Budget 2027: Tengku Zafrul urges local semiconductor firms to move up value chain

Malaysian semiconductor companies should utilise Budget 2027 allocations to engage in higher-value activities like IC design to bolster their global supply chain position.

Budget 2027 includes a RM1.2 billion investment for local semiconductor companies and a RM100 million fund for early-stage semiconductor and manufacturing firms.

Measures are needed to ensure investments bring economic benefits, with a focus on R&D, and project approvals by local councils should be timely to attract investors.

KUALA LUMPUR, Oct 14 — Local semiconductor companies must translate Budget 2027’s allocation into greater participation in higher-value activities such as integrated circuit (IC) design, as Malaysia seeks to strengthen its position in the global semiconductor supply chain, said Tengku Datuk Seri Zafrul Abdul Aziz.

Speaking on Bernama TV’s The Nation programme, the Malaysian Investment Development Authority (Mida) chairman said Malaysia has developed a mature semiconductor ecosystem over more than five decades but needs to move beyond its traditional strengths in assembly and testing to capture greater value from the industry.

“We have Malaysian companies that are already global champions and they are plugged into the global value chain, but we need to see more. The ecosystem is quite mature but we need to strengthen the way we are in that value chain,” he said in the interview on Budget 2027 aired today.

Under Budget 2027, Khazanah Nasional Bhd and the Kumpulan Wang Persaraan (Diperbadankan) (KWAP) will invest RM1.2 billion to support local semiconductor companies in moving into higher-value segments of the industry.

The Budget also provides for a RM100 million Strategic Investment Fund to be established by Khazanah Nasional Bhd and InvestPenang to support early-stage semiconductor and advanced manufacturing companies.

Tengku Zafrul said the measures would help Malaysian companies strengthen their capabilities and move further up the value chain.

He said investments should generate wider economic spillovers by strengthening local supply chains and creating opportunities for domestic businesses.

“If we move up this value chain, we need to make sure that Malaysia really looks at opportunities (such as) how we can then invest more in research and development (R&D) and innovation,” he said.

At the same time, Tengku Zafrul said, the government must focus not only on attracting investments but also on ensuring that approved projects are realised within a reasonable timeframe.

He said the process of securing approvals from local councils and relevant government agencies remain an important consideration for investors, with the speed of implementation varying across sectors.

“Investment projects, particularly in manufacturing, could take about two years from groundbreaking to the completion of factories, depending on the industry,” he noted.

On wages, he opined that companies should translate productivity gains into higher wages for employees to ensure that economic growth delivers better livelihoods for Malaysians.

“I’m definitely a proponent of ensuring that wages must increase in line with productivity,” he said, adding that companies that recorded higher profits through improved efficiency and productivity should share those gains with their employees. — Bernama

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马来西亚半导体公司应利用 2027 年财政预算拨款从事集成电路设计等高价值活动，以增强其在全球供应链中的地位。

2027 年财政预算案包括向本地半导体公司投资 12 亿令吉，以及为早期半导体和制造公司设立 1 亿令吉的基金。

需要采取措施确保投资带来经济效益，重点是研发，并且地方议会应及时批准项目，以吸引投资者。

吉隆坡，10 月 14 日讯——马来西亚国务大臣东姑扎夫鲁·阿卜杜勒·阿齐兹表示，马来西亚正寻求加强其在全球半导体供应链中的地位，因此本地半导体公司必须将 2027 年财政预算案的拨款转化为更多地参与集成电路 (IC) 设计等高价值活动。

马来西亚投资发展局（MIDA）主席在接受马新社电视台《民族报》节目采访时表示，马来西亚在过去五十多年里发展出了成熟的半导体生态系统，但需要超越其在组装和测试方面的传统优势，才能从该行业中获取更大的价值。

“我们已经有一些马来西亚公司成为全球冠军，它们融入了全球价值链，但我们需要看到更多。生态系统已经相当成熟，但我们需要加强我们在价值链中的地位，”他在今天播出的2027年财政预算案采访中说道。

根据 2027 年财政预算案，国库控股和 KWAP 将投资 12 亿令吉，支持本地半导体公司进军更高价值的行业领域。

该预算案还规定，国库控股公司和槟城投资发展局将设立1亿令吉战略投资基金，以支持早期半导体和先进制造企业。

东姑扎夫鲁表示，这些措施将帮助马来西亚公司增强自身能力，并进一步提升价值链。

他表示，投资应该通过加强本地供应链和为国内企业创造机会，产生更广泛的经济溢出效应。

他说：“如果我们向价值链上游发展，就需要确保马来西亚真正关注各种机会，例如如何加大对研发和创新的投资。”

与此同时，东姑扎夫鲁表示，政府不仅要注重吸引投资，还要确保已批准的项目在合理的时间范围内得以实现。

他表示，获得地方议会和相关政府机构的批准仍然是投资者需要考虑的重要因素，不同行业的审批速度也各不相同。

他指出：“投资项目，特别是制造业投资项目，从破土动工到工厂竣工可能需要大约两年时间，具体取决于行业。”

关于工资问题，他认为企业应该将生产力的提高转化为员工更高的工资，以确保经济增长能够为马来西亚人民带来更好的生活。

“我绝对支持工资增长与生产力增长保持同步，”他说道，并补充说，那些通过提高效率和生产力而获得更高利润的公司应该与员工分享这些收益。——马新社

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