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Applied Engineering to set up JV operations with Malaysian counterpart
US-based Applied Engineering (AE) will be establishing a joint venture (JV) plant with Malaysian counterpart, QES Manufacturing Sdn. Bhd. (QES) in Batu Kawan Industrial Park, Pulau Pinang later this year.
Both parties signed an agreement to establish, Applied Engineering Technology (M) Sdn Bhd (AET), a new JV company, to provide high-tech electromechanical contract manufacturing services, from prototyping to high volume production, through its New Product Introduction (NPI) process and advanced custom solutions, a press release from the Malaysian Investment Development Authority (MIDA) reads. The JV operation is designed to cater to the needs of clients in the semiconductor equipment manufacturing, life science and medical devices, defence, and aerospace market segments, not only in Malaysia, but also to ASEAN countries and China. The proposed initial investment for AET is approximately MYR 5 million (USD 1.18 million), with an initial workforce of 20 workers, comprising mainly engineers and technicians. The investment is set to expand up to MYR 20 million (USD 4.7 million) over the next three years. The company looks to kick-start its operations in a temporary premise before moving to its new factory in Batu Kawan Industrial Park during the fourth quarter of 2022.
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Obsolescence management cannot be an afterthought “Obsolescence has always existed. However, it usually only becomes really critical for companies when the exception mutates into the norm. And in recent years we have unfortunately experienced this unwanted development not only with semiconductor chips, but increasingly with many other components, materials and raw materials,” says IIOM President and COGD Chairman Dr Wolfgang Heinbach.
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