Malaysia Focuses On High-value IC Design Activities To Strengthen The Semiconductor Industry
KUALA LUMPUR, June 25 (Bernama) -- The government will focus on high-value activities in integrated circuit (IC) design as part of its efforts to strengthen its semiconductor industry and accelerate the development of high-growth, high-value (HGHV) industries.
Deputy Economy Minister Mohd Shahar Abdullah said that, in line with this effort, token access has been offered to three local companies to enhance domestic chip design capabilities and expedite the development of semiconductor products designed in Malaysia.
He said the development of HGHV industries will be accelerated under the 13th Malaysia Plan (13MP) including in the semiconductor and high-value electrical and electronics industries, digital technology, and artificial intelligence (AI).
“For example, focus will be given to high-value activities in integrated circuit design.
“In line with this, token access has been offered to three local companies to enhance local chip design capabilities and accelerate the development of semiconductor products designed in Malaysia,” he said during the question-and-answer session in the Dewan Rakyat today.
He was responding to a question from Datuk Seri Ir Hasni Mohammad regarding the country’s economic diversification strategy to reduce dependence on the commodities sector following the continued decline of the mining and quarrying industry.
Mohd Shahar said the government will continue implementing the strategies outlined under the 13MP to increase economic diversity, intensify inclusive, sustainable, and balanced growth, and expand trade networks globally.
He said the potential of the green economy, blue economy, and orange economy would also continue to be strengthened as new drivers of national growth.
According to him, efforts to strengthen HGHV industries are also being supported through increased research, development, commercialisation, and innovation activities, the strengthening of the business ecosystem, talent development, and the adoption of advanced technologies.
In addition, he said sector productivity will be reinforced to enable local industries to improve competitiveness and penetrate international markets, while international trade and investment networks will continue to be expanded through regional and global cooperation, including Malaysia’s participation as a BRICS partner country and the strengthening of global and ASEAN cooperation.
Meanwhile, in response to a supplementary question from Hasni regarding the country’s expected economic growth based on the government’s economic diversification strategy, Mohd Shahar said Malaysia’s projected Gross Domestic Product (GDP) growth for this year remains between 4.0 per cent and 5.0 per cent, as forecast by Bank Negara Malaysia, reflecting the resilience of the national economy which continues to perform at an optimal level.
“The projection is also in line with expectations from the International Monetary Fund, which forecasts the country’s growth at 4.7 per cent, and the World Bank at 4.4 per cent.
“The country’s economic growth continues to be supported by domestic demand, global technology cycle, as well as effective management of external risks, even though geopolitical uncertainty remains a challenge,” he added.
-- BERNAMA