PETALING JAYA, Sept 4 – The Petaling Jaya City Council (MBPJ) has successfully approved NXP Malaysia Sdn Bhd's smart factory expansion project within 25 days through the Speed Selangor initiative, faster than the maximum 30-day timeframe set.
Mayor Dato' Mohd Yazid Sairi said this achievement marked a milestone for the MBPJ, making it the third local authority in Selangor to implement the initiative.
"The success of this project demonstrates that Speed Selangor can accelerate approval processes, enhance efficiency, and facilitate investment without compromising technical planning or environmental considerations," he said.
Mohd Yazid made the remark during his speech at the Development Plan Approval Handover Ceremony under the Speed Selangor@MBPJ initiative at Menara MBPJ here today.
He also noted that the decision by NXP, which has been established in Malaysia since 1972, to reinvest and expand its operations reflects global investor confidence in the business ecosystem and potential of Selangor, particularly Petaling Jaya.
The project, he said, involves constructing a connecting bridge between NXP’s north and south campuses in the Sungei Wey Free Industrial Zone as part of the expansion of its highly automated semiconductor smart factory.
The expansion is expected to add approximately 500,000 square feet of production space, bringing NXP's total production area in Petaling Jaya to around 900,000 square feet.
The smart factory will also utilise an Automated Material Handling System (AMHS) and advanced quality management technology to boost operational efficiency.
"I have been informed that by the time production commences in the first quarter of 2028, NXP's production capacity in Petaling Jaya is targeted to more than double.
"I believe this move can strengthen Malaysia's position in the global supply chain for the chip assembly, testing, and packaging segment or the 'back-end' which will raise it from the current 13 per cent to a higher level," he said.
Mohd Yazid also shared that MBPJ is prepared to offer a six-month Temporary Business License once project construction reaches the 80 per cent completion mark, allowing for early machine testing.
"A full business license will be issued within 24 hours of the submission of the Certificate of Completion and Compliance (CCC), subject to stipulated conditions," he added.
The success of this pilot project, Mohd Yazid said signalled that Petaling Jaya is ready to welcome and facilitate high-tech investments, while remaining committed to balancing economic growth with efficient, transparent, and responsible regulation.
"We will strive to prevent bureaucracy from becoming a barrier to investment; instead, we will continue to champion a fast, efficient, and effective approach to create a conducive business environment.
"In this regard, I welcome further investment in strategic sectors such as semiconductors, the digital economy, aerospace, automotive, high-tech, and the creative economy; to establish a presence and grow in Petaling Jaya," he said.
