Download PDF - ETP - Pemandu

EPP 8
Developing LED Front-end Operations
For Malaysia to capitalise on its position in the global solid state
lighting (SSL) market, it needs to further develop the cluster by
filling in missing gaps and investing in its strengths. By bringing in
the missing higher value parts of the value chain (front end) and
providing the right environment for designers of SSL products,
we can make Malaysia the world’s preferred location for SSL
companies.
Achievements
MIDA has reported a six per cent growth in Malaysia’s front-end
light emitting diodes (LED) manufacturers’ installed capacity. We
need to continue to grow LED wafer fabrication production in
Malaysia. There is already one wafer fabrication plant for LEDs, but
more is needed to fully develop this part of the cluster.
Moving Forward
MIDA will aggressively target front-end materials and substrate
suppliers and epitaxy manufacturers (e.g. Dow Corning, Hysol) to
bring one of each into Malaysia by 2014. At the same time, MIDA will
attract at least one new global company to set up wafer fabrication
operations here by 2015. MIDA will increase financial support
and incentives (e.g. R&D and training grants, revolving loans) for
EPP 9
Expanding LED Packaging and Equipment
The aim of this EPP is to grow the
packaging and application design
landscape organically as well as invite the
remaining lighting multinationals that are
not yet in Malaysia to begin operations
here. New local companies are expected to
be developed in order to meet the demand
of niche services required by the industry.
Achievements
Philips Lumileds Lighting has announced
the setting up of a new LED manufacturing
facility in Bayan Lepas, Penang. The stateof-the-art
facility will include an R&D centre
as well as a design centre, which will help
position the company for growth in LED
lighting. This facility is slated to be the first
in Malaysia to be designed with 100 per
cent LED lighting and will significantly help
to reduce its carbon footprint and energy
consumption.
Additionally, Hong Leong Manufacturing
Group (HLMG) has acquired a strategic
share in DSEM Holdings Sdn Bhd, which
will allow DSEM to rise from a contract
manufacturer to become a company with
the expansion of LED companies already in Malaysia(e.g. Phillips
Lumileds, Nichia). Local contract manufacturers (e.g. Globetronics)
will be assisted by MITI and Malaysia External Trade Development
Corporation (MATRADE) in reaching out to foreign lighting
companies with the intent of helping local manufacturers gain
a larger share of the LED outsourcing market. The objective is to
help Malaysia grows its LED packaging market share by at least 15
per cent annually for the next 10 years.
Based on industry feedback, tariffs imposed on LED products
exported to China are impeding the growth of Malaysia’s LED
industry. Reviewing the ASEAN-China Free Trade Agreement,
Malaysia will negotiate to remove tariffs on all LED products
exported to China to improve access for local manufacturers into
the chinese market.
This EPP also targets to have one substrate manufacturer and one
epitaxy manufacturer open plants in Malaysia by 2014 and at least
one wafer fabrication plant by 2015 while growing packaging
by 15 per cent annually. MOSTI will provide technical advice and
support in R&D, technology and innovation.
EPP 9 aims to grow the packaging and application design landscape organically
its own brand, allowing it to compete
directly in the global SSL market. The
venture is expected to create high-value
jobs, especially in product development,
business development and materials
engineering. This will also enhance
manufacturing spin-offs to local suppliers.
NKEA: Electrical and Electronics EPP 6 – EPP 9
Moving Forward
As three of the largest global players
are already based in Malaysia, MIDA will
encourage them to expand their existing
services by providing them with the
necessary incentives and also continue to
attract new investments in this area.
129