Mitsui Copper Foil Shah Alam: Mitsui Kinzoku Approves RM4.87b New Plant Near Its Section 27 Factory
Mitsui Kinzoku has approved a new copper foil plant near Mitsui Copper Foil (Malaysia) in Section 27, Shah Alam: about JPY190 billion (RM4.87 billion), JPY14 billion of it for land, with production from April 2031. What it means for factory owners, tenants and buyers in Shah Alam.
Key Takeaways
- Mitsui Kinzoku Co Ltd's board decided on 10 November 2026 to build a new copper foil plant in Malaysia, near its subsidiary Mitsui Copper Foil (Malaysia) Sdn Bhd at Persiaran Kuala Langat, Section 27, Shah Alam.
- The budget is about JPY190 billion, reported as about RM4.87 billion: JPY14 billion for land, JPY32 billion for buildings and JPY144 billion for production equipment and other assets.
- Production starts in phases from April 2031 and adds 4 million square metres a month of MicroThin ultra-thin foil and 1,200 tonnes a month of VSP foil over three years.
- The notice does not give the land size, the lot, a construction start date or the number of jobs.
- For Shah Alam, it means another large industrial plot taken by an owner occupier, years of building and installation work, and steady demand for power-ready factories around Section 27.
What Happened
Japanese metals and materials group Mitsui Kinzoku said in a notice dated 10 November 2026 that its board had resolved "to construct a new copper foil plant in Malaysia and acquire related fixed assets". The notice gives the location as Malaysia, "near Mitsui Copper Foil (Malaysia) SDN. BHD.", its consolidated subsidiary. Mitsui Kinzoku's own list of group companies puts that subsidiary at No. 1C, Persiaran Kuala Langat, Section 27, 40400 Shah Alam, and both the New Straits Times and The Edge Malaysia reported the new plant as being built near the Shah Alam operation.
| Item | Detail |
|---|---|
| Decision | Board resolution, 10 November 2026 |
| Location | Near Mitsui Copper Foil (Malaysia) Sdn Bhd, Section 27, Shah Alam |
| Total investment | About JPY190 billion (about RM4.87 billion, as reported by NST and The Edge) |
| Land | About JPY14 billion |
| Buildings | About JPY32 billion |
| Production equipment and other assets | About JPY144 billion |
| Funding | Cash on hand, borrowings and other sources |
| Start of operations | In phases from April 2031 |
The plan itself was flagged earlier. In an outlook released on 17 August 2026, Mitsui Kinzoku said it would "newly acquire land in the vicinity of its Malaysia Plant" and set up a new plant from 2031. What the November decision adds is the approved budget, the split between land, buildings and machinery, and the April 2031 start. The NST reported that the Shah Alam subsidiary was set up in 1989 and began commercial operations in 1991.
What the plant will make
The new plant will make two products:
- MicroThin, a carrier-supported ultra-thin copper foil 1.5 to 5 micrometres thick, used mainly in IC substrates, optical modules and smartphone motherboards. Mitsui Kinzoku already makes MicroThin at its Ageo works in Japan and at the Malaysian plant in Shah Alam.
- VSP, an electrodeposited copper foil for high-frequency circuit boards, used in servers, routers and network switches.
The company links both products to demand from AI data centres and semiconductor packaging.
How much capacity it adds
| Financial year | MicroThin added | VSP added |
|---|---|---|
| FY2031 | 2 million m² a month | 600 tonnes a month |
| FY2032 | none | 600 tonnes a month |
| FY2033 | 2 million m² a month | none |
| Total from the new plant | 4 million m² a month | 1,200 tonnes a month |
With the new plant, group capacity reaches 12 million m² a month of MicroThin and 2,600 tonnes a month of VSP. The notice says the site being bought can hold up to 3,600 tonnes a month of VSP production, and that the company will consider a combined 5,000 tonnes a month across this and other sites if the market keeps growing.
Why It Matters for Shah Alam
A large industrial plot leaves the market. Mitsui Kinzoku has set aside about JPY14 billion for land alone. Big industrial plots rarely change hands in Shah Alam: the JPPH-registered data holds only 6 industrial land deals in Shah Alam in the 24 months to August 2026, with a median of RM20.77 million, or RM210 psf of land. A manufacturer that buys land for its own plant keeps it for the long run, so the remaining large sites around Section 27 get scarcer.
Years of building and installation work. About JPY32 billion for buildings and JPY144 billion for equipment will be spent before and during the phased start. Projects of this size usually draw in contractors, mechanical and electrical firms, equipment installers, chemical and gas suppliers and transport operators, and many of them want a yard, store or workshop close to the site. That kind of demand tends to land on small and mid-sized factories rather than on large plots.
