EG Industries Investing RM180 Million For 5G Component Factory In Penang

Electronic Manufacturing Services EG Industries, is set to build an RM180 million Smart Lights-Out’ Factory 4.0 in Batu Kawan, Penang, producing new 5G Advanced High-Speed Optical Signal Transmitter and Receiver for 5G wireless network (“Optical Modules”), using photonics and semiconductor technologies through technology transfer from its US-based customer Cambridge Industries Group (“CIG”).

The Batu Kawan plant, which commenced construction in January 2023, will initiate the first pioneer technology transfer in South East Asia. This is expected to raise the skillset and competitiveness of the local workforce and is set to hire approximately 1,000 highly- skilled talents upon completion in the first half of 2024.

The group currently employs 3,000 staff representing about 1 percent of the Sg. Petani population intends to actively collaborate with local universities and colleges to train fresh graduates to become industry-savvy.

The new plant will deploy the Lights-Out methodology, creating a fully networked environment that digitises material flow for autonomous manufacturing. This will be managed by a remote team of highly-specialised experts responsible for data management, productio planning and quality control.

Apart from Batu Kawan, the EMS player is extending its presence further to build Smart Warehouses and an International Procurement Centre featuring Kedah’s first Vendor Management Inventory (VMI) system to serve its own increasing requirements as well as hat of the surrounding industrial cluster in Sg Petani, Kedah and Batu Kawan, Penang. The RM40 million facilities are slated for completion in 2024.

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