NCER Priority Sectors High Value Manufacturing

The aerospace industry will be a new catalyst of growth for the region. It is recognised as a national strategic industry and is projected to grow significantly on the back of continued orders for aircraft components. Within NCER, this industry has been developed at Batu Kawan, Penang and Bukit Kayu Hitam, Kedah and will be strengthened further through projects such as the Sidam Logistics, Aerospace and Manufacturing Hub (SLAM) in Kedah.

NCER is a key region for the automotive industry, with existing operations in Tanjung Malim in Perak, as well as Gurun and Kulim in Kedah. Moving forward, infrastructure in existing automotive hubs such as PROTON City in Tanjung Malim, Perak will be further enhanced. In addition, SME industrial parks will be developed to support existing manufacturing operations.

Under the 11th Malaysia Plan (11MP), and due to the outbreak of the COVID-19 pandemic, the medical devices industry is projected to be among the nation’s top industries, with Penang identified as a major cluster. The state is home to one third of the country’s medical devices MNCs, including B-Braun, Boston Scientific, Abbott Laboratories, Integer, Haemonetics, Japan Lifeline, Tecomet and many more. To strengthen the region’s position as a prominent player in this sub-sector, NCIA will be driving initiatives to encourage cooperation between the states of Penang and Kedah to establish a conducive ecosystem for medical devices manufacturing.

Malaysia’s rubber industry began back in 1878 and remains an integral part of the country’s economy. As of 2012, it is among the top ten largest producers and exporters of natural rubber globally, and a leader in the production and export of rubber products. Kedah Rubber City (KRC) in NCER, a high impact strategic national project, has been identified as a growth node to re-engineer growth and productivity in the rubber manufacturing sector. Key initiatives in the pipeline include infrastructure enhancements such as upgrading broadband and road connectivity. There will also be a continuation of the Rubber City Smallholders Programme in collaboration with RISDA to upskill the smallholders of rubber plantations.

The FMCG industry fulfils the basic wants and needs of consumers, and is therefore an important contributor to any country’s economy. In Malaysia, some of the biggest FMCG MNCs that have become household names include Unilever, Nestlé, Colgate-Palmolive, DKSH, Dutch Lady and many more. Under the 12th Malaysia Plan (12MP), FMCG is another new manufacturing sub sector that will be further developed in NCER to cater to the region’s growing population.

To further strengthen the E&E and M&E industries, initiatives such as the NCER Technology Innovation Centre (NTIC), a single campus concept, will be introduced to focus on the synergies between the NCER states, the private sector, and the academia to create a more conducive ecosystem for the sub sectors.