South Korean PCB manufacturer expands with Malaysian plant
South Korea-headquartered Simmtech Holdings Inc. (Simmtech), a manufacturer of high-layer PCBs for semiconductors, is looking to expand with a new factory at Batu Kawan Industrial Park, Penang, Malaysia.
The news comes from the Penang State government, via Invest-in-Penang, as it announces that Simmtech has chosen an 18-acre site at the Batu Kawan Industrial Park for its first large scale factory in Southeast Asia. The South Korean company will, via Malaysian subsidiary, Sustio Sdn. Bhd. (Sustio), invest USD 120 million in "Phase-1" of the project, which will see operation at the new factory start in the first quarter of 2022. According to the report from Invest-in-Penang, the new facility in Penang is expected to create 1,200 new jobs in engineering, manufacturing and quality management, by the first half of 2023. “The state-of-the-art facility in Penang will further strengthen Simmtech’s dominant market position and to meet the heighten demand in DDR5 DRAM as well as data storage devices and packaging substrate products,” Jeffery Chun, Managing Director at Simmtech Southeast Asia said in the report. “Notably, our presence in Penang will be an added advantage for Simmtech in terms of the close proximity to our major customers in this region, thereby enabling greater value creation. Once in full swing, the production capacity in Penang will represent 20% of Simmtech Group’s current combined capacity in Korea, China and Japan.”