First Solar Opens Its First Asian Facility in Kedah

By Marina Emmanuel

US SOLAR module maker First Solar Inc is looking to increase the local content of products made at its first Asian facility in Kedah.

Its president Bruce Sohn said yesterday that the company aims to increase its local procurement activities over time.

At present, the Kulim-based First Solar Malaysia Sdn Bhd sources less than 10 per cent of materials directly from up to three local suppliers.

“It took three years for suppliers in Germany to qualify to be our vendors for our manufacturing facility in that country where we currently source up to 50 per cent of our parts from local firms,” Sohn told reporters after Kedah state executive councillor Amiruddin Hamzah opened the first of four solar module-making plants for the company at the Kulim Hi-Tech Park.

Also present yesterday were Malaysian Industrial Development Authority (Mida) director-general Datuk Jalilah Baba and Kulim Technology Park Corp group chief executive officer Datuk Ahmad Shukri Tajuddin.

In his speech, Sohn said First Solar’s RM2.2 billion investment in Malaysia will create more than 2,000 jobs in management, engineering, accounting, human resources and factory operations when all four plants are fully operational.

“The Malaysian government has granted First Solar a multi-year income tax holiday, while Mida is supporting cross-training for the workforce at First Solar’s facilities in the US and Germany,” he added.

Sohn said the company aims to use its advanced thin film module technology and manufacturing capabilities to enable cost-effective solar electricity to be deployed worldwide.

The company, through its solar modules, provides an economic alternative to peak conventional electricity and fossil fuel dependence, greenhouse gas emissions and peak-time grid constraints.

“When all our four plants are complete, First Solar will have 16 production lines – the most we have anywhere in the world,” its vice- president for manufacturing Heiner Eichermueller said.

“That will represent more than 70 per cent of our worldwide capacity and, since all our plants have identical run rates of 45 megawatts per year, Malaysia alone will account for 720MW per year at full capacity,” he added.

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