Malaysia is taking decisive steps to strengthen its semiconductor industry, with a specific focus on catering to the growing electric vehicle (EV) market. The country’s Trade and Industry Minister, Zafrul Aziz, emphasized the importance of semiconductors in the EV sector during an interview with CNBC. EVs rely on a significantly higher number of semiconductor chips compared to traditional vehicles, leading EV manufacturers to source components worth billions from Malaysia and solidifying the country’s position in the industry.
Attracting Investments and Advancing the Value Chain
In a bid to attract more EV manufacturers and encourage the expansion of their operations, Malaysia aims to climb the value chain by prioritizing the front end of the chip manufacturing process. This involves focusing on intricate procedures like wafer fabrication and circuit engraving, rather than solely concentrating on the back end, which entails packaging and assembly of integrated circuits.
Establishment of a National Semiconductor Strategic Taskforce
To promote the growth of the semiconductor ecosystem and attract strategic investments, Malaysia has established a National Semiconductor Strategic Taskforce. The country recognizes the profound significance of the semiconductor sector within its electrical and electronics (E&E) industry, which accounts for 7% of Malaysia’s GDP and contributes to half of its export revenues.
Addressing the Talent Supply Chain
In addition to these efforts, the taskforce will also address the need for a robust workforce in the semiconductor industry. Malaysia recognizes that an estimated 50,000 electrical and electronics engineers are required annually to support this dynamic sector.
Conclusion
Malaysia’s proactive approach in bolstering its semiconductor industry to cater to the EV market’s exponential growth is commendable. By prioritizing the front end of the chip manufacturing process and establishing a National Semiconductor Strategic Taskforce, the country is positioning itself as a key player in the global semiconductor market. With strong governmental support and a focus on talent development, Malaysia is poised to become a hub for semiconductor manufacturing and contribute significantly to the EV industry’s advancements.
The source of the article is from the blog zaman.co.at