Scanfil, Europe’s largest listed electronics manufacturing company, has invested MYR 15.8 million ($3.75 million) to expand and modernize its SRX Global (Malaysia) Sdn. Bhd. facility in Johor Bahru, Malaysia.

The upgrade boosts production capacity by nearly 50 percent and reinforces Johor Bahru’s role as a strategic electronic hub in Asia, the firm said in a statement on Wednesday.

The investment strengthens Scanfil’s Asia Pacific operations, which also include SRX Global facilities in Melbourne, Australia.

Prior to this expansion, the Malaysian facility operated four automated SMT lines with 170 employees, establishing a solid foundation for future growth.

“This expansion and modernization are a great showcase of the positive business environment in Malaysia,

“Due to this predictable and business-friendly environment, SRX Global being a Scanfil company is committed to developing its operations in Johor Bahru with a long-term perspective, and we see great opportunities, especially driven by customers in Industrial, and medical technology & life sciences,” said Scanfil Chief Executive Officer Christophe Sut.

The multi million ringgit expansion and modernization represents a significant enhancement to SRX Global’s Johor Bahru operations.

The facility is delivering nearly 50 percent increase in production area; integrated one-stop manufacturing, covering electronics assembly and complex box-build; capacity to workforce expansion grow beyond the current 170 employees as demand grows; cutting-edge facility design, aligned with the SRX Global and Scanfil Dream Factory program to drive data integration, process optimization, and advanced automation.

Sikh Shamsul Ibrahim Sikh Abdul Majid, Chief Executive Officer of Malaysian Investment Development Authority (MIDA), commended the investment by said that MIDA welcomes Scanfil’s expansion and modernization in Johor Bahru as a significant step forward in advancing Malaysia’s high value manufacturing sector.

“This investment will attract advanced technologies, create skilled employment opportunities, and strengthen innovation and sustainability across the electronics supply chain,” he said.

He added this initiative is well aligned with Malaysia’s New Industrial Master Plan (NIMP) 2030 and the National Semiconductor Strategy (NSS), which aim to deepen Malaysia’s capabilities in electronics and semiconductors while building long term resilience in the global supply chain.

Deputy Head of Mission in Malaysia Maiju Lepomaki also said this investment reflects the strong relationship between Finland and Malaysia and the positive business environment in Malaysia.

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