Germany’s sensor giant Leuze picks Malaysia for first plant in Asean

Germany’s sensor giant Leuze picks Malaysia for first plant in Asean

Mida's move to bring electronics giant to Malaysia a big success.

The plant in Melaka, on a site spanning over 17,000 sq m, is estimated to be completed by the first quarter of 2022 and will hire 150 to 200 employees in its first phase. (Leuze electronic pic)
KUALA LUMPUR:
Malaysia has been identified as the preferred location by German-based company, Leuze electronic GmbH + Co. KG, to establish its first optical sensor production plant in Southeast Asia.

The Malaysian Investment Development Authority (Mida) said Leuze made the official announcement of its new manufacturing plant’s opening in Melaka last month and the factory is currently under construction now.

In a statement today, Mida chief executive officer Azman Mahmud said the company’s decision to move to Malaysia for its business expansion spoke volumes of its confidence in the country.

He said Mida had initiated the first contact with Leuze in December 2018 and had since been engaging with the company’s team to facilitate the project’s provisions, especially in obtaining the necessary licence approval.

“Malaysia has a mature and diverse ecosystem for the rapid development of sensor applications in the electronics industry.

Leuze 1Drone view of the first building stage of the factory in Melaka. (Leuze electronic pic)

“This milestone in Leuze’s activities in Malaysia is definitely in line with the government’s aspirations to transform Malaysia into a high technology and knowledge-based economy.

“A new era of electronics is emerging globally and Leuze will bring in frontier sensor products and new technology to the country,” he noted.

Azman said the government would ensure that Malaysia remained as the preferred investment location with a favourable environment for quality investments and Mida wanted to position Malaysia as a manufacturing powerhouse of Asia.

Leuze’s director of global projects operations and project manager, Sebastian Raible, said Melaka was selected for the new production site for its excellent talent pool in the region with well-established universities as well as its thriving electronics industry.

“The new production site will operate as Leuze Electronic Malaysia Sdn Bhd, the group’s wholly-owned subsidiary, and will primarily produce sensors for the lucrative market in Asia.

“The plant is being constructed on a site spanning over 17,000 sq m and the first building stage of the plant is estimated to be completed by the first quarter of 2022.

“With a total usable floor space of just below 7,000 sq m in the first expansion phase, the plant is set to hire 150 to 200 qualified employees,” he added.

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