Friday, September 16, 2022
XP Power, a leading developer and manufacturer of critical power solutions for the electronics industry, has begun construction on its latest manufacturing facility in Perak, Malaysia. The Asia III site will be the company’s largest facility, representing the biggest investment valued at RM228 million for Phase 1, over the span of five years. This expansion is vital in XP Power’s global growth strategy, increasing production capacity to support surging customer demand across regions.
Expected to be fully operational by the second quarter 2024, the new factory complements the company’s existing sites in Vietnam, China, the United States, and Germany, enhancing the resilience and flexibility of its supply chain. It will also create significant employment opportunities in the surrounding region. The factory, once completed, will employ approximately 1,200 people.
The momentous groundbreaking ceremony was graced by YAB Dato’ Seri Saarani Mohamad, Menteri Besar of Perak; YB Dato’ Shahrul Zaman Datuk Yahya, Perak State EXCO for Industry, Investment and Corridor Development; YB Khairul Shahril bin Mohamed; Perak State EXCO for Youth, Sport, Communication and Multimedia cum State Assemblyman for Bota Constituency; Ms. Lim Bee Vian, Deputy CEO (Investment Development), Malaysian Investment Development Authority (MIDA); Izran Abdullah, CEO of InvestPerak; and Oskar Zahn, CFO of XP Power.
“The State Government is focused on the needs of the rakyat. These high impact projects will bring in investments, strengthen the socio-economy and increase job creation. These investments will stimulate the local economy, thus contributing significantly towards the economic recovery of Perak after the COVID-19 pandemic,” said Menteri Besar of Perak, YAB Dato’ Seri Saarani Bin Mohamad in his keynote address.
“Drawn by the stability and flexibility of the Malaysian business and investment policies, many MNCs have established their base operations here, including XP Power. Their presence here is a testament to their confidence in Malaysia’s vibrant electrical and electronics (E&E) ecosystem, which comprises players across the value chain, from equipment supplies to assembly and testing. XP Power’s investment in Malaysia will undeniably further strengthen our competitiveness and ensure our industries remain resilient and competitive. We welcome and look forward to have more XP Power’s industry counterparts and similar industries to emulate and leverage Malaysia as their regional supply chain hub,” said Lim Bee Vian, Deputy CEO (Investment Development) of MIDA.
InvestPerak CEO Izran Abdullah commented, “Perak is strategically located at the midpoint between Penang and Selangor which are two economic focal points in Malaysia. We regard this as our advantage as we are able to gain economic spill over from both States and Perak is always ready to support industrial expansion from neighbouring states. Equipped with complete infrastructure, abundance of natural resources, sufficient high-skill talents and a matured industrial ecosystem, Perak is emerging as one of the focal destinations for new investments.”
XP Power CEO Gavin Griggs said the new facility in Perak is fundamental the company in delivering its ambitious growth aspirations over the next five to 10 years.
“The demand for XP Power’s products is strong across the entire power range driven by demand from healthcare, semiconductor and industrial customers. The demand is only increasing in the next decade. XP Power’s completed facility will employ around 1,200 employees and it will be our largest manufacturing facility globally complementing the existing sites in Vietnam, China, the United States, and Germany. The company’s management is excited for the future of XP Power and see Perak as a critical stepping stone for the Group,” said Griggs.
Copyright © 2019 CST, Inc. All Rights Reserved