Intel to pour another $208M into Malaysia

By VNA December 4, 2025 | 12:02 am PT

U.S. chipmaker Intel will invest an additional US$208 million in its operations in Malaysia, reinforcing the Southeast Asian nation’s role in the global semiconductor supply chain.

Intel’s headquarters in California, U.S. Photo courtesy of Intel

Malaysian Prime Minister Anwar Ibrahim on Dec. 1 announced on Facebook that Intel CEO Lip-Bu Tan had confirmed the additional investment to make Malaysia a key hub for the company’s chip assembly and testing activities. The decision reflects Intel’s confidence in Malaysia’s long-term strategic plans.

Construction of Intel’s advanced chip packaging plant in Penang, northern Malaysia, is now 99% complete, with the company expressing appreciation for government support.

Malaysia is the world’s sixth-largest semiconductor exporter and holds a 13% global market share in chip assembly, packaging, and testing. In 2021, Intel pledged $7 billion to build the Penang facility, located in the country’s electronics hub.

The US is Malaysia’s third-largest market for semiconductor exports. In 2024, Malaysia exported 120 billion MYR ($28 billion) in electrical and electronic products to the U.S., with around half related to chips.