A power-hungry process. Electrodeposited foil is made by plating copper out of a solution onto a rotating drum, which runs on a heavy electric current. The new plant will arrange its own supply with TNB, but suppliers that plate, treat or finish metal nearby will need serious amps too. In Shah Alam, power-ready factories are the stock to watch: our high-power factories in Selangor page shows live counts by supply tier and by town.
Another long-term bet on Selangor's electronics chain. The company frames the plant as a way to keep supplying AI and semiconductor customers into the 2030s. For landlords and owners, the occupier base in southern Shah Alam keeps tilting toward precision and electronics work, which usually asks for cleaner floors, stronger power and better drainage than general storage.
What It Means for Owners, Tenants and Buyers
Start with what has actually been paid. These are JPPH-registered deals for Shah Alam in the 24 months to August 2026 (every sale psf is per sq ft of land, not built-up):
| Type | Deals recorded | Median price | Median psf of land |
|---|---|---|---|
| Terrace factory | 70 | RM1.13 million | RM484 |
| Semi-detached factory | 66 | RM5.92 million | RM514 |
| Detached factory | 20 | RM16 million | RM335 |
| Industrial land | 6 | RM20.77 million | RM210 |
Registered factory rents in Shah Alam had a median of RM1.71 psf a month across 119 tenancies, with a typical term of 24 months. Like-for-like, terrace factory prices in the same parks were 11% lower in the last 12 months than in the 12 before (across 5 parks), and semi-detached factory prices were 32% lower (across 3 parks). The registered numbers do not show an overheated market, and a plant that starts in 2031 is not a reason to pay over the odds today. The full figures are on our Shah Alam transaction prices and rents page.
- Owners and landlords near Section 27: Mitsui Kinzoku is buying its own site, so it is not your buyer. Your likely buyers and tenants are the firms that will serve the project. Have your TNB supply details, CCC and title ready, because those are the first things they ask for.
- Suppliers and contractors who want to be close: Start the search early. Write down the amps, floor loading, ceiling height and container access you need, and ask for a lease with a renewal option that runs past 2031.
- Buyers and investors: Check the land use category and the express conditions on the title before you pay extra for being "near Mitsui". The plant only starts in April 2031, so any demand it creates builds slowly.
Practical Next Steps
- Define the brief: built-up area, land size, amps, floor loading, ceiling height and loading bays.
- Benchmark against registered prices rather than asking prices, using the JPPH figures above.
- Browse current factories for sale in Shah Alam and note which listings state their power supply.
- If the right unit is not advertised, use Find Me a Factory: we check availability with owners and agents across the market, and the service is free for buyers and tenants.
- Watch for the next disclosures: the land size, the construction start and any approvals.
What We Do Not Know Yet
The notice does not say how large the new site is, which lot it is, when construction starts, how many people the plant will employ or whether any incentives apply. We will report again when Mitsui Kinzoku or the authorities disclose more.
Frequently Asked Questions
Where will Mitsui Kinzoku build its new copper foil plant in Malaysia?
The company's notice places the plant near Mitsui Copper Foil (Malaysia) Sdn Bhd, its subsidiary. Mitsui Kinzoku lists that subsidiary at No. 1C, Persiaran Kuala Langat, Section 27, Shah Alam, Selangor. The exact lot and land size have not been disclosed.
How much is Mitsui Kinzoku investing, and when will the plant start?
The total is about JPY190 billion, which Malaysian media reported as about RM4.87 billion. Of that, about JPY14 billion is for land, JPY32 billion for buildings and JPY144 billion for production equipment and other assets. Operations start in phases from April 2031.
What will the new Mitsui copper foil plant make?
It will make MicroThin carrier-supported ultra-thin copper foil, used in IC substrates and optical modules, and VSP electrodeposited copper foil for high-frequency circuit boards in servers, routers and switches. Over three years it adds 4 million square metres a month of MicroThin and 1,200 tonnes a month of VSP.
Will the plant push up factory prices in Shah Alam?
Not by itself in the short term. Production starts only in April 2031, and JPPH-registered data shows like-for-like terrace factory prices in Shah Alam 11% lower over the last 12 months than the 12 before. The effect to watch is steady demand from contractors and suppliers for power-ready factories near Section 27.
How many jobs will the new plant create?
The company's notice does not give a job figure. For current vacancies, check the hiring channels of the existing Shah Alam subsidiary, Mitsui Copper Foil (Malaysia). Hiring numbers for the new plant are more likely to come with later announcements closer to the 2031 start.
FactoryHub is dedicated to helping every client find the right factory or warehouse. For factories, warehouses and industrial land in Shah Alam, contact Peter Tan (REN 12771) at 016-666 6872.
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