Scandinavian IBS Sdn. Bhd., a Sweden-based Industrialised Building System is expanding its footprint in Malaysia with an additional 15 acres of land size at its new plant located in Penang Science Park.
The expansion is due to the growth in demand for IBS systems for the construction industry, SIBS adds the expansion project is anticipated to increase the production lines to approximately four more compared to the current production line. The company is looking to invest RM500 million in a few phases for the next five years. Upon completion, the project is expected to provide an additional 1,200 employment opportunities to the locals and the opportunity to deliver to more markets and product categories. The expansion project is also expected to create an additional value of RM552 million (USD120 million) in local sourcing of raw materials and components.
The Chief Minister of Penang YAB. Tuan Chow Kon Yeow said “This project will bring in investment, strengthen the socio-economy, increase job creation as well as provide opportunities for local talents to upskill. The investment will stimulate local businesses, thus contributing significantly towards the economy of Penang by maintaining and strengthening its local supply chains.”
“SIBS has put Malaysia on the map as the leading hub for manufacturing-related construction industry. Using technology, the company has revolutionised a very conservative industry. The investment is important for Malaysia not only directly but also indirectly in the thousands of jobs created in the supply chains around the country” says Erik Thomaeus, CEO of SIBS Group.
The manufacturing-related construction sector has been playing a significant role in the aggregate economy of the country in term of its contribution to revenue generation, capital formation, and employment creation which ultimately support the gross domestic product (GDP) and the socio-economic development of Malaysia.