At the Kulim site, AT&S plans to add capacity at its existing plant and begin using a previously idle building at the location’s second plant. In Chongqing, the company said the planned expansion is tied to rising demand from a key customer.
AT&S characterized the program as a response to customer-backed demand rather than a speculative expansion. The company said the planned spending is fully supported by long-term customer commitments, while noting that those agreements still depend on final negotiation and execution.
The AMD agreement gives the expansion a named anchor customer. AT&S said the additional capacity is intended to serve demand tied to AI and high-performance computing, areas where advanced chips require more sophisticated substrate manufacturing. The second technology company was not identified.
The Malaysia expansion also strengthens AT&S’s existing presence in Kulim, where the company has been building substrate production capacity. The added investment extends that manufacturing footprint while bringing more of the site into active production.
By expanding in both Malaysia and China, AT&S is increasing capacity across two major Asian manufacturing locations. Kulim gives the company additional production in Southeast Asia, while Chongqing supports demand connected to China.
AT&S did not disclose how the investment will be divided between the two facilities or when the new capacity will be completed. The company’s announcement centers on the total investment range, the AMD-backed commitment, and customer demand for substrates used in AI and high-performance computing chips.
This analysis is based on reporting from TNW.
Image courtesy of AT&S.
This article was generated with AI assistance and reviewed for accuracy and quality.
