Electronics major Ibiden Co. Ltd. of Japan has announced plans to expand its printed wiring board (PWB) production facility in Penang, Malaysia, and groom it as a world leader in terms of technology and production capacity by the end of 2012.

At the launch of production operations at Ibiden Electronics Malaysia Sdn. Bhd.'s first factory this week, company president and CEO Hiroki Takenaka said Ibiden will now start construction on a second plant that will involve a RM1 billion (US$332 million) investment.

Ibiden, the world's leading producer of printed circuit boards (PCB) for computers and a wide range of other electronic products, set up its first factory at the Penang Science Park in 2008 on an investment of RM1.2 billion.

The first factory has now started producing high-density PWB for mobile phones. Takenaka said the plant is envisioned to be "one of the world's most competitive factories in the global smartphone PWB industry."

On the other hand, the second factory will be aimed for a wider market with its "next generation PWB" production.

Once the second plant starts production in October 2012, Takenaka said, the Ibiden facility in Malaysia will boast the "most advanced technology and largest production capacity in the world."

When fully operational, the two Ibiden factories at the Penang Science Park are expected to employ around 2,000 people.

Ibiden, whose leading products include built-up substrates for high-density circuits and for electronic components and plastic packages in a variety of semiconductor areas, also has operations in such industries as ceramic products, construction materials and design, agricultural seafood processing, synthetic plastics, and investment and financing.

The company has subsidiaries and affiliates in the United States, Canada, the Netherlands, Germany, United Kingdom, France, Hungary, as well as in Asian countries like China, South Korea, Taiwan, Singapore, and the Philippines.

In Japan, Ibiden's activities are located mainly in Gifu Prefecture, which lies in the central part of the country's main Honshu island.