Uk Medical Equipment Multinational To Build Facility In Penang




Penang government announced its second-biggest foreign direct investment this year from a UK multinational medical equipment manufacturing company Smith+Nephew Plc
Benefitting from the US-China trade war, foreign direct investments into Penang leapt 11 fold to about US$2 billion in the first half of this year, much more than it has attracted in any other full year
Chief Minister Chow Kon Yeow, who made the announcement, witnessed the exchange of agreement between the company and Penang Development Corporation general manager Mohd Bazid Abd Kahar in Komtar today
He said the UK company will be setting up a facility and is expected to create up to 800 jobs over the next five years

"The new facility in Batu Kawan will initially be 250,000 sq ft with an opportunity to expand in the future
"Construction is expected to begin in early 2020, with first production batches shipped before the end of 2022," he said at a press conference today
In the first half of 2019, Penang recorded RM9.2 billion in approved manufacturing investment, which is the highest among all states
"It has already surpassed our 2018's full-year manufacturing investment of RM5.8 billion," Chow noted
In June, Penang once again finished ahead of other states in recording approved investments worth RM8.8 billion for the first quarter of the year
Smith+Nephew Global Operations Manufacturing Network Strategy vice-president Ross Macken said Penang provides a great balance of manufacturing expertise, stable economy, established infrastructure, long history of foreign direct investment and established supply chain
Macken said the facility in Batu Kawan would probably be ready in February and the company would start hiring its employees then
Asked how many of its top management would be taken up by locals, Macken said the company plans to hire about 10 expatriates for a start
"In three years, most of these positions would be taken up by locals," Macken said
The company, which has been in operations for about 150 years have offices in Memphis, USA, Russia, India and a small operation in China
Penang is its first facility in Southeast Asia
Also present at the event were Deputy Chief Minister I P Ramasamy, Chow's special advisor Lee Kah Choon, InvestPenang CEO Loo Lee Lian and Smith+Nephew Malaysia Manufacturing site leader Mark Arthun. - Mkini

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