US Chips Act won’t hurt Malaysian semiconductor sector

Malaysia Semiconductor Industry Association president Datuk Seri Wong Siew Hai said Malaysian supply chain participants will likely need to expand back-end assembly test plants to package products as more companies move to build front-end new wafer fabrication (fab) plants in the United States

KUALA LUMPUR: Malaysia’s semiconductor sector would be impacted positively by the United States’ US$52bil (RM231.5bil) Chips Act.

The bill, which would provide about US$52bil (RM231.63bil) in subsidies and tax breaks to companies investing in semiconductor manufacturing in the United States, is designed to boost semiconductor supply security and enhance competitiveness.