Philips opens second state-of-the-art LED facility in Malaysia

November 20, 2012

  • New manufacturing facility for Philips Lumileds poised to drive industry demands for growth in LED lighting
  • First manufacturing facility in Malaysia fully fitted with LED lighting and energy-efficient solutions to reduce carbon footprint and energy consumption


Bayan Lepas, Malaysia – Royal Philips Electronics (NYSE: PHG, AEX: PHIA) today officially opened its second Philips Lumileds high power LED production facility in Penang, Malaysia.


The opening was officiated by YB, Tan Sri Nor Mohamed Yakcop, Minister in the Prime Minister’s Department on behalf of Yang Amat Berhormat Dato' Sri Mohammad Najib Abdul Razak, Prime Minister of Malaysia and Frans van Houten, Chief Executive Officer of Royal Philips Electronics. This second manufacturing facility in Penang is part of Philips Lighting’s efforts to solidify its leadership position in the fast-growing power LED market.


"The Philips Lumileds facility expansion project was announced as an initiative within the Economic Transformation Programme (ETP) in March 2011. The completion today is a reflection that Philips is truly a valuable business partner to Malaysia and I am confident that its business investment in Penang will bring us closer to achieving our 2020 goal to be a high-income nation in addition to being a globally competitive investment destination," said Malaysia's Prime Minister, Datuk Seri Najib Tun Razak1.


The 300,000 square-feet facility for high volume production of the Philips LUXEON LEDs became fully operational in May 2012. Philips LUXEON LEDs are used in city beautification lighting, LCD displays, camera flash on mobile phones, automotive lighting and various other applications. The state-of-the art facility also includes a research, development and design centre to help drive innovative solutions in LED lighting.


"Demand for new digital lighting applications is growing fast and we see very strong sales momentum of LED based Philips products and solutions, with year on year growth rates now exceeding 50 percent," said Frans van Houten, Chief Executive Officer of Royal Philips Electronics. "This new facility in Malaysia will substantially increase the production capacity of our LUXEON power LEDs, whilst strengthening our global leadership in this field, and allowing us to meet the increasing demands of LED lighting."


The Philips Lumileds facility is the first site in Malaysia to be fitted completely with LED lighting in its interior and exterior. The use of LED lighting within the facility will significantly help to reduce the facility’s carbon footprint, and will result in up to 50% savings from lower energy consumption.


Philips Lumileds has pledged to invest significantly in the development of skilled engineering talents in Penang.  The facility will offer a well-rounded learning experience for its employees in the areas of education, leadership management, technological advances, and other essential skills that benefit them in their daily work and career," said Chooi Chin Leong, Managing Director of Philips Lumileds Lighting Malaysia." The international exposure working in a multi-disciplinary team for collaborative projects and solutions will further contribute to a generation of high-knowledge workers driving global lighting innovations out of Penang.


Lim Guan Eng, Chief Minster, Penang State2 said: "Today marks an important event for the LED Industry in Penang; a significant achievement for Philips, as we see the  company's evolvement since 1972, from involvement in the assembly of core memories for mini computers as well as various LED display units to increased competencies under a 300,000 sqft innovative facility. As an industry, we need to continue working with private sectors to set standards, provide shared facilities and services, develop local supply chain, create awareness on locally-manufactured LEDs and more importantly, establishing Penang as a centre of excellence for science and technology through human capital development and training."


1 speech text read by YB Tan Sri Nor Mohamad Yakcop at the event.

2 speech text read by Dato’ Mansor Bin Othman, Deputy Chief Minster 1, Penang State at the event.

About Philips Lumileds

Philips Lumileds is a leading provider of power LEDs for illumination solutions. The company's leading light output, efficacy and thermal management are direct results of the ongoing commitment to advancing solid-state lighting technology and enabling lighting solutions that are more environmentally friendly, help reduce CO2 emissions and reduce the need for power plant expansion. Philips Lumileds' LUXEON LEDs are enabling new solutions for shop, outdoor, office, school, and home lighting applications.


Philips Lumileds is headquartered in San Jose, California. Besides its high power LED production facility in Malaysia, it also has operations in the Netherlands, Japan and Singapore and sales offices throughout the world.


About Royal Philips Electronics

Royal Philips Electronics (NYSE: PHG, AEX: PHIA) is a diversified health and well-being company, focused on improving people’s lives through meaningful innovation in the areas of Healthcare, Consumer Lifestyle and Lighting. Headquartered in the Netherlands, Philips posted 2011 sales of EUR 22.6 billion and employs approximately 121,000 employees with sales and services in more than 100 countries. The company is a leader in cardiac care, acute care and home healthcare, energy efficient lighting solutions and new lighting applications, as well as male shaving and grooming, home and portable entertainment and oral healthcare. News from Philips is located at