KUALA LUMPUR: Malaysia can use the geopolitical tensions in the region, such as the China-US tech war, to its advantage, says Malaysia Semiconductor Industry Association (MSIA) president Wong Siew Hai.
He pointed out that even as the world’s two largest economies fought to rule the tech sector, multiple opportunities for future investments were being created.
Furthermore, he said, the world was already looking for alternative places to invest in and Malaysia could be the destination for such investments from both China and the US.
For instance, he said, the semiconductor industry was already trending upwards, creating multiple opportunities for future investments in its wake.
Wong pointed out that Malaysia was in a position to benefit from any move by US or Chinese businesses looking for alternative places to invest in.
“We have been at the forefront of design development since the early 1990s and we can assist foreign companies that plan on setting up factories for their development needs, consequently bringing in investments,” he said at an InvestMalaysia conference on Building Resilience Amidst Volatility.
Wong said semiconductor assembly and test played a dominant role in the supply chain, creating multiple world-class automation companies that served the semiconductor industry.
“There are plans to create more automation capabilities and one of the focus areas is by assisting Malaysian companies through the waterfall effect,” he said.
The waterfall effect is the process through which benefits cascade down through the organisation into the community, and out to the customer or client base.
“If all multinational corporations and local large companies can do that, then our automation industry supply chain down the line can flourish. We just need to keep up with technological advancements,” he said.
On a different note, Wong said there was insufficient talent in the country given that up to 20% of local talent were leaving the country to work in Singapore, Australia, Canada and the US.
As for the 80% who chose to stay behind, he said, half of them were not given jobs because potential employers felt they lacked experience.
“So, a temporary solution to fill the 20% gap would be to hire foreign talent, specifically those in science and engineering, who pursued their studies in Malaysia. This is what other countries do too,” he said.
However, Wong said, there needed to be a holistic approach to planning manpower so that the country would be able to benefit from the opportunities that come.
Source: https://www.freemalaysiatoday.com/category/business/2022/09/14/tech-expert-sees-opportunity-in-geopolitical-crises/