AIXTRON strengthens Penang expansion with new semiconductor manufacturing facility

• AIXTRON explores collaboration opportunities with Penang’s ATE ecosystem
• New Penang facility to support advanced semiconductor manufacturing and future expansion

AIXTRON SE, a Germany-headquartered provider of deposition equipment for the semiconductor industry, paid a courtesy visit to the Penang Chief Minister’s Office following its land acquisition in April 2026 and recent announcement of a new greenfield manufacturing facility at Bandar Cassia Technology Park, Penang.

The 8.5-acre development will feature an integrated complex comprising a three-storey office building, multiple cleanroom facilities and dedicated logistics areas. The facility is designed to support the efficient manufacturing of AIXTRON’s 100 mm, 150 mm and 200 mm product lines, with a modular structure enabling future expansion based on market demand.

The project marks a significant step in AIXTRON’s global expansion strategy and reinforces Penang’s position as a regional hub for advanced semiconductor manufacturing.

Chief minister of Penang Chow Kon Yeow said, “Penang welcomes AIXTRON SE’s investment in establishing its integrated manufacturing plant. As the state continues moving up the global value chain, the presence of high-impact investments such as AIXTRON SE will create positive technological spillovers across our supply chain.”

Dr Felix Grawert, CEO and president of AIXTRON SE, said, “As we establish our manufacturing and engineering base in Penang, we look forward to building long-term local partnerships and contributing to the growth of Malaysia’s semiconductor ecosystem, particularly in compound semiconductors, which drive power efficiency and data communications for AI.”

Discussions during the meeting focused on AIXTRON’s expansion plans in Penang. Phase one of the project is expected to create approximately 450 jobs, with half of the roles in engineering and R&D, and the remainder in assembly and manufacturing.

AIXTRON also expressed interest in collaborating on the recently launched Penang Automation, Test and Equipment Campus, which aims to strengthen local ATE capabilities and create localisation pathways for multinational companies operating in the state. The company noted that the initiative aligns closely with its collaborative model in Europe.

The engagement underscores AIXTRON’s long-term commitment to Penang, not only as a manufacturing base but also as a strategic partner in advancing innovation, talent development and ecosystem growth within Malaysia’s semiconductor industry.