KOTA KINABALU: Sabah is making progress towards becoming an export-oriented state as SK Nexilis Malaysia celebrates its first export of copper foil, according to Phoong Jin Zhe.
Phoong, the Minister of Industrial Development and Entrepreneurship, described the occasion as a significant achievement for Sabah during the inaugural shipment ceremony at SK Nexilis’ factory at the Kota Kinabalu Industrial Park (KKIP) on October 23.
For its first shipment, SK Nexilis Malaysia, a South Korean copper foil producer for electric vehicles (EV), exported 80 tonnes of copper foil worth RM1.9 million.
Phoong added, “Finally, we have the capacity to export on a large scale. This is the first step towards transforming Sabah into an industrial and export-oriented state.”
SK Nexilis’ RM2.3 billion factory in KKIP is the company’s first overseas production base, and it is projected to have an annual production capacity of 57,000 tonnes. The plant is expected to achieve full operation before the end of the year, with an estimated export value of RM2.8 billion.
The company currently produces 15% of the global copper foils used in EV batteries.
Phoong explained that the next phase will involve bringing in SK Nexilis’ subsidiary and investing an additional RM300 million to maximize the processing capacity and expertise in raw materials. He further mentioned that the company sources raw materials from various countries worldwide.
He emphasized that the state government, through his Ministry, is committed to ensuring that SK Nexilis’ investment will yield results. According to Phoong, “The success of the company will signify success for Sabah and Malaysia as a whole.”
Phoong also stated that Sabah’s economy can only progress and achieve modernization if the state attracts high-value industries that can develop a high-quality workforce.
He expressed the state’s determination to attract more high-value investments to Sabah, with the goal of encouraging young Sabahans to return home to work and reverse the brain drain phenomenon.
Phoong highlighted that the factory has already created 380 jobs since its operations began one to two months ago, with 90% of the workforce being Malaysian and 58% of them being Sabahan. He commended this achievement and mentioned that the company is committed to increasing the number of Sabahans employed at the factory.
In the meantime, SK Nexilis Malaysia CEO Shin Dong Hwan praised the state government for addressing the water supply disruption at their factory. He expressed gratitude for the government’s support and emphasized the need for an immediate resolution to enable uninterrupted copper foil production.
The event was also attended by Joo Joonh Chul, the South Korean consulate-general in Sabah.
