Kulim Hi-Tech Park (KHTP) is Malaysia’s first fully integrated high-tech industrial park. KHTP is developed and maintained by Kulim Technology Park Corporation (KTPC). At its heart, the Industrial Park consists of zoned estates built to be conducive to industrial development, with excellent road connectivity and a highway known as the Butterworth-Kulim Highway which connects KHTP to the nearest Northern Butterworth Container Terminal. from Penang Seaport (26 kilometers from KHTP) and Penang International Airport (44 kilometers from KHTP). The facility offers an advantageous industrial park setting and a location where manufacturing companies can expand rapidly, equipped with a CCTV command center for added security. Read on to learn more about how KHTP can help you grow your manufacturing business.
KHTP has become one of Asia’s leading new investment locations for global companies, with facilities capable of meeting the needs of a wide range of industries. These industries cover various fields such as wafer fabrication, semiconductors, medical devices, optoelectronics, and aerospace, including new and emerging technologies. To date, 39 multinational companies have set up operations in KHTP, where Japan contributes the second largest total number of investors per country in KHTP.
As Malaysia’s first integrated high-tech industrial park, KHTP had a record year in 2021 with an inflow of investment received valued at 65.6 billion ringgit ($14.6 billion), which helped to 99.1% of the total investment received by Kedah State. This made Kedah the second largest state-level contributor to Malaysia’s total approved investment in manufacturing for 2021 (source: Malaysian Investment Development Authority, March 2022). For the first quarter of 2022, KHTP contributed 99.8% of total approved investment in manufacturing to Kedah State, making Kedah the top state contributor for Malaysia (source: MIDA, June 2022 ).
In the KHTP, the industrial park is considered a valuable economic asset, as the manufacturing sites benefit from a wide range of infrastructure and amenities. The six zones of the KHTP are zones dedicated to industry; institutional; Residential; amenity; research and development and training; and urban. Currently, there are four phases in KHTP’s industrial zone, which accounts for 46% of the 4,736 acres (1,917 hectares), and KHTP is gradually expanding its industrial zone to meet investors’ demands. The Institutional Zone includes KHTP Police Station, KHTP Fire Station (equipped with hazardous materials facility) and Kulim District Hospital. The residential area offers excellent housing infrastructure already well established in the park, with nearly 5,000 housing units developed, providing convenience and recreation opportunities for residents. Additionally, construction work is underway, Centralized Labor Quarters (CLQs) are being built to Responsible Business Alliance standards. The CLQs project aims to house approximately 11,500 workers.
The Amenity Zone is where KHTP Sports Complex, KHTP Eco Park (a leisure park) and Kulim Golf & Country Resort – an 18-hole international championship golf course in the heart of KHTP – are located. , making KHTP the perfect place to provide recreational activities and work-life balance to the community. The R&D and training area houses the higher education establishments. This enhances industry-university collaboration between industries and the education sector. Convenience is at the forefront of working at KHTP as banks, offices, restaurants, and shopping outlets are nearby.
To help investors set up their manufacturing businesses smoothly in KHTP, our project management consultancy is staffed by appointed consultants, architects, engineers and contractors, with KTPC as the focal point to oversee the construction of the manufacturing plant until its completion. Thus, it becomes clear why KHTP is highly sought after by investors for its well-connected and business-friendly environment.
To look forward
For small and medium enterprises, the KHTP SME Park offers a seamless “plug and play” facility for the supply chains of multinational companies. By reducing costs and reducing turnaround times, KHTP’s infrastructure will enable SMEs to grow and expand their businesses.
To ensure the safety and security of tenants, KHTP SME Park will be fenced and guarded, with 24/7 CCTV surveillance. The SME Park business center will provide sufficient space for a cafeteria, meeting rooms, management offices, conference rooms and event spaces for tenants to display their products and hold meetings with customers.
KHTP SME Park includes 14 factory lots with three types of building models available for rental: detached, semi-detached and warehouse. The warehouses will be constructed based on a custom construction model to the investors’ construction specifications. Several Japanese investors have already expressed interest in the offerings, with two Japan-based companies choosing to select the park as a suitable location to make their first move outside of Japan.
KHTP continues to grow
KHTP is constantly expanding and developing land to meet the needs of investors. An approved expansion project within KHTP is expected to start in late 2022 and will increase the industrial zone to encompass an area of almost 700 acres (283 hectares). This will be made available to investors on a phased completion basis, and investors can begin constructing their facilities by the end of 2023. Therefore, these new facilities will be completed in conjunction with the infrastructure of the new areas industrial.
This significant expansion will further boost KHTP’s industrial ecosystem, making the park an ideal location to serve the needs of global and domestic technologies and cutting-edge industry players. Whether it’s being able to select and occupy their preferred industrial land or being based in an ecosystem that allows companies to manage their global manufacturing, assembly and test, R&D, design and development operations and distribution from one place, investors will have everything they need to ensure a quick and seamless start-up period.
KHTP is a high-tech industrial park offering a complete ecosystem where manufacturing companies can thrive and attract supply chain partnerships for cost-efficiency and smooth operations.
Best talents and services
With a majority of the highly skilled local workforce based in Kulim and a number of experienced expats already on-site for knowledge transfer, hiring new talent to support businesses is achievable through collaboration with universities and technical institutions. The unique collaboration between industry and academia existing within the KHTP has helped manufacturing companies to retrain and retrain their employees.
In addition to industrial and rental needs, KHTP also offers all the services necessary to start operations as quickly as possible. Our Corporate Advisory acts as a one-stop-shop for investors providing services and consultation regarding Malaysian government agencies in areas such as license applications, consent and registration when setting up new businesses in Malaysia. The scope of our service includes advising on preparing necessary documents and submitting applications to relevant Malaysian government agencies until approval is granted.
Companies are welcome to experience the benefits of basing their manufacturing operations in Malaysia with its diverse and multicultural society, primarily at KHTP with its integrated industrial ecosystem, where we can help your manufacturing businesses reach new heights. Contact us at: https://www.khtp.com.my
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