- New facility to focus on semiconductor equipment, AI solutions and contract manufacturing
- Investment aims to expand local engineering capacity and support Malaysia’s advanced manufacturing ecosystem
Estek Automation Sdn. Bhd., a homegrown Malaysian engineering and automation company, officially opened its new 50,000-square-foot manufacturing facility in Batu Kawan, Penang, on 2 November 2026, representing a total investment of US$5 million (RM20 million).
The new facility marks a significant milestone in Estek’s growth journey and reinforces its commitment to strengthening Malaysia’s semiconductor and advanced manufacturing ecosystem.
Established in 2015, Estek specialises in semiconductor automation equipment and intelligent manufacturing solutions. The new facility will primarily focus on semiconductor equipment manufacturing and artificial intelligence (AI) solutions, with dedicated space for contract manufacturing activities.
Chow Kon Yeow, Penang chief minister, said, “It is encouraging to see a local company like Estek committing to strengthen its capabilities and pursue new opportunities in the semiconductor industry and also being part of the Malaysia ATE Campus in Penang. It also reflects the ambition and growing capabilities of our local engineering companies, and represents another positive development in Penang’s journey towards becoming a leading centre for advanced manufacturing and technological innovation.”
The new facility is designed to support Estek’s continued expansion across three complementary business segments:
Semiconductor equipment manufacturing: Development, assembly and integration of specialised automation equipment for semiconductor manufacturing applications.
AI-driven solutions: Development of intelligent vision inspection and automation technologies to improve manufacturing efficiency, inspection capabilities and product quality.
Contract manufacturing: Dedicated manufacturing space to support equipment assembly, integration and related manufacturing services for industrial customers.
The combination of equipment engineering, AI technologies and manufacturing services enables Estek to strengthen its role as a technology and engineering solutions provider within the semiconductor supply chain.
Jacky Lee, CEO of Estek Automation Sdn. Bhd., said, “The opening of our new facility represents an important milestone in Estek’s journey since our establishment in 2015. Our US$5 million (RM20 million) investment reflects our long-term confidence in Penang’s semiconductor ecosystem and our commitment to strengthening homegrown engineering and technology capabilities.
“With this new facility, we aim to expand our semiconductor equipment manufacturing capacity, accelerate the development of AI-driven solutions and strengthen our contract manufacturing capabilities. Our vision is to deliver innovative, high-quality solutions that support the evolving needs of the global semiconductor industry.”
Penang continues to play a leading role in Malaysia’s semiconductor and electrical and electronics industries, supported by its established manufacturing ecosystem, skilled engineering workforce and extensive network of multinational corporations and local technology companies.
Estek’s latest investment aligns with the state’s efforts to strengthen domestic participation in higher-value manufacturing activities, particularly in automation, precision engineering and intelligent technologies.
As artificial intelligence and automation increasingly transform global manufacturing, the development of local engineering capabilities will be essential to improving industrial competitiveness and strengthening Malaysia’s position in international supply chains.
Through its expanded facility, Estek aims to deepen industry collaboration, support technology development and contribute to the continued growth of Penang’s advanced manufacturing ecosystem.
