Environment

X-FAB expansion signals Sarawak’s rising talent, global confidence in stability, long-term vision

By Editor KB,Karen Bong

Copyright dayakdaily

X-FAB expansion signals Sarawak’s rising talent, global confidence in stability, long-term vision

By Karen Bong

KUCHING, Sept 12: The story of X-FAB Sarawak is not just about silicon wafers and cleanrooms, but about a local workforce rising to world-class standards, international confidence in Sarawak’s stability, and a government steadfast in its long-term vision.

Premier of Sarawak Datuk Patinggi Tan Sri Abang Johari Tun Openg highlighted this today at the launch of X-FAB Sarawak’s RM3 billion 40K Expansion at the Sama Jaya Free Industrial Zone, officiated by Prime Minister Datuk Seri Anwar Ibrahim.

He said X-FAB’s continued confidence in Sarawak, demonstrated through its latest investment, is proof that with long-term partnerships, clear policy direction and local determination, Sarawak can build globally competitive industries from its own backyard.

“This latest RM3 billion expansion is not only a milestone for X-FAB but also for Sarawak’s role in the global semiconductor ecosystem,” he said.

The expansion will boost X-FAB Sarawak’s production from 30,000 wafer starts per month to 40,000, with future plans to raise capacity further to 50,000. The wafers produced in Kuching will support a wide range of applications including automotive, medical, industrial systems, communications and consumer technologies.

“We take great pride in the fact that 98 per cent of X-FAB Sarawak’s workforce are Malaysians, with almost 95 per cent being Sarawakians. Anak Sarawak are now contributing to the world’s semiconductor innovation not just as workers, but as engineers, managers and leaders,” he said.

The Sama Jaya Free Industrial Zone, where X-FAB operates, has become a major economic driver with more than 15,000 jobs created and RM15.4 billion worth of foreign and domestic investments drawn in so far.

Abang Johari stressed that Sarawak is not merely hosting high-value investments, but enabling them through strong infrastructure, clean and affordable energy, digital transformation, and talent development.

“The Sarawak government provides very competitive water and electricity rates to industries here. More importantly, our power comes from renewable hydropower. Strengthening Sarawak’s low-carbon energy mix makes us not only reliable and cost-competitive but also aligned with global green manufacturing trends,” he said, noting that this has made Sarawak a natural partner for companies such as X-FAB that value sustainability.

He thanked X-FAB for its trust and commitment in expanding its operations in Sarawak and reaffirmed the State’s dedication to providing a conducive environment for high-impact investments.

“With the continued support from the federal government, especially from our Prime Minister, I am confident that Sarawak will become one of the major states shaping Malaysia’s semiconductor future,” he concluded. — DayakDaily