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Taiwan Boosts High-Tech Supply Chain Ties with Malaysia

Taipei: Taiwan is seeking to strengthen cooperation with Malaysia in the high-tech supply chain, particularly in the electrical and electronics (EandE) sector, including semiconductors and artificial intelligence (AI). Dr Lien Yu-Ping, representative of the Taipei Economic and Cultural Office in Malaysia, highlighted that smart applications and software will drive the next generation of technology, with robotics also expected to become a future trend. According to BERNAMA News Agency, Lien emphasized that Malaysia and Taiwan can work together to seize these opportunities, especially with Penang's strong and comprehensive supply chain ecosystem and the presence of multinational companies. She noted that Taiwan excels in integration, while Malaysia can serve as a showcase for next-generation high-tech industries, making it a mutually beneficial partnership. Taiwan-Malaysia bilateral trade is projected to grow 20 to 30 per cent this year, driven by the EandE sector. The EandE sector, particularly semiconductor s and AI, remains the largest contributor to bilateral trade as it is heavily investment-driven. The booming AI and AI-related industries are beneficial for both countries, as AI-related industries heavily depend on chips, reshaping the global ecosystem and strengthening global competitiveness. Taiwan is a leader in the semiconductor industry, which remains a key strength of its industrial development. Several well-known semiconductor companies have invested in Malaysia, including ASE Technology Holding in Penang for semiconductor packaging and testing, TecoBar Technology Co. Ltd in Penang, and Wiwynn in Johor, specializing in data centre equipment. In terms of data centres and cloud computing, Taiwan supports the training of large language models (LLMs) used in AI, which can be applied across sectors such as transportation, education, and urban development, driving smart solutions and complete ecosystems' growth. Last year, Taiwan-Malaysia bilateral trade reached US$57.4 billion, a 32.3 per cent increase compared to the previous year. Taiwan is now Malaysia's fourth largest trading partner and seventh largest foreign direct investment, creating more than 470,000 jobs in Malaysia. The Taiwan Smart Solutions Connect 2026, organized by the Taiwan International Trade Administration (TITA) and the Taiwan External Trade Development Council (TAITRA), brought together 26 of Taiwan's most innovative tech enterprises. Johnson Chang, CEO and general manager of Nietzsche Enterprise Co. Ltd, noted Malaysia's move towards smart cities and sustainable development under the National Industrial Master Plan 2030 (NIMP 2030) emphasizes turning data into practical action. Chang mentioned that the company uses AI of Things (AIoT) sensors, LoRa, and AI analytics to enhance efficiency, reduce emissions, and make faster decisions. They provide smart parking and smart manufacturing solutions to reduce fuel consumption, energy waste, and carbon emissions through real-time monitoring and data tracking. They also support ESG reporting , carbon audits, and energy management for credible sustainability practices. On the social side, Chang stated the company focuses on safety and community well-being through technologies like trackers for elderly care and AI cameras for workplace safety compliance. These systems aim to improve public safety, protect workers, and support vulnerable groups.

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