NILAI: BAC, a global leader in sustainable cooling and heat rejection solutions, today celebrated the groundbreaking of its new manufacturing facility in Nilai, Negeri Sembilan.
Representing a planned investment of US$150 million, the project underscores BAC's long-term commitment to Malaysia and reinforces its strategy to better serve customers across APAC.
The groundbreaking ceremony was attended by Zuaida Abdullah, Deputy Chief Executive Officer (Investment Development) of the Malaysian Investment Development Authority (MIDA), Don Fetzer, President of BAC, Ted Lim, Global Vice President and Head of APAC, members of the APAC Leadership Team, customers, business partners and other distinguished guests, highlighting the significance of the investment to Malaysia's advanced manufacturing sector.
The project will be developed on an 18.2-acre site in two phases. Phase 1, targeted for completion by the end of 2027, includes a 30,000-square-metre manufacturing facility complemented by a regional engineering and manufacturing office. Phase 2 will focus on establishing a R&D centre and advancing the manufacturing technology to support future business growth, with the core manufacturing facility expected to be fully completed by 2030.
The new facility will strengthen BAC's production capacity by integrating advanced manufacturing technologies and automation. It will manufacture BAC's portfolio of closed-circuit cooling towers, adiabatic coolers, hybrid cooling systems and liquid cooling solutions.
The facility will strengthen regional manufacturing capabilities, improve supply chain responsiveness, shorten lead times and deliver a better experience for customers in the data centre, industrial, and commercial infrastructure markets across APAC.
As demand for sustainable cooling solutions continues to evolve, the Nilai facility will also house BAC's latest climate-controlled product development and testing facility in APAC. The laboratory will enable local engineering teams to develop, test and validate cooling technologies for tropical climates and high-density applications. Combined with Malaysia's skilled workforce, this will strengthen BAC's regional engineering capabilities and support continued product innovation.
In her special address, Zuaida Abdullah stated, “BAC’s investments reflect growing confidence in Malaysia as a destination for high-value, sustainable manufacturing. Beyond strengthening our industrial ecosystem, their advanced cooling technologies will support high-growth sectors like data centres and advanced electronics while accelerating the adoption of energy- and water-efficient solutions.”
“This investment embodies the 'multiplier effect' we aim to cultivate - generating high-skilled engineering jobs for Malaysian talent and opening new supply chain doors for our local SMEs and supporting the New Industrial Master Plan (NIMP) 2030 and our National Energy Transition Roadmap (NETR). By enabling industries to reduce energy consumption and boost resource efficiency, BAC is directly supporting Malaysia’s journey towards achieving net-zero by 2050. MIDA remains committed to facilitating quality projects that champion both environmental sustainability and inclusive economic prosperity.”
Don Fetzer, President of BAC, added: "“Malaysia is an important part of BAC's long-term global growth strategy. This investment reinforces our commitment to expanding our manufacturing footprint, strengthening innovation capabilities and supporting customers globally with sustainable cooling solutions that meet the evolving needs of the industries we serve.”
Ted Lim, Global Vice President and Head of APAC, meanwhile, said: “This new facility enables us to be closer to our customers and partners in the region. By strengthening our manufacturing, engineering and technical capabilities in APAC, we can improve responsiveness, enhance collaboration and deliver solutions that support the region's rapid industrial and digital infrastructure growth.”
The facility is expected to strengthen Malaysia's advanced manufacturing ecosystem, support local suppliers and SMEs, and create up to 200 high-skilled jobs by 2035, including high-skilled engineering and professional roles.
Through university partnerships, internship programmes and a workplace designed to support employee well-being, BAC reaffirms its commitment to local talent development. Targeting LEED Gold and FM Approved standards, the facility is designed with energy-efficient features to reduce GHG emissions and cement Malaysia's standing as a regional manufacturing and innovation hub.
BAC's investment extends beyond the completion of the manufacturing facility. Continued investments through 2035 in automation, research and development, and advanced manufacturing technologies will establish the facility as BAC's regional manufacturing hub, strengthening supply chain resilience and enabling BAC to better serve customers across APAC.
For the record, BAC is a global leader in sustainable cooling and heat rejection solutions. For more than 85 years, BAC has helped customers conserve water and energy through innovative technologies that improve system performance and operational efficiency. Serving industries including data centres, industrial manufacturing, commercial buildings, power generation, food and beverage processing, and refrigeration, BAC operates manufacturing and service facilities worldwide to support customers with reliable and sustainable cooling solutions.
