Latest news with #SSIA
RTÉ News
10-07-2025
- Business
- RTÉ News
Proposal for state-backed savings scheme for social and affordable housing
The Social Democrats have published proposals for a state-backed savings scheme which would provide funding for social and affordable housing. The savings scheme is along the lines of a French scheme, called the Livret A, which has been in operation for decades and is consistently among the most popular savings products. The party's housing spokesperson, Rory Hearne TD, rejected suggestions it was along the lines of the Celtic Tiger-era SSIA savings scheme, stating that money was not ringfenced for anything. Deputy Hearne said the party's Homes for Ireland savings scheme could provide a real solution for the housing crisis that would give people hope that the "housing disaster" was solvable. The TD for Dublin North-West said the current housing situation was "a social catastrophe and the biggest issue facing our country". "We're saying to young people, the housing crisis does not have to go on, new policies can solve the issue," he said. Deputy Hearne said such a savings scheme could channel some of the €163bn currently on deposit in Irish banks. Increase to social and affordable homes He said the funds would then be channelled through agencies like Home Building Finance Ireland or the Housing Finance Agency who would then provide favourable finance rates to local authorities and Approved Housing Bodies to build social and affordable housing. Deputy Hearne said this would not provide "more shoebox apartments by funds", but rather much-needed social and affordable homes. He pointed out that in France, some €19bn was provided for social and affordable housing in 2020. He said if Irish savers amassed €1.5 - €2bn in deposits, this could be used to fund between 6,000 and 7,000 units per year. The TD said the Government repeatedly claimed that the Opposition was not providing ideas to solve the housing crisis, and said "here's a solution". Also speaking at the event was Professor of Social Policy in UCD, Michelle Norris who sat on the Housing Commission. Professor Norris said the Commission had recommended that the level of social and cost-rental housing needs to be doubled – so around 20% of the population are living in the sector. She said while a lot of public money was currently being spent on social housing, this was not matched by the building of social housing. Housing waiting lists She said people were spending years on social housing waiting lists, and there needed to be measures to promote counter-cyclical investment in housing, meaning that housing could still be built during an economic downturn. She said the scheme in France had provided a stable, low cost source of finance for social housing providers. "France has managed to double its supply of social housing to the levels of supply the [Housing] commission recommended for Ireland to about 22% of the population," Prof Norris added. She said the Livret A scheme provides a really stable source of funding so the sector is not entirely dependent on government, and said it was suitable for the Irish context. Professor Norris said the Housing Commission recommended in its report that the scheme should be underpinned by legislation, a Social Housing Act, to guard against privatisation.
Straits Times
10-07-2025
- Business
- Straits Times
Close collaboration with government vital for semiconductor industry to stay resilient: Alvin Tan
Sign up now: Get ST's newsletters delivered to your inbox Minister of State for Trade and Industry Alvin Tan said that the semiconductor MNCs and SME suppliers should work together to strengthen supply chains. SINGAPORE – Local semiconductor companies need to work hand in hand with the Government to help the industry stay resilient amid global uncertainty, noted Minister of State for Trade and Industry Alvin Tan on July 10. Mr Tan said a close collaboration with policymakers will allow the sector, which relies heavily on global – and increasingly vulnerable – supply chains, to focus on new growth areas in order to navigate choppy waters. These areas include diversifying beyond chip manufacturing, such as in packaging and software design, and creating new traineeships and research partnerships. Mr Tan told an event organised by the Singapore Semiconductor Industry Association (SSIA) at the Grand Copthorne Waterfront Hotel: 'Singapore's history is long intertwined with the semiconductor industry.' He added that the sector must go 'glocal' to offset supply chain disruptions. This would involve multi-nationals building networks of local small and medium-sized enterprises (SME) that can capitalise on opportunities to expand overseas and in turn strengthen supply chains. 'This strong synergy across the entire semiconductor supply chain creates new jobs and opportunities for our SMEs,' noted Mr Tan. He cited three key areas where the Government is investing to future-proof the industry: Intelligent manufacturing; sustainability; and supply chain resilience. The Government launched the National Semiconductor Translation and Innovation Centre (NSTIC) for Gallium Nitride on June 26 to focus on advanced semiconductors for 5G and 6G communications systems and satellites. Another $500 million fabrication facility under the NSTIC is expected to be operational in 2027, while artificial intelligence (AI) centres of excellence are in the pipeline to boost the technology's adoption among semiconductor companies. This initiative will be underpinned by an agreement between the SSIA, Nanyang Polytechnic and the national Artificial Intelligence Singapore programme signed on July 10 to groom talent in AI engineering fields for the semiconductor industry. Global players are also ramping up expansion here. Taiwan's United Microelectronics Corp opened its facility in Pasir Ris on April 1, while American giant Micron Technology is building a $8.9 billion plant to be opened in 2026. The high level of trust in the strong ecosystem here makes the Singapore brand a compelling one, said Mr Tan, but the country must keep strengthening its competitive advantage in the face of global disruptors and emerging neighbouring countries. The semiconductor sector contributes around 6 per cent of Singapore's GDP and is a crucial global player, accounting for 10 per cent of all chips produced worldwide. A Frost and Sullivan report presented at the SSIA event identified a lack of advanced capabilities and regional competitors as threats to Singapore's industry, while high labour costs and the heavy reliance on imported materials could make it unsustainable in the long term. The impact of US tariffs on Singapore exports still loom over the semiconductor sector, with negotiations on the levies yet to commence. Mr Tan noted that the Government is working towards a solution: 'We are studying the impact of tariffs on the semiconductor industry closely, and taking the feedback from companies, SSIA and SME industry associations very carefully for our deliberations.'
