Aisqiang plans to build a new factory in Malaysia

On March 25, Aixtron, a supplier of compound semiconductor deposition equipment, announced that in order to enhance the company’s global competitiveness, the company has decided to build a new manufacturing plant in Malaysia to seize opportunities in Southeast Asia’s rapidly growing semiconductor equipment ecosystem.

Picture source: Aixtron

Aixtron plans to produce some 100/150/200 mm specification products at its new factory in Penang, Malaysia, mainly for Asian customers.

The new factory will have assembly and testing, engineering and technical support, and local procurement functions, allowing Aixtron to assemble some of its products locally and source a large number of accessories from the supply chain of local module and component manufacturers. The factory will have a modular design and can be expanded in the future with little additional investment.

Dr. Felix Grawert, CEO of Aixtron, said that by building a factory in Malaysia, Aixtron is implementing the best practice strategies of the global semiconductor supply industry and making full use of the highly mature local industrial ecosystem to consolidate the company's position in the Asian market.

In addition, the company will remain committed to the development of its European bases in Herzogenrath, Germany, and Cambridge, England. These two locations are the core pillars of the company's R&D and even production. The Malaysian factory will complement the existing base.

Aixtron revealed that the capital expenditure for the new factory in Malaysia is expected to be approximately 40 million euros (approximately RMB 318 million), and will be put into use in the second half of 2026 and the first half of 2027. The factory is expected to begin operations in the spring of 2027, with the first products expected to be shipped in the second half of 2027.

With the construction of a new factory in Malaysia, Aixtron’s business proportion in the Asian market is expected to further increase in the future. Judging from the latest performance report, in the past fiscal year 2025, Aixtron achieved total revenue of 556.6 million euros (approximately RMB 4.23 billion). By market region, the Asian market accounted for 60% of the revenue, while the European and American markets accounted for only 40%. (Compiled by LEDinside)

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