Chip giant MKS pours RM400m into Penang plant, creates 1,000 high-value jobs

Chip giant MKS pours RM400m into Penang plant, creates 1,000 high-value jobs



MKS Super Center Factory spans approximately 350,000 square feet on a 17-acre site. — Picture by Opalyn Mok

Saturday, 20 Jun 2026 1:24 PM MYT


SEBERANG PERAI, June 20 — Global semiconductor technology company MKS Inc today invested more than RM400 million to establish a new Super Center Factory in Penang.

Penang Chief Minister Chow Kon Yeow said the facility at Bandar Cassia Technology Park marked a significant milestone in MKS’ global expansion journey.


He said it reflected international investors’ continued confidence in Penang as a destination for high-technology investments.

Spanning approximately 350,000 square feet on a 17-acre site, the facility will support growing global demand for semiconductor manufacturing equipment.


“With an investment exceeding RM400 million and the creation of more than 1,000 high-value jobs upon completion of all phases, this facility represents a significant milestone in Penang’s continued evolution as a global hub for advanced manufacturing and semiconductor innovation,” Chow said at the grand opening ceremony at Bandar Cassia Technology Park here.


Founded in 1961 and listed on Nasdaq, MKS is a global technology leader providing critical solutions for semiconductor manufacturing, electronics and advanced industrial applications.

Chow said MKS technologies currently support more than 85 per cent of the world’s wafer fabrication equipment applications and over 70 per cent of key steps in package substrate and printed circuit board manufacturing.


He said the investment further reinforced Penang’s reputation as the “Silicon Valley of the East”, built upon more than five decades of industrialisation and a mature semiconductor ecosystem.

“Despite being the second smallest state in Malaysia, Penang continues to punch above its weight in industry, innovation and exports,” he said.

Chow said Penang secured RM4.9 billion in approved manufacturing investments in the first quarter of 2026, ranking second nationwide.

Of the total, RM3.4 billion or 70 per cent comprised foreign direct investments, with the electrical and electronics (E&E) and machinery and equipment sectors contributing RM3.6 billion or 74 per cent of total approved manufacturing investments.

He added that Penang remained Malaysia’s leading export state in 2025, contributing 38.1 per cent of the country’s total exports, equivalent to about RM610 billion.



The official opening of the MKS Super Center Factory at Bandar Cassia Technology Park. — Picture by Opalyn Mok



MKS president and CEO John T. C. Lee said the company’s decision to establish the Super Center Factory in Penang was part of its long-term capital allocation strategy.

“Today marks an important milestone, not only for MKS but also for Malaysia’s continued rise as a global leader in advanced manufacturing and semiconductor innovation,” he said.

Lee said Penang’s semiconductor ecosystem, proximity to customers and suppliers, strong infrastructure and skilled workforce made it an ideal location for advanced technology investment.

“Penang’s long history of industrial excellence and commitment to innovation make it an ideal location for advanced technology investment,” he added.

Lee also credited support from the federal and state governments, including the Malaysian Investment Development Authority, the Ministry of Investment, Trade and Industry, and InvestPenang, in ensuring a smooth investment process.

“This partnership and dedication have enabled a smooth journey from concept to execution, reinforcing Malaysia’s role as a trusted partner in the global semiconductor industry,” he added.

Lee said the new facility would contribute beyond expanding MKS’ operations by strengthening supply chain resilience, supporting local economic development and creating opportunities for collaboration with universities and institutions.

Chow said the Penang state government, through InvestPenang, would continue strengthening the semiconductor ecosystem through initiatives aligned with the New Industrial Master Plan 2030 and the National Semiconductor Strategy.

These include the Penang Silicon Design @5KM+ initiative, which focuses on developing an integrated IC design ecosystem in Bayan Lepas, and the Penang ATE Campus, aimed at building an automated test equipment ecosystem.

“As a key player in the global semiconductor equipment industry, MKS is well-positioned to contribute meaningfully to this growing ecosystem,” he said.

He added that Penang’s future industrial strategy would focus on attracting strategic investments, enabling local companies to participate more actively in global value chains and developing an artificial intelligence-ready talent base.

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Remember our "Father of Penang's Silicon Valley" Tun Dr Lim Chong Eu, a Towering Malaysian and Penangite