Business Times
10-07-2025
- Business
- Business Times
Singapore has the opportunity to become a global hub for advanced chip packaging: study
[SINGAPORE] Singapore is in prime position to become a global hub for advanced chip packaging, which could become a cornerstone for local semiconductor industry growth in the next eight years. This was one of five key opportunities for Singapore's semicon industry identified in a study conducted by consulting firm Frost & Sullivan, and commissioned by the Singapore Semiconductor Industry Association (SSIA). Singapore has traditionally been known as a front-end destination for semicon chips, which includes wafer fabrication, noted the firm's managing director Ravi Krishnan, who presented the study's findings on Thursday (Jul 10). But this dynamic is now changing with the growth of advanced packaging and the amount of investments going into this sector, he said. Another key opportunity for Singapore, said Krishnan, is in the area of artificial intelligence- (AI) enabled manufacturing. AI has helped to solve some challenges in the semicon industry, and tapping this technology can help to enhance Singapore's global position in the value chain, he said. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up For instance, AI can help with creating more accurate semiconductor design models, enhancing its performance before application. Yet while there are 1,100 AI-related startups in Singapore, only 'a very small number' focus on the semicon ecosystem. 'So clearly, I think this is an area for focus and opportunity,' said Krishnan. Opportunities for growth Robotics-enabled manufacturing is another 'high priority' area identified by the study. While there are a lot of robotics companies in Singapore, noted Krishnan, there are still gaps in terms of legacy tool handling, material transport and clean room compliance. 'These are areas where, potentially, the SMEs (small and medium-sized enterprises) can collaborate with the MNCs (multinational corporations)... in terms of developing capabilities and developing capabilities.' To that end, the study also recommended initiatives which Singapore can consider tapping. One suggestion is to create a portal for semicon-related SMEs so that MNCs have a comprehensive database on the existing capabilities by local enterprises for collaborations. Singapore can also consider creating an open innovation platform on which SMEs can bid for innovation projections to co-develop solutions for MNCs. The final two suggestions are to integrate semicon projects into the national AI and additive manufacturing strategies, and to develop a road map for Singapore's advance packaging development. The Singapore brand Krishnan was speaking at SSIA's annual Business Connect conference, which convenes executives across the global semiconductor value chain to discuss developments in the industry. In his speech at the conference, Minister of State for Trade and Industry Alvin Tan said Singapore remains a safe and trusted destination amid the current global uncertainties. 'We are constantly looking at how the situation changes, but in periods of uncertainty, I think businesses value safety and also trust,' he said. 'And that's what the Singapore brand offers.' The government remains optimistic about the semicon industry and global trends such as AI and next-generation wireless communications. Separately, SSIA signed a memorandum of understanding with Nanyang Polytechnic and the University of Singapore to co-develop the Certified AI Practitioner in Engineering AI Competency Framework. 'This national-level effort aims to establish clear certification standards, co-designed by industry and academia, to ensure the semiconductor workforce is equipped with critical AI skills,' said the trade association in a statement. It will lead industry promotion and adoption of the framework across its network.
