MSIA Sarawak Industry Visit 2026 - X-FAB Sarawak

MSIA continued the Sarawak Industry Visit 2026 with our 2nd stop at X-FAB Sarawak in Kuching.

We were pleased to be hosted by Mr. Lee Boon Chun, CEO of X-FAB Sarawak and also a member of the MSIA Board, who shared insights on X-FAB’s role in strengthening Sarawak’s semiconductor manufacturing base and Malaysia’s broader ecosystem.

A significant milestone highlighted during the visit was Sarawak’s early role in building national foundry capability: in 1998, the Sarawak State Government initiated the incorporation of 1st Silicon, now X-FAB Sarawak, recognised as Malaysia’s first pure-play foundry fab, anchoring wafer fabrication presence in the state.

Highlights from the visit

Scale and long-term commitment: X-FAB’s RM3 billion expansion in Sarawak reflects sustained confidence in the state’s manufacturing proposition, with plans to increase capacity from 30,000 to 40,000 wafer starts per month.

Operational insights: The session provided useful perspectives on how a global foundry sustains competitiveness through process discipline, quality, and continuous improvement.

People and capability: X-FAB shared that they have hired 98% of their workforce locally, with employees who are Malaysians, reflecting strong local talent depth and reinforcing the importance of continued upskilling to support advanced manufacturing and future technology needs.

MSIA appreciates the warm hospitality and shared insights from the X-FAB team, and we look forward to continued collaboration to support a strong and competitive semiconductor base in Malaysia.