The World Bank Group’s private sector arm, International Finance Corporation (IFC), is partnering with OCI TerraSus in Malaysia to build Southeast Asia’s first semiconductor-grade polysilicon manufacturing facility in Bintulu, Sarawak, according to an IFC press release. IFC will provide up to $125 million in financing for the clean energy-powered plant, developed through a joint venture with Japan’s Tokuyama Corporation. The facility will produce essential raw materials for silicon wafers and semiconductor chips, helping Malaysia climb the global semiconductor supply chain while creating high-skill jobs.
OCI TerraSus Chairman Lee Woo Hyun said the partnership goes beyond infrastructure to strengthen corporate governance, ESG standards, and long-term competitiveness as global demand for semiconductors and AI grows. The state-of-the-art plant will run on renewable energy and position Sarawak and Malaysia as key players in high-purity materials production.
World Bank Group Country Manager for Malaysia Judith Green called it IFC’s first project in Sarawak and a milestone for the country’s ambitions in value-added manufacturing. She highlighted Malaysia’s focus on job-creating industries and praised OCI TerraSus’s commitment to improving environmental, social, and governance practices.
The initiative supports Malaysia’s push into advanced manufacturing by linking public and private investment to concrete ESG improvements and technical upgrades. As semiconductor demand accelerates worldwide, the facility will help diversify the country’s economy and build resilience against supply chain shocks.