The Selangor government said it will be unveiling its plan to develop the semiconductor industry in the state in a clear sign that it will be competing with Penang for the foreign direct investment that has been mostly heading into the northern state.
State executive councillor for investment, trade and mobility Ng Sze Han. said the strategy, to be announced by Menteri Besar Dato’ Seri Amirudin Shari, will not only focus on semiconductor manufacturing but also include its design aspects.
This was in response to a question posed by former Chief Minister of Selangor Datuk Azmin Ali who is now an opposition MP during the state legislative assembly on Selangor’s comparatively lower investment value for high-impact industries in comparison to Penang, Kuala Lumpur, and Johor last year.
“It is true that Penang has recorded an incredible amount of investment in the semiconductor industry, but this is because the state already has an extensive semiconductor industry in place.
“However, Selangor has devised a plan for the semiconductor industry, and this positive news will be announced by the Menteri Besar soon.
“I am confident that this plan will contribute towards enhancing the state’s ecosystem to align with other leading states,” Ng told the Selangor State Legislative Assembly, here today.
Azmin also highlighted that out of RM104.5 billion in approved investment recorded in the final quarter of 2023, Selangor only secured approximately RM13.7 billion, with the majority directed to Penang, Kuala Lumpur, and Johor.
Ng acknowledged the significance of recording high investments but emphasised the importance of attracting quality investments that provide spillover effects to the state.
“While the amount of investment recorded is important, Selangor has always focused on the spillover effect to create high-income jobs and a more complete ecosystem in local businesses, especially in manufacturing and other industries,” he said.
Earlier, Ng revealed that Selangor exceeded its investment target of RM45 billion for 2023, achieving a total of RM55.3 billion.
Recently, Amirudin said the state government will focus on the semiconductor industry this year in a bid to enhance its economy and better compete against countries in Southeast Asia.
The Menteri Besar said Selangor is embarking on this strategic move to attract more businesses involved in the industry to invest in Selangor amid the ongoing trade tensions between China and the United States.
He added that the state government is now holding talks with industry players from China and Taiwan to achieve this goal.
