Simmtech opens new Malaysian manufacturing facility
South Korean manufacturer for semiconductor packaging substrate and HDI PCBs, Simmtech, has officially opened its Malaysia-based subsidiary, SUSTIO Sdn. Bhd. in Batu Kawan Industrial Park, Penang.
This new factory will be Simmtech's first manufacturing facility in Southeast Asia and the group’s eighth factory along with its other operations in Korea, China and Japan. SUSTIO’s factory in Penang will increase Simmtech's total capacity of substrate and PCB by 20%, which the company says will immediately contribute to improve the semiconductor industry supply constraint.
“We have already engaged with our key customers for the new site qualification programme and are expecting to start delivering mass volume of substrate and PCB products to the customers from the second half of this year,” said Mr. Jeffery Chun, the Managing Director of Simmtech SE Asia in a press release.
In May 2021, SUSTIO broke ground on the 18 acre site at Batu Kawan Industrial Park investing more than MYR 600 million (EUR 129.7 million). Despite the lock down, the practical construction work took only nine months to complete, and the factory is now fully equipped and ready to run mass production.
“SUSTIO factory’s commencement is just in time for the new DRAM technology transition (DDR5). We will ramp up this new site mainly for our DRAM and NAND customers worldwide. We are very grateful to Malaysia’s Federal Government agency through MIDA and Penang state Government agency, InvestPenang, for their tireless support to our project. We couldn’t have navigated our project under the challenging environment without them” Mr. Chun continues.
SUSTIO has already employed more than 700 workforce and it will reach its full employment of more than 1,000 employees by next year, the press release continues. According to Simmtech, the new Penang factory will deliver the first ‘Made in Malaysia’ semiconductor memory chip packaging substrate and module/SSD PCB.