"Contributing to nearly 40% of the region’s Gross Domestic Product (GDP), the manufacturing industry in Koridor Utara is geared to move up the value chain, emerging as one of the premier integrated manufacturing hubs in the world by 2020."
Fajaffri Mohd Fadzil, Head of Manufacturing


Manufacturing accounted for 30% Malaysia's Gross Domestic Product (GDP) in 2012. In the World Competitiveness Yearbook 2012 covering 144 economies, Malaysia's manufacturing sector is ranked 19th globally and 5th in Asia (after Singapore, Hong Kong, Taiwan and China).

In the five-year duration of Koridor Utara's Phase 1, NCIA's main priority had been to set up the necessary support structures to strengthen the foundations of the region's manufacturing capability. The rationale behind this was to create an enabling environment to deepen the involvement of the private sector in the development of the regional economy through the identification of anchor companies.

Koridor Utara's leading edge capabilities in the delivery of high technology and precision product and services had been brought about by the entry of large electronics companies 40 years ago; and the 40 years of evolution in technology and engineering-based activities sparked by the E&E sector has resulted in the region possessing the following characteristics:

  • a large and educated workforce

  • a vast and sophisticated logistics network to support the key economic sectors

  • a thriving business culture

  • the presence of large MNCs with their global networks and markets

As the Malaysian economy moves up the value chain in manufacturing, Koridor Utara aims to retain its lead in this sector by constantly reinventing itself through the setting up of 'Centres of Excellence' (COEs). NCIA also aims to further augment the manufacturing sector in the region by setting up concrete implementation structures to position it as a conduit to deliver initiatives under the Economic transformation Plan helmed by PEMANDU in the North.

As we move towards the implementation of Phase 2, NCIA is constantly on the lookout for ways to continuously fine-tune aspects of Koridor Utara's economy in order to retain its competitive advantage in manufacturing. This is crucial in light of Koridor Utara's ability to fast-track the implementation of high end, value based manufacturing.

our objectives

  • Accelerating the move towards increasing higher value added activities such design and R&D for the electrical & electronics (E&E) sector.

  • Promoting new manufacturing sectors such as biotechnology and sustainable materials