ROHM-Wako expands ops to gain bigger market
KOTA BARU: ROHM-Wako Electronics (M) Sdn Bhd has invested RM600mil to expand its plant in Pengkalan Chepa in a move to double its diode production capacity, as it sets its target to capture 20% of the global market share.
Its president Yukihiro Takizawa said that currently, the company holds about 15% of the global market share.
It has invested RM270mil to build a three-storey energy-efficient building, and another RM320mil in machinery to increase capacity to produce diode at the plant in Pengkalan Chepa II Industrial Zone.
“The plant here (in Kelantan) is the biggest among the group’s six plants worldwide,” he said, adding they mainly produce diode and light-emitting diodes (LED).
Yukihiro said this after Kelantan Mentri Besar Datuk Ahmad Yakob, Malaysia International Trade and Industry Minister Datuk Seri Mustapa Mohamed, Japanese Ambassador to Malaysia Dr Makio Miyagawa, ROHM-Wako honorary chairman Datuk Yosuke Yoshioka, and others jointly opened the new building yesterday.
The Japanese Ambassador said with the new manufacturing facility, ROHM-Wako could now increase its diode production capacity from 700 million a month to 1.4 billion.
He also said that the firm could now offer 1,000 additional job opportunities, on top of the 1,700 jobs offered currently.
“Japan and Malaysia have agreed to celebrate our 60th anniversary of forging long-lasting close relationship,” he said.
Mustapa said ROHM-Wako is a world leader in diode and LED manufacturing.
He said the plant, which started operations in Pengkalan Chepa in 1989, had made a giant leap from small-scale manufacturer of resistors to a global player in diode and LED manufacturing.
“On top of paying RM42mil salary a year to local workers, ROHM-Wako also spent RM28mil on electricity and water bills. It also actively engage 148 local suppliers, of which 70 are from Kelantan,” he said.
He also noted that the firm had provided business opportunities to 12 local canteen operators.
Meanwhile, Ahmad expressed gratitude to Mustapa and the federal institutions for helping draw investment to Kelantan.
“We are delighted that the locals have also adopted the Japanese work culture that places great emphasis on discipline,” he said.