GEORGE TOWN: One foreign and four local companies involved in the technology and electronics sector are investing a total of RM1.375bil to expand their operations in the northern region this year.

Among the multinationals, First Solar Inc, a US solar panel (known also as photovoltaic panels) manufacturing company based in Kulim Hi-Tech Park (KHTP), is investing RM1.24bil to add eight production lines for its RM2bil facility and hiring over 1,000 workers to support that expansion.

Local companies on an expansion drive include chip manufacturer Globetronics Technology Bhd, hard-disk drive (HDD) component manufacturer Eng Teknologi Holdings Bhd, electronics manufacturing services provider P.I.E. Industrial Bhd and Ire-Tex Corp Bhd, a packaging material specialist serving the solar power, automotive, and aerospace industries.


First Solar’s manufacturing plant in Kulim Hi-Tech Park, Kedah.
Globetronics is reinvesting RM60mil (compared with RM28mil last year) for its chip making business in Penang, while Eng Teknologi is spending about RM40mil (RM15mil last year) to expand its HDD component manufacturing business in Thailand and Malaysia.

P.I.E. is allocating RM30mil to acquire a new manufacturing facility and equipment, while Ire-Tex recently spent RM5mil to increase its output of packaging materials for solar panels to serve a major US solar power customer.

In a briefing for investors and analysts posted on First Solar’s website, First Solar chief executive officer Robert J. Gillette said the expansion exercise was to satisfy a global contract and advanced pipeline of over six gigawatts from 2010-2012.

The new production lines for the KHTP facility are scheduled to commence operations in the first half of 2011, according to Gillette. The 1,000-plus workforce First Solar is recruiting this year comprises engineers, technicians, and operators.

Its KHTP facility currently has a headcount of over 2,000. Other US multinational corporations in Penang are also recruiting manpower to meet rising demand from their customers.

Seagate is increasing its headcount at its facility in Bayan Lepas in view of a strong forecast for the performance of its HDD business in 2010.

“We are presently engaging manpower such as technicians, engineers, and operators,” Penang vice-president Oh Kean Cheong said. He declined to disclose the number of personnel Seagate would employ.

Seagate Penang presently engaged 3,200 workers in Bayan Lepas and another 1,800 at its Johor facility.

An industry source said Motorola Malaysia, to meet rising orders, was now recruiting 100 engineers and technicians in the first quarter this year for its Penang facility.

Intel, the world’s largest chipmaker, is still recruiting talent for its facility in Penang and Kulim, which has a combined headcount of about 10,000, according to Intel Malaysia corporate affairs manager Loo Cheng Cheng.

Tuesday February 2, 2010
By DAVID TAN
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The Star Online