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SkyGate NHJ Technology To Invest US$30 Mln In Smart Manufacturing Facility In Penang

BUTTERWORTH, Sept 4 (Bernama) -- SkyGate NHJ Technology Sdn Bhd plans to invest US$30 million (US$1=RM4.03) to develop a smart manufacturing facility in Penang, with the investment to be carried out in two phases.

Its chief executive officer (CEO), Jian Li, said the first phase, involving US$15 million, would focus on a five-axis automated production line, an automated horizontal machining centre line with a central tool magazine, as well as multi-tasking turning and milling machines.

"The second phase will involve another US$15 million investment in automated machining and inspection of large semiconductor components, as well as digital twin technology and artificial intelligence (AI) applications," he said at the opening ceremony of the company's manufacturing facility at the Perai Free Industrial Zone here, today.

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The ceremony was officiated by Penang Chief Minister Chow Kon Yeow and attended by Deputy Head of Mission of the Embassy of Finland in Malaysia Maiju Lepomäki and SkyGate Solutions Bhd executive chairman Tan Heng Chew.

The approximately 36,000-square-foot facility is equipped with advanced horizontal and five-axis computer numerical control machining technologies to support digitalised manufacturing, automation and advanced machining capabilities.

Jian said the investment was expected to create more than 100 high-quality technical positions for the local workforce, while developing skilled personnel with expertise in modern digital manufacturing.

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"Once the full investment is completed, the factory is expected to generate annual sales of up to US$25 million, contributing to the overall performance and growth of the SkyGate Group," he said.

He pointed out that Penang was selected due to its reputation as the "Silicon Valley of the East", supported by strong industrial infrastructure and supply chains, as well as the state government's support for high-end manufacturing, digitalisation and smart automation.

Jian said Penang's industrial ecosystem, comprising more than 350 multinational companies and over 4,000 manufacturing-related businesses, provided a strong foundation for the company to expand its operations.

The facility represented a key step in the group's strategy to bring advanced manufacturing technologies to the international stage by combining Nihonji's strengths in ultra-precision components, thin-walled complex geometries and automation technology with Malaysian manufacturing expertise.

Meanwhile, Chow said the partnership could create opportunities beyond manufacturing capacity, including technology transfer, localisation and the development of new capabilities within the state's industrial ecosystem.

"SkyGate NHJ Technology's precision manufacturing capabilities, serving sectors ranging from semiconductors and electronics to medical, optical and aerospace, position the company well to contribute to this wider high-technology ecosystem," he said.

In a separate statement, Malaysian Investment Development Authority (MIDA) CEO Datuk Sikh Shamsul Ibrahim Sikh Abdul Majid said the investment reflected the type of collaboration Malaysia sought to attract by combining local participation with international expertise, technology and know-how.

He said the partnership would strengthen local capabilities, nurture engineering talent and support Malaysia's aspiration under the New Industrial Master Plan 2030 to move towards higher-value and more technology-intensive manufacturing.

-- BERNAMA