Texas Instruments Sets Sights On M’sia For Massive Expansion With Potential Investments Of Up To RM14.6 Billion

The chip manufacturer’s expansion will encompass its assembly and testing facilities located in Kuala Lumpur and Melaka.
(credit: Texas Instruments)

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You might have never heard of Texas Instruments. They are an American technology company that designs and manufactures semiconductors and various integrated circuits. Founded in 1930, they have become a leading player in the global semiconductor industry.

The company’s product portfolio includes a wide range of analogue and digital semiconductor devices used in applications such as consumer electronics, automotive, industrial, communications, and more. They are known for their popular microcontrollers, digital signal processors (DSPs), and analogue chips, which are widely used in various electronic devices and systems. You may have unknowingly used their product during your school or university days, as they also manufacture scientific calculators.

FMT reports that Texas Instruments has unveiled its plans to enhance its manufacturing capabilities in Malaysia by establishing two new assembly and test factories in Kuala Lumpur and Melaka, with the potential investment reaching up to RM14.6 billion.

The construction of the new facility adjacent to the existing assembly and test factory in Kuala Lumpur is expected to commence later this year, with production commencing as early as 2025.

The expansion in Kuala Lumpur is projected to attract potential investments of RM9.6 billion and generate approximately 1,300 additional jobs.

Furthermore, a new six-level assembly and test factory will be constructed alongside the current facility in Melaka, with a potential investment of RM5 billion and the creation of up to 500 jobs. The new facility is also scheduled to commence production in 2025.

(credit: Texas Instruments)

Tengku Zafrul Aziz, the Minister of Investment, Trade, and Industry, stated that Texas Instruments’ plans to expand its assembly and test operations reflect Malaysia’s prominent position in the global semiconductor supply chain, aligning with the government’s new investment policy and industrial master plan’s focus on attracting high-tech, high-value investments to bolster our digitised global and domestic economies.

Tengku Zafrul added that the expansion would not only strengthen domestic value chains but also create knowledge-based employment opportunities with higher incomes for Malaysians.

Yogannaidu Sivanchalam, Vice President of Assembly and Test Manufacturing Operations at Texas Instruments, emphasised that the expansion was part of the company’s long-term strategy to increase its internal manufacturing capacity to meet the growing demand for semiconductors and ensure a more reliable supply.

He expressed pride in Texas Instruments’ over 50-year presence in Malaysia and highlighted the critical role of the talented and expanding Malaysian team in the company’s future success.

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