Sarawak aims to become primary semiconductor destination

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Premier Datuk Patinggi Tan Sri Abang Johari Tun Openg (second right) officiates the SMD Semiconductor while (from left) Education, Innovation and Talent Development Deputy Minister Datuk Francis Harden Hollis, Melexis NV Belgium CEO Marc Biron, Education, Innovation and Talent Development Minister Datuk Roland Sagah Wee Inn and Natural Resources and Urban Development Deputy Minister and Tegas chairman Datuk Len Talif Salleh look on at Tegas Digital Village, Kuching. Photo: Mohd Alif Noni

By Sarah Hafizah Chandra & Gabriel Lihan

KUCHING: Sarawak will create an ideal ecosystem to position herself as a primary destination for the semiconductor industry and solutions provider for semiconductor technology.

To achieve this, Premier Datuk Patinggi Tan Sri Abang Johari Tun Openg said the strategy is to work closely with industries and stakeholders to commit to higher value-added activities by integrating key industries’ 4.0 technologies into their manufacturing and supply chain operations.

He said this is to improve labour productivity growth, increase innovation capacity, create higher-skilled jobs, and enhance local industries’ ecosystem.

“This strategy will be supported by key levers such as robust policies and procedures to ensure integrity, transparency, and good governance that will improve the ease of doing business in addition to funding, infrastructure and connectivity as well as a sufficient pool of talents to ensure success,” he said.

He said this at the launch of Sarawak Microelectronics Design (SMD) and signing ceremony of the Framework Service Agreement (FSA) with Melexis Technologies NV, Belgium at TEGAS Digital Village today.

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Abang Johari pointed out that Sarawak has embarked on a full-fledged transformation to capitalise on megatrends around the world and is now implementing the Post Covid-19 Development Strategy (PCDS) 2030.

He said the focus is on restructuring and diversifying the state’s economy into a high-value industry while creating a thriving society driven by data and innovation.

He also said Sarawak will shift its economic structure with high contributions from the services and manufacturing sectors by 2030.

“Under PCDS 2030, the manufacturing Gross Domestic Product (GDP) will increase from RM31 billion in 2019 to an estimated RM82 billion in 2030.  This will make up about 29 per cent of Sarawak’s total GDP.

“At the same time, Sarawak will continue to develop and modernise the primary sector to increase productivity and support high-value manufacturing activities such as electrical and electronic and semiconductors.

“This initiative will complement the growth of other sectors such as transport and logistics, financial and legal services as well as design and creative services,” he explained.

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Abang Johari added that the state government wants to ensure the transformative journey will lead Sarawak towards economic prosperity, social inclusivity and a sustainable environment.

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