Business Times
01-06-2025
- Business
- Business Times
AI demand drives chip equipment sales forecast to new highs but tariff jitters cloud outlook
[SINGAPORE] Fuelled by the explosive demand for artificial intelligence (AI), global semiconductor manufacturing is poised for growth, with equipment sales projected to hit a record US$121 billion this year – surpassing last year's high – even as geopolitical tensions loom large. While high-end AI models continue to push demand for more powerful and efficient chips, there is also growing interest in low-power AI semiconductors from global firms looking to integrate AI into everyday operations, said Alvin Nguyen, senior analyst at Forrester. 'Generative AI is an obvious driver of semiconductor growth,' he noted, adding that demand is also rising for chips used in Internet of Things (IoT) and edge computing devices. Industry group Semiconductor Equipment and Materials International (Semi), similarly expects long-term semiconductor equipment demand to be driven by advances in AI-related technologies. Global sales of semiconductor manufacturing equipment by original equipment manufacturers did better than expected, increasing 10 per cent to US$117.1 billion in 2024. That momentum is expected to continue, with sales forecast to rise to US$121 billion in 2025, and further to US$139 billion by 2026, driven by growth across both front-end and back-end segments. The front-end segment typically includes the wafer fabrication stage, while the back-end segment refers to assembly, packaging and testing. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up In Singapore, industry players see AI as a long-term catalyst, with demand expected to remain strong across multiple application areas. Executive director Ang Wee Seng of the Singapore Semiconductor Industry Association (SSIA) expects AI-related demand to remain robust over the next one to two years, led by investments in data centres, edge computing and generative AI applications. 'This structural growth is creating new requirements across the value chain, from chips to cooling systems, and will continue to be a strong driver for the industry,' said Ang, adding that equipment manufacturers should expect a moderate rebound in demand by mid-2025. Ang noted, however, that the industry is still working through the tail-end of the 2023 oversupply. While inventory levels are improving and demand is picking up in consumer electronics, automotive and industrial segments, the recovery remains uneven across markets. He also flagged that Asean-based suppliers could face pressures from the recalibration of the US trade policies, underscoring the importance of diversification and regional collaboration. Similarly, Forrester's Nguyen pointed to the uncertainty created by tariffs, which have delayed investment decisions by some semiconductor players. Big plus for smaller players Smaller players such as Grand Venture Technology (GVT) and Frencken Group are well-positioned to ride the AI-driven wave, said SSIA's Ang, provided they remain agile and responsive to fast-evolving customer needs, such as precision components for advanced packaging and AI accelerators. However, their smaller scale also makes them more vulnerable to tariff shifts. In this environment, supply chain resilience and broader regional market access will be critical to weathering the challenges ahead. Conversely, Nguyen from Forrester explained that these companies may also benefit from supply chain impacts as the larger manufacturers look for alternative partners to simplify their supply chain logistics and lower overall risk. Both GVT and Frencken Group made it to the 2025 edition of RHB's Top 20 Small Cap Jewels report, which highlights high-potential small-cap companies in Singapore. Analysts from RHB and DBS are sanguine about the prospects of Frencken Group, which saw net profit rise 12 per cent to S$10 million in the first quarter of FY2025. RHB analyst Alfie Yeo expects Frencken Group's outlook for the remainder of the first half to remain stable, with growth likely to continue despite tariff-related headwinds. In fact, Yeo expects minimal tariff impact, since the group's exposure to the US is relatively small, and the tariffs primarily affect its customers rather than the company itself. The group's sales to a key customer in Europe, along with a rebound in Asian demand helped boost the semiconductor segment revenue of its mechatronics division by 33.7 per cent to S$106.2 million. This in turn drove revenue higher to S$215.8 million – up 11.5 per cent from the corresponding year-ago period. Yeo said that the house remained 'upbeat on Frencken Group on the back of the growth in its semiconductor and medical segments' and maintained its recommendation of 'buy', with a target price of S$1.48. DBS analyst Ling Lee Keng also maintained her 'buy' recommendation on the group, adding that its expansion in its front-end equipment is set to boost revenue. Ling mentioned that global industry association Semi expects the demand rebound to be accompanied by new highs in wafer shipments and surges in demand for silicon, supporting AI and various industrial applications. However, though the upward trend can remain intact, Ling also sees a slower momentum in growth, citing cautious market sentiments as 'pickings are likely to be harder after the low-hanging fruits dwindle'. She also maintains a 'buy' recommendation for semiconductor player GVT, which reported a 96.4 per cent jump in earnings to S$10.9 million for FY2024 from a year ago, beating DBS' estimates. Revenue grew 43.3 per cent to S$159.5 million, more than half of which came from the semiconductor segment. For the first half of 2025, DBS projected that GVT could post year-on-year revenue growth of 31.7 to 40.5 per cent, reaching between S$90 million and S$96 million on the back of rising demand for AI-related and complexity-driven equipment sales. The equipment maker is aiming to move up the value chain by upgrading its facilities with advanced semiconductor manufacturing technologies. Its acquisition of ACP Metal Finishing has also helped stabilise and diversify its customer base, Yeo noted. He also observed that GVT would have minimal impact from US tariffs, with less than 10 per cent exposure to them in FY2024. GVT's key customers are in the Asia and Europe markets. 'I think these companies are on the right track and working with the right semiconductor customers who are involved in the AI chip supply chain,' said Maybank analyst Jarick Seet. Asean will stay a key player in the global semiconductor supply chain, and trying to recreate what it has even briefly in the US won't be easy, he said. Still, Seet cautioned that no single trend can carry the industry. The semiconductor market's long-term success will hinge on sustained demand across a range of sectors.
