E&E REMAINS MAJOR CONTRIBUTOR TO MALAYSIA'S EXPORT GROWTH

KUALA LUMPUR, May 9 (Bernama) -- The electrical and electronics (E&E) sector is expected to remain a major contributor to Malaysia's export growth in 2011 on the back on rising global demand for semiconductor devices.

Malaysia External Trade Development Corporation (MATRADE) Chief Executive Officer, Noharuddin Nordin, said more than half of the demand would come from the Asian market, followed by the United States and Japan.

"Based on the first quarter trade performance, we can see that we are able to sustain our presence in the global E&E market.

"Recently, there is also an announcement about a major investment by major global and local players in the solar industry to invest significantly in Malaysia.

"Their factory is expected to be fully operational by the year-end and the products from this centre will be reflected in the E&E classification that will further strengthen our E&E exports," he said in a briefing on Malaysia's trade performance in the first quarter of 2011 here Monday.

The Semiconductor Association recently projected a 6.8 per cent growth in the global semiconductor market to US$318.76 billion this year.

Noharuddin also said that Malaysia's major export markets recorded growth in the first quarter except the United States.

He said the United States was no longer a prominent manufacturing hub of E&E products.

"Most of the American companies have shifted their assembly operations elsewhere, so their E&E product imports are mainly in the form of finished products," he said.