More than 500 electronics manufacturing companies from 25 countries are participating in the eighth edition of the NEPCON/ Microelectronics Penang 2006 exhibition being held at the Penang International Sports Arena (PISA).

The exhibition, organised by Reed Exhibitions, is touted to be Malaysia's largest for the electronics manufacturing industry and will see more than 160 companies participating for the first time at the five-day event, which began on June 13.

The exhibition will feature two country pavilions from China and Singapore, with the former headed by the China Council for the Promotion of International Trade - Electronics Sub Council and the China Electronics Import and Export Corporation, and the latter led by the Singapore Manufacturers' Federation.

An Automation Pavilion, presented by the Federation of Malaysian Manufacturers showcasing technologies for factory and process automation, system integration and automation software solutions, is also making its debut at the exhibition.

Igus Singapore Pte Ltd sales engineer Simon Liew (second from left) showing MITI Deputy Minister Ng Lip Yong one of his products. Looking on are Igus Singapore Pte Ltd regional sales manager Aw Kai Hua (3rd from left) and president Reed Exibition Malaysia and Singapore president Ed Ng (right)

The Malaysian Industrial Development Authority (Mida) is also organising a two-day seminar in conjunction with the event to promote investments in the electronics and its supporting industries.

The seminar, themed "Opportunities in the Electronics Industry" will provide the latest updates on government policies, incentives, facilities and support services available to the business community.

Reed Exhibitions president for Malaysia and Singapore Ed Ng said the electrical and electronics (E&E) industry was Malaysia's leading industrial sector, contributing significantly to the country's manufacturing output, export and employment.

Malaysian International Trade and Industry (Miti) deputy minister Ng Lip Yong, who officiated the event, said over the past five years, domestic investment in the electrical and electronics industry had increased from RM662.3 million to RM2.32 billion.

He added to date, 715 E&E projects had been approved with a total investment of RM40.1 billion, with foreign participation contributing 82.4% of the total figure.

"In 2005, electronic products showed the most notable expansion, valued at RM238.5 billion in the manufacturing exports sector with USA remaining the largest export destination, accounting for 31% of Malaysia's exports of E&E products, followed by Singapore (16.6%) and Hong Kong (9.1%)," he said.

The main export items are namely semiconductors devices, automatic data processing machines, and telecommunication equipment.