US-BASED TTM Technologies Inc (TTM) recently had its groundbreaking ceremony to celebrate its new manufacturing plant in Penang, with a proposed capital investment of US$130 mil (approx. RM550 mil) by 2025.
Being a leading global manufacturer of printed circuit boards (PCBs) radio frequency (RF) components and RF microwave/microelectronic assemblies, the expansion is in direct response to customer requirements for advanced technology PCB supply chain resiliency and diversification in regions beyond China.
Penang was selected as the expansion location due to its well-established electrical and electronics (E&E) industry ecosystem, which will further enable the new plant to serve TTM’s global commercial markets including networking communications, data center computing, and medical, industrial, and instrumentation.
“Penang is recognized as one of the major players in the global semiconductor industry, particularly in the areas of assembly & test as well as equipment manufacturing.
“Underpinned by its five decades of manufacturing excellence which has paved the way for sustainable industry development, the State is committed to further strengthen its industrial cluster,” explained Penang chief minister Chow Kon Yeow.
The highly-automated plant will be built upon approximately 27 acres of industrial land at Penang Science Park and construction is expected to take 12 to 15 months followed by equipment installations in mid-2023.
Pilot production is targeted to begin in the second half of 2023, with volume production commencing in 2024 and gradually ramping up to full Phase 1 capacity in 2025.
Additionally, TTM expects the new plant to achieve full run rate revenue of approximately US$180 mil (approx. RM761.5 mil) in 2025. The factory has also been planned to support a 25% upside Phase 2 expansion.
Moreover, the Malaysian Investment Development Authority (MIDA) deputy CEO of investment development Lim Bee Vian commented: “We anticipate that TTM Technologies’ project will have a ripple effect on job creation and develop our local supply chain capabilities to meet the rapidly changing requirements of our E&E industry segments while encouraging innovation in emerging fields.” – April 29, 2022
