The recent announcement that Enovix Corporation (Evonix) made for its new US$100 million (~RM451 million) manufacturing and production line for battery development in Penang is part of an even larger US$1.2 billion (RM5.8 billion) investment for Malaysia.
For Enovix Chief Operating Officer, Ajay Marathe, the move to set aside this massive allocation to invest in Malaysia had been easy choice.
“(After all, we have) more than three decades of personally working closely with Malaysia and already built and ran our first high-volume manufacturing facility (over here),” he added.
It also helps that Malaysia has a deep pool of technical talents that continues to grow rapidly and have been continuously updated to be industry-compliant.
“That, and the business-friendly environment and close proximity to our vendors and customers’ manufacturing facility, makes (Malaysia) an ideal location for us to help develop the battery supply chain ecosystem and manufacture and scale our next-gen batteries,” he shared.
All these and more have been shared with the press at the Asia-Pacific Economic Cooperation (APEC) Leaders Week 2023, specifically during a side-meeting between Marathe and Malaysia Prime Minister Anwar Ibrahim.
Other details from the discussion include how Enovix Malaysia is already in the process of installing the machinery for the Penang-based plant and projected a 2024 timeline to be fully operational.
Choosing to work with Malaysia reinforces the notion that it is the go-to destination to invest a presence in this country and connect with the rest of Southeast Asia later on. It is a choice that Malaysia Minister of Investment, Trade, and Industry (MITI), Tengku Zafrul Abdul Aziz, welcomes with open arms. He even shared how Enovix’s latest investment into Malaysia is aligned to the recently announced New Industrial Master Plan 2030 as it will bring significant spillover impact, specifically with high-quality job opportunities and further enhancing the landscape of Malaysia’s manufacturing and green industries.
“As Enovix lays down its foundations in Malaysia, we foresee its transformation into a key industry collaborator and contributor to (Malaysia’s) economic progress and development. (In fact,) its investments in Malaysia are a testament to our country’s capabilities and digital-readiness of our workforce and (further) fortifies Malaysia’s research and development ecosystem,” added Arham Abdul Rahman, CEO, Malaysian Investment Development Authority (MIDA).
The new plant is expected to manufacture battery technology applications for various digital solutions, such as Internet of Things services; smart platforms for both mobile and computing devices; and automotive platforms. It will also support development across the entire supply chain for battery manufacturing.