Applied Engineering Technology (M) Sdn. Bhd has finally opened its 20,000 sq feet manufacturing plant in Batu Kawan Penang.
Established in May 2021, AETM is a joint venture company between US-based Applied Engineering (AE) and its Malaysian counterpart, QES Manufacturing Sdn. Bhd will be jointly providing high-tech electromechanical contract manufacturing services, from prototyping to high volume production. Notably, AETM is AE’s first offshore operation outside of the United States.
Commenting on the opening, Dato’ Ahmad Zakiyuddin Abdul Rahman, Deputy Chief Minister 1 of Penang “The significance of Penang in the regional and global scale is well attested, Penang accounted for over 5 per cent of the global semiconductor sales and serves as one of the most thriving regional hubs for equipment manufacturing, as well as medical technology industries. Leveraging Penang state as a springboard, I am confident that Applied Engineering Technology could seize tremendous opportunities arising from the technology advancement and global megatrends.”
The Batu Kawan manufacturing plant, which has a factory floor space of approximately 20,000 square feet, is expected to begin servicing customers in April 2022. Currently, AETM has successfully obtained MIDA’s manufacturing licence as well as business licence from the local authority. AETM has also received a Manufacturing Warehouse Licence (LMW) from the Royal Malaysian Customs Department in February 2022.
Speaking at the event, the President of Applied Engineering Inc. Jack Yao added, “Batu Kawan is a great place for manufacturing companies, and we are glad to be able to cement a mark in this area. The markets served under this endeavour include semiconductor/display capital equipment, medical technology, industrial automation, aerospace, and emerging technology. We are confident that the ASEAN market will benefit from this partnership.”
Aside from our manufacturing facility, AETM has invested heavily in talent building, the group has sent key staff members and technicians to AE San Jose for knowledge transfer and have an in-depth understanding of the technical know-how. In addition, it intends to station technical experts from AE San Jose in Penang for additional training. For the first two years, the focus is to support customers in terms of equipment assembly and integration, focusing on semiconductor, medical and other industry segments. Starting from the third year onwards, the plan is to develop equipment design capability for the customers.
The project segments are primarily for electromechanical contract manufacturing services, and AETM is working to meet the specific manufacturing needs of their clients. The company’s focus will be on semiconductor equipment manufacturing, medical technology, medical devices, defence, and aerospace not only for the Malaysian market but also for the ASEAN and China markets.