‘ASEAN could become world’s strongest semiconductor ecosystem’

5 May 2026, 3:00 AM
‘ASEAN could become world’s strongest semiconductor ecosystem’
‘ASEAN could become world’s strongest semiconductor ecosystem’

SHAH ALAM, May 5 — Selangor is urging stronger ASEAN collaborations to build a globally competitive semiconductor ecosystem.

State executive councillor for investment, trade and mobility Ng Sze Han said regional neighbours should reassess their roles in the semiconductor supply chain and leverage each other’s strengths.

“If we combine what each country does best, this region could become the world’s strongest semiconductor ecosystem,” he said at a seminar organised by Invest Selangor Bhd, as reported by The Star.

Ng said Selangor is accelerating investor facilitation, including by cutting red tape for factory construction approvals and introducing new investment rules to attract high-value industries.

“In the past, it could take up to six months or even a year (for approvals). Now, we assure you that you will get approval within 30 days to start building your factory,” he said, adding that approvals for developments in designated industrial parks would be fast-tracked.

A woman walks past a sign for Malaysia’s first Integrated Circuit (IC) Design Park at the Puchong Financial Corporate Centre in Bandar Puteri, Puchong, on February 18, 2024. — Picture by MOHD KHAIRUL HELMY MOHD DIN/MEDIA SELANGOR

Meanwhile, Ng said the Integrated Circuit (IC) Design Park in Puchong now hosts 15 firms and 302 engineers, projected to reach 400 by year-end.

He also highlighted the 30 per cent local content rule for new data centres to support local industries.

“The 30 per cent local content rule will cover items such as components, coding systems and server racks. This is to ensure local electrical and electronics companies in Malaysia gain from the spillover effects.”

Malaysia’s first IC Design Park at the Puchong Financial Corporate Centre was launched in August last year, with the primary goal of promoting original design manufacturing, encouraging local involvement in product design, prototyping and production.

A second IC Design Park was launched in Cyberjaya in November, an initiative that Menteri Besar Dato’ Seri Amirudin Shari called a milestone in Selangor’s mission to become the nation’s leading semiconductor hub and a main player in the global chip design ecosystem.

Selangor Information Technology and Digital Economy Corporation (SIDEC) chief executive officer Yong Kai Ping said in July last year that the state is looking to launch an IC Design Park every year until 2028.

Selangor Information Technology and Digital Economy Corporation (SIDEC) chief executive officer Yong Kai Ping speaks to reporters after the IC Design Park 1 showcase, held at the State Secretariat Building in Shah Alam, on November 19, 2025. — Picture by FIKRI YUSOF/MEDIA SELANGOR

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Media Selangor Sdn Bhd (MSSB), a subsidiary of Menteri Besar Selangor Incorporated (MBI), is the official media agency of the Selangor State Government. In addition to the Media Selangor news portal (formerly known as Selangorkini & Selangor Journal), Media Selangor also publishes newspapers in Mandarin, Tamil, and English.