Building a Resilient and Integrated ASEAN Semiconductor Supply Chain

I would like to congratulate the organisers of the ASEAN Semiconductor Summit (ASEMIS) 2025 and also welcome delegates from around the region and beyond. 

Today’s semiconductor industry is no longer just a pillar of economic growth, it is a cornerstone of national security, technological prowess and societal advancement. Semiconductors are embedded in nearly every facet of modern life, from artificial intelligence, cloud computing, and electric vehicles to medical devices, smart agriculture and defence systems. 

The use of chips in our daily lives has been on an upward trend, and it is further accelerated by the rapid development of AI technology. 

In this context, ASEMIS 2025 is both timely and strategic. The global semiconductor landscape undergoes a profound transformation marked by: 

• Shifting geopolitical dynamics 
• Increased emphasis on supply chain security 
• The rapid emergence of new technologies 
• The imperative for sustainable and inclusive development 
• And most importantly, the urgent need for regional collaboration. 

There is both a necessity and an opportunity for ASEAN to strengthen and to co-create a robust and resilient semiconductor supply chain. 

Malaysia has long been an integral part of the global semiconductor ecosystem, boasting over five decades of experience and home to more than 5,000 companies in the electrical and electronics (E&E) sector, including seven of the world’s top ten semiconductor companies. 

Yet, Malaysia has not created a TSMC, Samsung, or Huawei although Penang started producing chips around the same time as Taipei and Seoul, while Shenzhen actually started decades later. The same predicament is faced by Singapore. 

Malaysia’s sophisticated semiconductor ecosystem is well-positioned to move from outsourced manufacturing “Made in Malaysia” to the new emphasis on “Made by Malaysia”, the creation of Malaysian technologies. We want more Malaysian companies to grow into MNCs innovating technologies for the world. Also together with ASEAN companies to build a sustainable and resilient value chain. Our policies should be geared towards creating Malaysian, Singapore and ASEAN semiconductor MNCs into the future. 

Our commitment was reaffirmed last year when the Prime Minister unveiled the National Semiconductor Strategy (NSS), a bold and forward-looking policy to position Malaysia as a global hub for semiconductor innovation, manufacturing excellence, and advanced talent development. At the heart of the NSS is the goal to create 10 Malaysian technology companies with USD 1 billion revenue each, and another 100 at RM 1 billion annual revenue. 

ASEAN’s strength lies in unity. Collectively, ASEAN possesses a unique blend of strategic location, a dynamic workforce, strong innovation and manufacturing capability, and a growing digital economy. What we need now is policy alignment, infrastructure readiness and cross-border collaboration to realise this potential. 

And this is exactly why as Malaysia chairs ASEAN this year, developing an ASEAN Framework for Integrated Semiconductor Supply Chain is one of our key Priority Economic Deliverables (PEDs). The PED is integral to the ASEAN Chairmanship and should be completed before Malaysia hands over the Chairmanship. 

Malaysia stands ready to work with all ASEAN partners and beyond, through joint investments, research alliances and knowledge sharing, to transform vision into reality. 

I commend Malaysian Semiconductor Industry Association (MSIA) and all partners involved for your tireless efforts in making ASEMIS 2025 a success. I wish all participants fruitful deliberations, meaningful engagements, and transformative outcomes in the sessions ahead. 

This is my opening remarks delivered at the ASEAN Semiconductor Summit (ASEMIS) 2025 held on 24 July 2025 at One World Hotel, Petaling Jaya