BATU KAWAN: The government has pledged to give the semiconductor industry greater emphasis in Budget 2026, aligning with the goals of the National Semiconductor Strategy (NSS).
Finance Minister II Datuk Seri Amir Hamzah Azizan highlighted that semiconductors and the electrical and electronics sector contribute over 40% of Malaysia’s total exports.
He stated that the government’s role is to stimulate, deepen, and support the industry’s future development through the upcoming budget.
Amir Hamzah explained that the focus extends beyond attracting investment to increasing the sector’s complexity and sophistication.
“Rising complexity will broaden our ecosystem, create more opportunities, and improve job prospects for Malaysians,” he added after chairing the Penang leg of the Budget 2026 Roadshow.
The minister, who is also Acting Economy Minister, said the government received various proposals to strengthen the local semiconductor ecosystem during the engagement session.
Today’s session in Batu Kawan was the seventh state-level roadshow to gather direct feedback from industry players and local stakeholders.
Amir Hamzah revealed that the budget process is now refining proposals and assessing impacts from focus groups, including Penang’s semiconductor players.
When asked about US tariffs, he noted that most industry players in Malaysia are from Western countries and may qualify for exemptions.
He expressed confidence in Malaysia’s strong industry base, talent pool, and reputation as a reliable global supplier to navigate future challenges. – Bernama
