Milestones that strengthen the partnership between Malaysia and the Netherlands in the semiconductor industry

News item | 13-10-2025 | 08:50

The Dutch semiconductor market is projected to grow by 8.61% between 2024 and 2029. This creates new opportunities for international collaboration. In Malaysia, the Dutch sector sees immense potential for partnership, combining Malaysia’s dynamic supply chain with the Netherlands’ expertise in high-tech manufacturing.

The Netherlands is a global leader in the semiconductor industry, holding 9% of the worldwide market share. Home to some of the industry’s most influential companies as well as cutting-edge research institutions, the country continues to drive advancements in chip manufacturing. With the rapid rise of AI, 5G, and high-performance computing, the Dutch semiconductor market is projected to grow by 8.61% between 2024 and 2029. This creates new opportunities for international collaboration. In Malaysia, the Dutch sector sees immense potential for partnership, combining Malaysia’s dynamic supply chain with the Netherlands’ expertise in high-tech manufacturing.

Over the past months, three milestones underscore how Malaysia and the Netherlands are strengthening their cooperation in the semiconductor industry, from a signed Memorandum of Cooperation to talent development and recognition.

 

Image: ©Tengku Zafrul on from X

The Malaysian Investment, Trade and Industry Minister Tengku Zafrul Aziz and Dutch Minister of Economic Affairs Vincent Karremans at the signing of the MoC.

 

The first milestone in the Dutch - Malaysian collaboration was the signing of a Memorandum of Cooperation (MoC) in The Hague on September 6th by Malaysia’s Minister of Investment, Trade and Industry, YB Tengku Datuk Seri Utama Zafrul Aziz, and the Dutch Minister of Economic Affairs, H.E. Vincent Karremans.

  The MoC establishes an annual Malaysia–Netherlands Semiconductor Dialogue, which will serve as a platform to review joint projects, exchange market and policy insights, and coordinate efforts in talent development, research, and technology transfer. The agreement reflects both nations’ commitment to diversifying global supply chains and adapting to rapid technological change and shifting market dynamics.

  “By combining our unique strengths, we are confident that this collaboration will help enhance global supply chain security, while creating new opportunities for innovation and growth in the global semiconductor industry,” said Tengku Zafrul. “Through structured dialogue and joint initiatives, we aspire to build a resilient, future-proof semiconductor ecosystem that benefits both our nations and the global economy.”

  Southeast Asia Semiconductor Short Talent Programme 2025: ‘From Design to Innovation’

Complementing this strategic milestone, efforts to strengthen the talent pipeline were underway earlier in August. From the 11th to the 12th of August 2025, 52 innovative STEM students from Malaysia, Singapore, Indonesia, Vietnam, the Philippines, and Thailand came together in Kuala Lumpur for the first edition of the Netherlands–Southeast Asia (NL-SEA) Semiconductor Short Talent Programme. The Dutch Embassy in Malaysia was happy to coordinate the programme in collaboration with Nuffic Southeast Asia and the Malaysia Semiconductor Industry Association (MSIA), and with support from the Netherlands Ministry of Foreign Affairs and the Brabant Development Agency (BOM).

 

The programme marked a meaningful step toward strengthening talent pipelines and encouraging innovation, as well as deepening the alliance between Europe and Southeast Asia in one of the world’s most critical technology sectors.

  Deputy Ambassador Pieter Blussé noted during the opening ceremony on the 11th of August that “the programme aims to further strengthen cooperation between the Netherlands and Southeast Asia, supporting the regional capacity building in semiconductor talent development.” Students look back on an enriching summer school, with guest lecturers from cutting-edge Dutch research institutes and industry partners, networking opportunities, and company visits across the semiconductor value chain.

 

Image: ©Maaelvina

Group of students at the Southeast Asia Semiconductor Short Talent Programme 2025

 

  Malaysian success at the Eindhoven Semiconductor Summer School

  The same month, Malaysian talent thrived in the Netherlands. Muhammad Zulfakhri Zulkifli, an Electrical & Electronic Engineering student at the Faculty of Engineering UPM, won the Eindhoven Semiconductor Summer School (ESSS) 2025 group competition.

  The event took place from the 24th to the 29th of August in Eindhoven, where 80 international students embraced challenging projects, collaborated with experts from the semiconductor industry, and cultivated new contacts. Together with teammates from the Netherlands, Italy, Taiwan, and Romania, Muhammad successfully beat the other 75 participants with their group project titled “Towards Integrated Broadband Photonic Systems: Conceptualising a Handheld Real-Time Spectroscopy Instrument.”    The ESSS is an important initiative under Project Beethoven, which, through education and infrastructure investments, aims to create a complete semiconductor ecosystem in the Netherlands.


Image: ©Alif Azizan

Muhammad Zulfakhri Zulkifli posing with the Eindhoven Semicon Summer School participation certificate.