Malaysia set to benefit from rising global semicon sales, says analyst
15 Jun 2022
The Southeast Asia semiconductor industry is set to benefit from rising global semiconductor sales.
The Semiconductor Equipment & Materials International (SEMI) president for Southeast Asia Linda Tan said the group remains positive that the semiconductor sector is still set for explosive growth due to its adoption and integration, eclipsing all other sectors.
She said this in a statement on Wednesday (June 15) in conjunction with SEMICON Southeast Asia 2022 gathering of the semiconductor and microelectronics industry, which will be held later this month in Penang.
Meanwhile, investment and economic analyst Pankaj Kumar said that globally, according to World Semiconductor Trade Statistics, it is estimated that sales will grow 8.8% this year to reach US$601.5 billion and hence, Southeast Asia in general, and Malaysia in particular, is set to benefit from this robust growth.
Pankaj said manufacturers are also building up capacity to meet growing demand and the pandemic has caused a significant setback in growth.
He added that growth is basically in all segments, especially in cloud computing, data servers, sensors, and automated solutions, and as Malaysia is the sixth largest exporter of semiconductors and integrated circuits, demand for these products will propel Malaysian-based companies with significant growth over the next few years.
Pankaj said with the growing global demand for semiconductors, not only out of the US and the EU but also out of Asia, in particular from South Korea, Southeast Asia will be a natural choice for many top technology-based companies wanting to secure new supplies.
“Malaysian-based semiconductors’ market players should also build on sustainability for the long-term growth of the industry as with the right ecosystem, market players will have a brighter future as the business model is then built on a solid foundation,” he said.
Source: The Edge Markets
