Kingboard Copper Plans Malaysia Plant, Securing 31,200-Ping Site for Advanced Foil

Preface

Kingboard Copper (金居, 8358-TW), a copper foil manufacturer aiming to earn back an amount equal to one share capital in 2026, is expanding production of high-frequency and high-speed copper foil. The company is responding to rising demand associated with AI products and increasingly demanding data-transmission applications. Alongside the gradual commissioning of new capacity at its third plant in Yunlin, Taiwan, beginning in 2027, Kingboard Copper has announced plans for a new facility near Penang, Malaysia. It has obtained land-use rights for a site in Phase 4A of Kulim Hi-Tech Park in Kedah, Malaysia, covering a total area equivalent to 31,200 ping. This article outlines the planned facility, its production focus and schedule, the proposed funding approach, and how the investment fits into the company’s broader high-end copper foil supply strategy.

Lazy bag

Kingboard Copper plans to build a Malaysian facility focused primarily on HVLP4 high-frequency, high-speed copper foil, with planned total capacity of 30,000 tons per year. The project is expected to proceed in two phases: the first capacity is scheduled to come on stream progressively in the third to fourth quarters of 2028, while the second phase is planned to begin in the second half of 2029. Estimated investment is approximately NT$8 billion to NT$10 billion, and the company intends to raise funds through convertible bonds in Taiwan, with an expected issue face value of NT$7 billion. The Malaysian plant is intended to complement capacity at the company’s third plant in Taiwan and supply customers across Malaysia and Thailand.

Main Body

Kingboard Copper is moving forward with a capacity expansion aimed at the high-frequency and high-speed copper foil market. The company is pursuing the project as demand for AI-related products grows and electronic systems require increasingly capable materials for faster data transmission. Its expansion plan combines further output from existing operations in Taiwan with a new manufacturing site in Malaysia, giving the company a broader production base for advanced copper foil.

The Malaysian project follows the company’s plan to bring new capacity online in stages at its third plant in Yunlin, Taiwan. That plant is expected to begin releasing capacity quarter by quarter in 2027. In parallel, Kingboard Copper has obtained land-use rights for a site in Kulim Hi-Tech Park Phase 4A, in Malaysia’s Kedah state. The total site area is equivalent to 31,200 ping. The location is in the Penang region, where the company plans to establish a new manufacturing facility.

Kulim Hi-Tech Park is already home to several technology companies and manufacturers. These include AT&S, which produces advanced substrates, as well as Intel, Infineon, and Fuji Electric. The presence of established technology businesses provides a relevant industrial setting for a copper foil project intended to support advanced electronics supply chains. The announcement, however, sets out Kingboard Copper’s own plans and does not state that the companies located in the park are confirmed customers or project partners.

The planned Malaysian plant is designed primarily to manufacture HVLP4 copper foil for high-frequency, high-speed, high-end applications. Kingboard Copper’s overall production plan for the site calls for capacity of 30,000 tons per year. This product focus aligns with the increasing importance of materials that can support high-speed signal transmission. As AI servers and related data infrastructure evolve, system designs place greater emphasis on low-loss, high-performance materials, including copper foil used in electronic applications.

Construction and capacity deployment are expected to take place in two phases. Kingboard Copper expects the first tranche of production capacity to come on stream progressively during the third to fourth quarters of 2028. The second phase is planned to start in the second half of 2029, with capacity additions proceeding in stages. The phased approach allows the project to expand over time rather than bringing the entire planned capacity online at once. The company has not specified in the source announcement how much of the total capacity will be assigned to each phase.

The estimated total investment for the Malaysian plant is approximately NT$8 billion to NT$10 billion. To support the project, Kingboard Copper also intends to raise funds in Taiwan through the issuance of convertible bonds (CB). The expected face value of the planned bond issuance is NT$7 billion. These figures describe the company’s preliminary investment estimate and planned financing scale; the announcement does not provide further details about final issuance terms, timing, or the balance of project funding.

Kingboard Copper has identified potential customers among materials suppliers and manufacturers with operations in the region. In Malaysia, the company expects to serve Taiwan-based Taiwan Union Technology (台光電, 2383-TW), which has established a plant in the country. For Thailand, the target customer list includes Taiwan-based TUC (台燿, 6274-TW), TUC Holdings (騰輝-KY, 6672-TW), and ITEQ (聯茂, 6213-TW), all of which have established operations in Thailand. The announcement describes these companies as intended customer targets; it does not report confirmed purchase agreements or committed volumes.

The new facility is part of a wider supply strategy that links production in Malaysia with the company’s existing and planned capacity in Taiwan. Kingboard Copper intends to focus the Malaysian site on HVLP4, while its third plant in Taiwan also contributes to the supply of advanced copper foil. With Taiwan’s third-plant capacity expected to be released quarter by quarter beginning in 2027, and the Malaysian plant’s staged rollout planned from 2028, the company is preparing to increase its ability to supply higher-end products over several years.

This strategy responds to two related shifts in the electronics market: the expansion of AI server applications and continued advances in high-speed transmission technology. Both developments are increasing requirements for copper foil that combines high performance with low signal loss. Kingboard Copper plans to address these requirements through both new construction and product adjustments on existing production lines. The company’s stated approach is therefore not limited to adding factory space; it also involves adapting its production mix to increase the availability of advanced copper foil.

The Malaysian investment may also broaden the geographic reach of Kingboard Copper’s supply network. A facility in Kedah would position production near customers operating in Malaysia and Thailand, while the Taiwan operations remain part of the overall capacity plan. The announcement does not quantify regional allocation or provide a forecast for sales, utilization, or the financial contribution of the new facility. Those outcomes will depend on the phased construction and commissioning process, market demand, and the development of customer requirements.

Overall, the project represents a multi-year expansion focused on high-frequency, high-speed copper foil. Its main elements are the 31,200-ping site in Kulim Hi-Tech Park, planned annual capacity of 30,000 tons, phased production launches in 2028 and 2029, an estimated investment of approximately NT$8 billion to NT$10 billion, and a proposed NT$7 billion convertible bond issue. Together with the planned capacity additions at the Yunlin third plant from 2027, the Malaysian facility is intended to strengthen Kingboard Copper’s supply capability for low-loss, high-performance materials as AI servers and high-speed transmission applications continue to develop.

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