Matrade, Semi to drive Malaysian firms into global chip supply chain

KUALA LUMPUR: The Malaysia External Trade Development Corporation (Matrade) is exploring collaboration with Semi to help more local companies, particularly small & medium enterprises, enter the global semiconductor supply chain.

Its chief executive officer Datuk Indera Abu Bakar Yusof said a meeting with Semi president and chief executive officer Ajit Manocha had strengthened both organisations' commitment to pursuing meaningful collaboration.

He said the partnership could create opportunities for Malaysian companies to connect with international industry players, improve their capabilities through training and development, and expand into new and existing export markets.

"Both Matrade and Semi play integral roles within the industry ecosystem as key enablers, particularly through trade promotion and industry advocacy support.

"By strengthening our collaboration, we can create greater opportunities for Malaysian companies to connect with global industry players, enhance their capabilities and competitiveness through capacity development and training, as well as support their expansion into new and existing international markets," he said in a statement.

Abu Bakar said the RM60 million allocation for Matrade under the recently announced 2027 budget reflected the government's commitment to advancing the electrical and electronics (E&E) and semiconductor industries.

Meanwhile, Ajit said Malaysia had established itself as a vital part of the global semiconductor ecosystem, with E&E exports reaching RM712.29 billion in 2025, including RM465.63 billion in semiconductor-related products.

"Building on our longstanding partnership with Matrade, we look forward to strengthening Malaysia's global industry connections and creating new opportunities for its semiconductor companies.

"Together, we aim to support the nation's move up the value chain while advancing a more resilient, diversified and future-ready global semiconductor supply chain," he said.

The collaboration aims to strengthen industry linkages by connecting Malaysian companies with international industry leaders, facilitating partnerships and creating opportunities for technology exchange, capability development and export growth.

Abu Bakar is attending SemiCON West 2026, where Matrade is coordinating the participation of 10 companies showcasing capabilities across the semiconductor and electronics ecosystem.

Their offerings include semiconductor materials, test interface solutions, automated test equipment, advanced dispensing machines, electrical components, wire harnesses, precision parts and metal sheet fabrication.

Matrade said it would continue engaging industry stakeholders and exploring partnerships to translate the country's industrial strengths into export opportunities, deepen local companies' integration into global value chains and support the sustainable growth of E&E exports.