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Philips invests in 2nd Malaysian LED plant

Posted: 09 Nov 2012 ?? ?Print Version ?Bookmark and Share

Keywords:LED? LCD display? sustainability? manufacturing?

Seeking to further grow its position in the ASEAN region, Royal Philips Electronics (Philips) has announced a second Lumileds manufacturing facility in the Bayan Lepas Free Industrial Zone in Penang, Malaysia.

The 300,000 sq. ft. plant will be responsible for high-volume production of Luxeon light emitting diodes (LEDs). Through its new facility, the Dutch firm is expected to contribute in the development of skilled engineers in Penang. Philips currently employs 1,800 employees in its existing Bayan Lepas site.

Philips remains optimistic about its investments in Asia. CEO Frans van Houten told reporters during the plant's opening ceremony that 36 per cent of the company's global total sales value is generated by its businesses in the region. With most of Europe still in economic distress, Philips is placing more premium on expanding operations in countries like Malaysia, Singapore, India and China, according to the Malaysian Reserve.

Van Houten emphasized that his company's lighting sector already has an established presence in Malaysia's healthcare and consumer lifestyle divisions. Philip's Luxeon LEDs are utilised in various applications including LCD displays, dynamic street lighting and automotive.

Speaking on behalf of Prime Minister Datuk Seri Najib Tun Razak, Minister Tan Sri Nor Mohamed Yakcop welcomed the expansion saying that it reflects Malaysia's commitment to sustainability. LED lighting is generally accepted as ideal alternative to conventional light bulbs, which waste most of their energy as heat and are prone to breakage. Yackop reiterated the government's plan to phase out incandescent bulbs within two years as it aims to reduce carbon emissions by 40 per cent at the close of 2020.

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