Texas Instruments Opens Second Assembly & Test Factory in Malaysia
Published: 11.12.2025

- Texas Instruments officially opens TIEM2, a 900,000+ sq ft assembly and test facility in Melaka, Malaysia.
- TIEM2 features advanced assembly, test, bump, and probe capabilities with high automation for improved throughput and quality.
- Supports TI’s goal of internalizing ~90% of assembly & test operations by 2030 for supply resilience.
- Designed with sustainability in mind, reducing water, waste, and energy per chip.
Texas Instruments has officially opened TIEM2, a six-level, 900,000+ sq ft assembly and test factory connected to its existing Melaka site in Malaysia. This new facility expands TI’s manufacturing campus to over 1.4 million sq ft and is already in production.
TIEM2 features advanced assembly, test, bump, and probe capabilities, with high levels of automation to improve throughput and product quality. It is designed to output billions of analog and embedded processing chips annually, supporting TI’s goal of internalizing ~90% of assembly and test operations by 2030.
The expansion represents an estimated $1.05B investment and is expected to generate up to 500 local jobs. The opening was marked by a state ceremony led by Melaka’s Chief Minister, who praised the investment as a “historic milestone” for regional industrial growth.
TIEM2 emphasizes sustainability, featuring reduced water, waste, and energy usage per chip, aligning with TI’s high environmental standards. The company’s paired sites in Melaka and Kuala Lumpur reinforce Malaysia’s position as a hub for back-end semiconductor manufacturing. The Kuala Lumpur site is also undergoing large-scale conversion, with a potential MYR 9.6B investment and production starting as early as 2025.
The expanded capacity benefits downstream sectors: automotive, industrial, communications, and consumer by providing predictable supply, faster response to demand swings, and high-reliability products. TI’s focus on automation, sustainability, and in-house manufacturing positions the company as a key enabler for OEMs, EMS providers, and distributors in the region.
TIEM2 in Melaka demonstrates Texas Instruments’ commitment to supply assurance, regional manufacturing growth, and sustainable operations strengthening Southeast Asia’s role in the global semiconductor supply chain.