Malaysia's semiconductor sector is showing resilience against geopolitical disruptions, with industry leaders saying its well-established assembly, testing, and packaging ecosystem largely insulates it from supply chain shocks. While the country's five wafer fabrication plants face some risk from potential helium shortages — particularly if conflict disrupts shipping through the Strait of Hormuz (a critical Persian Gulf waterway linking Middle Eastern oil and gas exports to global markets) — the broader industry relies more heavily on nitrogen, limiting immediate exposure. Malaysia is now pushing to move up the value chain into higher-value areas such as integrated circuit design, targeting US$125 billion in investment and the training of 60,000 engineers, with officials describing the country as a "bright spot" for global semiconductor investment amid ongoing US-China trade tensions.