NXP Semiconductors Breaks Ground on Assembly and Test Site Expansion in Malaysia

New Petaling Jaya facility will increase internal A&T capacity, further diversify NXP’s back-end manufacturing capabilities and strengthen its global supply chain
Leveraging advanced automation technologies, the smart factory is expected to ramp production in the first quarter of 2028 and more than double the site’s output at full capacity
The expanded operations reinforce NXP’s hybrid manufacturing strategy, which provides supply control and geographic resilience

PETALING JAYA, Malaysia, Aug. 12, 2026 (GLOBE NEWSWIRE) -- NXP Semiconductors N.V. (NASDAQ: NXPI) today celebrated the groundbreaking of its new assembly and test (A&T) factory in Petaling Jaya, Malaysia, an expansion of the company’s existing A&T site. The facility will further strengthen NXP’s global manufacturing footprint and increase internal capacity to support greater supply chain resilience and flexibility.

The groundbreaking ceremony brought together government officials, partners and NXP executives and team members to commemorate the start of construction. NXP was also honored to have the Honorable Gobind Singh Deo, Minister of Digital, Malaysia and His Excellency Jacques Werner, Ambassador of the Kingdom of the Netherlands to Malaysia, speak at the ceremony.

Adding approximately 500,000 square feet of production space, the facility will expand NXP’s current operations in Malaysia, which is dedicated to supporting the assembly and testing of NXP’s broad product portfolio. Upon completion of the new factory, the total site will encompass around 900,000 square feet of production space.

The factory is expected to begin ramping production in the first quarter of 2028, with the site’s overall output projected to more than double once fully operational. The added A&T capacity will help support future growth across NXP’s manufacturing ecosystem, including expected output from the VSMC joint venture in Singapore and the ESMC joint venture in Dresden, Germany.

“Malaysia has been an important part of NXP’s global manufacturing footprint for decades, with a strong semiconductor ecosystem and skilled talent base,” said Andy Micallef, Executive Vice President and Chief Operations and Manufacturing Officer. “This expansion builds on that foundation, increasing our assembly and test capacity while diversifying operations to strengthen supply chain resilience and flexibility for customers worldwide.”

Designed as a highly automated smart factory, the facility will feature Automated Material Handling Systems (AMHS) and advanced quality management technologies to optimize manufacturing operations, improve efficiency and support high-quality production.

The expansion of internal A&T operations is a key part of NXP’s hybrid manufacturing strategy, which is designed to provide greater flexibility, supply control and geographic diversification. The expanded Petaling Jaya site complements NXP’s existing A&T operations, including those in Greater China and Thailand, to help maintain a balanced and globally diversified manufacturing network.

Since its establishment in Malaysia in 1972, NXP has built a long-standing manufacturing presence in the country, which serves as a critical hub within NXP’s global supply chain. In addition to expanding manufacturing capacity, NXP continues to invest in Malaysia's future engineering workforce through strategic collaborations with local universities, supporting engineering education and fostering research partnerships that help develop Malaysia's next generation of semiconductor talent.

About NXP Semiconductors

NXP Semiconductors N.V. (NASDAQ: NXPI) is the trusted partner for innovative solutions in the automotive, industrial & IoT, mobile, and communications infrastructure markets. NXP's "Brighter Together" approach combines leading-edge technology with pioneering people to develop system solutions that make the connected world better, safer, and more secure. The company has operations in more than 30 countries and posted revenue of $12.27 billion in 2025. Find out more at www.nxp.com.

For more information, please contact:

Americas & Europe
Paige Iven
Tel: +1 817-975-0602
Email: paige.iven@nxp.com

NXP-Corp

A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/056aeb7d-3852-460c-8b76-25206e4245cf

NXP Semiconductors Breaks Ground on Assembly and Test Site Expansion in Malaysia NXP executives and distinguished guests celebrate the groundbreaking of NXP’s assembly and test site...