KUALA LUMPUR: Integrated engineering solutions provider, Oxford Innotech Bhd is gearing up to boost production capacity at its new Penang Science Park Factory 2 (Phase 1).
The 39,392 sq ft manufacturing facility, which was completed in May 2025, is currently undergoing production trial runs, and progress has been encouraging and on schedule.
As part of the trial runs, two advanced machines stand out as key additions.
The Coil Form Laser Cutting Machine is engineered to process sheet metal of up to 6 metres in length with high precision, resulting in a reduction of material wastage by between 10% and 20%.
Meanwhile, the Large Form Tube Laser Cutting Machine is undergoing trials for structural applications, with the capability to handle tubing and structural steel of up to 12 metres in length.
Managing director Ng Thean Gin said following the company’s recent listing in July 2025, the team has been working on all fronts – executing expansion plans, stepping up business development activities, and navigating a complex operating environment.
“We are pleased to share that our expansion plans are on track. We expect to commence mass production at our PSP Factory 2 (Phase 1) in the coming months, upon completion of the trial runs, thereby increasing our total manufacturing footprint to 125,174 sqft.
“The additional capacity positions us to capture the rising demand across semiconductors, electrical and electronics (E&E), and modular building systems sectors,“ he said in a statement.
On the business development front, Ng said Oxford Innotech is experiencing stronger customer engagement.
“More of our component parts have now received customer approval, setting the stage for future manufacturing orders. As the new facility comes on stream, we will be able to serve customers more effectively, deepen collaboration and hence, strengthen our market presence,” Ng added.
On the bigger picture, the domestic E&E sector is poised for sustained growth, underpinned by robust export performance and supportive national policies.
In 2024, the industry recorded exports of RM601.2 billion, with semiconductors contributing RM437.5 billion.
The momentum extended into 2025, with exports rising 17.3% year-on-year to RM391.0 billion in the first seven months.
Coupled with secular trends in artificial intelligence and digitalisation, the outlook for semiconductors and E&E sectors remains highly promising.
Meanwhile, at the policy level, the New Industrial Master Plan 2030 and the National Semiconductor Strategy further reinforce the sector’s role as a key growth driver, providing a supportive framework for companies like Oxford Innotech to scale in tandem with national objectives.
Looking ahead beyond PSP Factory 2 (Phase 1), the group plans to expand further its production capacity will be increased by constructing a new plant under Phase 2.
This is expected to add another 67,722 sq ft, which would eventually bring the group’s total manufacturing area to 192,896 sqft by 2027.