The Malaysian Investment Development Authority (MIDA) and Infineon Technologies (Kulim) Sdn. Bhd. have jointly curated a Local Vendor Development Programme, a new initiative aimed at enhancing the capabilities of local companies to support the growing semiconductor industry in Malaysia. The programme is designed to provide opportunities and support to local suppliers by developing their capabilities, ultimately contributing to a more sustainable and resilient semiconductor ecosystem in Malaysia.
The programme, launched recently, received overwhelming response, with the participation of over 190 domestic vendors. The event featured a briefing on Infineon’s procurement requirements and discussions with participating vendors. Esteemed guests included Datuk Hanifi Sakri, Deputy Secretary General (Industry), Ministry Investment, Trade and Industry, Faizal Jalaludin, Executive Director, Investment Promotion, MIDA and Infineon Kulim’s Sr. Vice President and Managing Director, Ng Kok Tiong.
Senator Tengku Datuk Seri Utama Zafrul Tengku Abdul Aziz, Minister of Investment, Trade and Industry (MITI), lauded the programme’s timeliness and strategic importance, “Congratulations to MIDA and Infineon for putting together a public-private programme aimed at enabling Malaysian companies to harness advanced manufacturing technologies, including AI, and smart connectivity solutions. This is exactly the kind of initiative envisaged by the New Industrial Master Plan (NIMP) 2030 and National Semiconductor Strategy towards strengthening our industrial ecosystem. As we empower local vendors to integrate cutting- edge technologies and drive efficiency within global companies’ supply chains, Malaysia will also be in a better position to benefit from the AI revolution, while attracting further investments into the country. The MIDA-Infineon partnership is also a key proof point of MITI’s dedication in fulfilling the MADANI Government’s promise to implement broad-based reforms for Malaysia’s inclusive and sustainable growth.”
“Developing a resilient and competitive semiconductor ecosystem requires both technological advancement and human capital development,” Datuk Sikh Shamsul Ibrahim Sikh Abdul Majid, Chief Executive Officer of MIDA further explained. “At MIDA, we’re providing local suppliers with structured platforms to enhance their technological capabilities while ensuring their workforce is equipped with the skills needed for next-generation semiconductor manufacturing.”
He added, “Through our partnership with Infineon, we’re fostering high-value collaborations that drive industrial transformation and competitiveness. But we understand that sustainable growth requires more than just technological advancement. It requires people who can lead and anchor these changes.”
During the event, Kok Tiong emphasised Infineon Kulim’s commitment to supporting local vendors in understanding the complex requirements of high-technology wafer fab manufacturing. He stated, “By creating a pool of vendors who can provide high-value and reliable services, we can directly support our growth in Malaysia. Sustainable vendor development is crucial in today’s dynamic and challenging business environment.”
In August 2024, Infineon inaugurated the first phase of its highly efficient 200-millimeter silicon carbide (SiC) power fab in Kulim. This investment is significantly strengthening the local semiconductor ecosystem and solidifying Infineon’s role as a reliable partner within the growing semiconductor hub in Malaysia. Infineon has deep roots in Malaysia, going back to the year 1973 when the backend-site in Melaka was launched.
As part of the programme, participating companies received a comprehensive overview of various aspects of wafer fab semiconductor business at Infineon Kulim, including indirect materials and services.