The Sun
22-05-2025
- Business
- The Sun
Malaysia's leadership sought to champion proposed Asean semiconductor industry alliance
KUALA LUMPUR: Semiconductor industries within Southeast Asia must join forces to compete as a united bloc to elevate Asean's collective role in the global semiconductor value chain. To this end, the Singapore Semiconductor Industry Association (SSIA) has proposed the establishment of an Asean Semiconductor Industry Alliance (ASIA). SSIA director Ang Wee Seng told Bernama in an interview recently that ASIA would enable regional semiconductor industries to compete as a united bloc globally with complementary strengths. He said SSIA is banking on Malaysia's current chairmanship of Asean to champion ASIA and rally support from member states in Southeast Asia. ASIA aims to transform fragmented efforts into a cohesive platform for innovation, investment and resilience, said Ang. 'It is about turning proximity into partnership. ASIA is envisioned not merely as an 'association' but as a regional alliance, with structured collaboration across government, industry and academia,' he said. Ang said the semiconductor industry is powering everything from artificial intelligence and quantum computing to green energy and mobility. Singapore has advanced manufacturing and research and development in the semiconductor industry, Malaysia is a leader in advanced testing and packaging processes, while Vietnam is a rising star in semiconductor manufacturing. As for the Philippines, it has expertise in downstream processes, while integrated circuits dominate the Indonesian market, according to 'Source of Asia', a one-stop shop for market expansion, providing on-the-ground expertise to guide companies in their growth strategy in Southeast Asia, South Korea and broader Asia. The Asean semiconductor market size, valued at US$95.91 billion in 2024, is projected to grow from US$109.62 billion in 2025 to US$212.33 billion by 2032, according to Fortune Business Insights, a company which provides reports to help enterprises and organisations to grow. SSIA is seeking endorsement and support from all Asean nations through the Asean Committee on Science, Technology and Innovation (Costi). 'Costi's endorsement would then pave the way for further coordination through sectoral bodies, such as the Asean Economic Community or the Asean ministers on science and technology. 'This, in turn, would help to galvanise participation from industry players across the region and beyond,' he said. The proposal is currently under active discussion among selected stakeholders. Ang said Malaysia will not only be represented in the regional alliance but will also play a critical role in advancing this agenda. Like Singapore, Malaysia is an international semiconductor hub and is well-positioned to help elevate Asean's collective role in the global semiconductor value chain. As one of Asean's semiconductor powerhouses, Malaysia plays a pivotal role in the regional value chain, particularly in back-end manufacturing, design services and talent development. 'We hope Malaysia will contribute its strengths to ASIA by providing ideas, leadership, and cross-border collaboration, especially in areas such as workforce mobility, advanced packaging and shared research and development infrastructure,' he said. As Malaysia holds the position of Asean chair this year, Ang is hopeful Putrajaya would champion the Asia proposal by facilitating policy-level dialogue and rallying high-level support across ministries and Asean member states. 'Malaysia's Asean chairmanship this year presents a timely and strategic opportunity to hopefully help shape the agenda to include semiconductor cooperation as a key pillar for digital and economic resilience in the region,' he said. While Asean countries have each made commendable progress, he said their collective competitiveness would be significantly enhanced through greater strategic alignment. 'One phrase that resonates with me is 'The future is not just 'Made in Asean' – it's 'Created by Asean'. Together, I believe ASIA will strengthen collaboration and help turn this vision into reality,' Ang said. – Bernama
