Malaysia Aims to Become Energy and Chip-Making Hub
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Malaysian Prime Minister Anwar Ibrahim announced Malaysia's ambition to become a regional hub for energy and chip manufacturing, Reuters reports. The country is leveraging its strategic location and recent economic growth to attract investment and diversify supply chains.
Prime Minister Anwar attributed Malaysia's economic rebound to significant investments in renewable energy and artificial intelligence infrastructure. He highlighted the country's stable currency and strong stock market performance, stating that Malaysia is becoming a haven for foreign investors in Southeast Asia.
"In 2025, we want to double down on our geographical centrality, as a conduit for electricity, talent and supply chain diversification," Anwar said at an economic forum.
Anwar outlined Malaysia's goal to become a global leader in oil and gas, semiconductors, and Islamic finance.
Economy Minister Rafizi Ramli added that Malaysia is aiming to produce its own graphics processing unit (GPU) chips.
"We are hoping that we can start producing made-by-Malaysia GPUs and chips in the next five to 10 years," Ramli stated.
Malaysia is already a significant player in the semiconductor industry, accounting for 13% of global testing and packaging. The country is attracting substantial investments in the sector, exceeding $100 billion, as Chinese chip firms diversify their manufacturing operations overseas.
Leading tech firms have also made significant investments in Malaysia's digital infrastructure, including Google. These investments contributed to Malaysia's strong economic growth in 2024, exceeding market expectations in the second and third quarters.