its semiconductor industry over the last 50 years and is looking to attract more high-impact investments into Malaysia’s golden state.
Despite calling Selangor the “new kid on the block,” he insisted that healthy competition while engaging in deeper collaboration would greatly benefit both states.
“Since the 1980s, Penang has focused on the semiconductor industry, making it a central pillar of its economy and a key area for investment and trade.
“The semiconductor industry consists of three main segments, namely integrated circuit (IC) design, advanced packaging, and wafer fabrication. Selangor's approach starts with IC design as a front-end process, allowing gradual development and integration of the complete ecosystem.
“So, we are going step by step. Rather than seeing Penang as competition, Selangor can view this as an opportunity to complement each other, contributing to Malaysia's overall strength in the semiconductor industry,” he said.
Amirudin was speaking in a special dialogue session on Malaysia’s leading investment destinations, held in conjunction with the 8th Selangor Asean Business Conference (SABC) at the Kuala Lumpur Convention Centre today.
SABC is being held as part of the First Series of the Selangor International Business Summit (SIBS) 2024.
Since the Covid-19 pandemic, Selangor has leveraged the trade war between China and the United States, offering itself as the choice destination for semiconductor businesses to relocate their bases to the state.
He said that rather than states looking to compete for investment, they should learn to leverage their respective strengths.
Amirudin added that his administration has taken these lessons to heart and developed better policies to facilitate investments in complex industries.
This includes enacting a soft landing programme that provides a supportive environment for companies relocating to Malaysia.
Selangor has also recently launched the IC Design Park in Puchong, the largest in Southeast Asia. Following its success, the Menteri Besar hinted at the possibility of the state opening up more similar parks in the future.
