Northern Tech Centre Targets RM8.5bil Investments to Boost Semiconductor Hub

Economy Minister Akmal Nasrullah Mohd Nasir said the target would be driven by the Advanced Packaging Institute and Research Centre (APIRC), which is leading efforts to develop advanced semiconductor packaging capabilities- BERNAMA pic

The NCER Technology and Innovation Centre (NTIC) is targeting RM8.5 billion in new investments by 2030 to strengthen the northern region's position as a high-value semiconductor hub.

Economy Minister Akmal Nasrullah Mohd Nasir said the target would be driven by the Advanced Packaging Institute and Research Centre (APIRC), which is leading efforts to develop advanced semiconductor packaging capabilities.

He said APIRC marked a shift for Malaysia beyond traditional semiconductor assembly and testing towards higher-value, innovation-led activities.

"Through APIRC, we are targeting RM8.5 billion in new investments and the development of 12 local companies within the advanced packaging ecosystem by 2030.

"This is not merely about attracting investments, but ensuring greater value creation, expertise and economic opportunities remain in Malaysia," he said after officiating the NTIC in Bayan Lepas today.

Akmal said Malaysia must build on its semiconductor strengths by expanding capabilities in IC and system design, advanced packaging, automation, equipment development, R&D, prototyping and commercialisation.

He said investment quality must translate into quality jobs, higher wages and stronger local participation in the value chain, with success measured by talent development and industry upgrading.

He added that APIRC's 2030 targets were expected to generate wider spillover effects across Penang, Kedah, Perlis and Perak, including high-skilled jobs, increased R&D activity, greater technology commercialisation and stronger SME participation in global supply chains.

APIRC is being implemented with support from Silicon Connect, which serves as NTIC's Centre of Excellence provider, offering advanced packaging solutions covering design, prototyping and chip sample production.

Partners include CEDEC, Tessolve, the Global Electronics Association, ECTrons and Steerix, with NCER acting as strategic partner and facilitator.

"This collaborative approach reflects the government's aspiration to strengthen growth through public-private partnerships, academia, research institutions and local talent," Akmal said.

Meanwhile, Northern Corridor Implementation Authority (NCIA) chief executive officer Datuk Mohamad Haris Kader Sultan said NTIC served as a platform for Industry 4.0 technologies, robotics, IC design, system testing, engineering solutions and technology collaboration.

He said the initiative focused on three key sectors – high-value manufacturing, advanced services and modern agriculture.

"NTIC serves as a platform for strategic collaboration between government, industry, academia and local communities to strengthen the northern region's high-technology ecosystem.

"APIRC is one of the key outcomes of this public-private partnership," he added.

Since 2023, NTIC has facilitated cumulative investments of RM70 billion, appointed 25 Centre of Excellence providers and supported the upgrading of 68 local companies in the northern region.

The centre has also generated 16 intellectual properties, developed 1,452 skilled talents through industry-academia collaboration, and created 5,074 jobs.

NCIA said 58 per cent of programme participants recorded salary increases or promotions, underscoring NTIC's role as a catalyst for regional economic and technological growth.

Source: www.nst.com.my