A corner of the SEMI Southeast Asia 2016 held in Penang, Malaysia which attracts the participation of around 200 semiconductor companies. — VNS Photo Mai Linh

PENANG, MALAYSIA – SEMICON Southeast Asia 2016, the region's largest microelectronics trade exhibition, opened in Penang, Malaysia, on April 26.

The event aims to promote regional cooperation and provide opportunities for businesses to foster their engagement in the global electronics supply chain.

Organised by SEMI, the global electronics supply chain industry association, the exhibition has attracted more than 200 companies.

With the latest technology developments and market trends presented by leading industry insiders to provide an insight into the electronics manufacturing ecosystem, the three-day SEMICON Southeast Asia is expected to attract more than 7,500 visitors, an increase of 15 per cent from last year.

A man is experiencing semiconductor-enabled technology at a booth at SEMI Southeast Asia 2016. — VNS Photo Mai Linh

According to Rich Salsman, vice president of SEMI Global, Southeast Asia is a vibrant region with established players, such as Singapore and Malaysia while the Philippines and Thailand, are expanding their involvement in the electronics supply chain, and Việt Nam is an emerging player with plans for a new 200mm wafer fabrication manufacturing project, besides its assembly, test and packaging activities.

The association's statistics revealed the region's microelectronic manufacturing accounted for 27 per cent of the world's assembly, packaging and test production with 46 production fabrication manufacturers.

SEMI estimated a total spending of US$12.2 billion on materials in the 2016-17 period, in addition to the $6 billion on front-end and back-end equipment in the Southeast Asia region.

Amidst a slight decline in the semiconductor material market and in revenues globally due to the impact of forex volatility and low semiconductor unit growth, the association said there was a growing need for fostering regional and cross-regional cooperation and promoting innovation.

It said SEMICON Southeast Asia would offer opportunities as a platform for the entire semiconductor supply chain.

The association forecast a flat to low single-digit growth for the overall semiconductor industry this year.

Statistics showed the global semiconductor materials market decreased 1 per cent in 2015 and declined 0.2 per cent in revenues. Growth is expected to return in 2017.

SEMI, which connects more than 2,000 member companies worldwide to advance electronics manufacturing, is expanding its activities in Southeast Asia to support regional growth and promote collaboration in the electronics manufacturing supply chain. — VNS