Malaysia's semiconductor industry is speeding up attracting foreign investment.

According to the website, Malaysia's Ministry of International Trade and Industry (MITI) recently reported to its lawmakers on the development of its domestic semiconductor industry, pointing out that Malaysia currently accounts for about 7% of global semiconductor trade, while closed testing accounts for 13% of exports of electronic and electrical products in 2021. 4560 ringgit (about 690 billion yuan), of which semiconductor products account for 62%.

The MITI report also said that the agency focused on strengthening the position of the local semiconductor industry in the global supply chain and adopted a series of incentives such as tax breaks and strategic investment funds.

In particular, MITI said that the country signed a memorandum of cooperation on semiconductor supply chain with the United States in May this year, which is expected to bring more market opportunities to the local industry.

The favorable geographical environment has also attracted foreign investment. In 2021, the agency approved a total of 95 billion ringgit new investment projects for multinational microelectronics enterprises, and in the first half of 2022, 25 new projects related to the semiconductor industry chain were approved, with a total investment of 9.2 billion ringgit, including well-known enterprises such as TF AMD, Texas Instruments and Roma.