Press Metal’s Samalaju plant positions Sarawak as regional leader in green aluminium manufacturing

BINTULU (Dec 6): Press Metal Group’s new downstream aluminium facility in Samalaju Industrial Park marks a transformational moment for Sarawak’s industrial landscape, positioning the state as a major regional player in high-value, green technology manufacturing.

Press Metal Group CEO Tan Sri Dato Paul Koon Poh Keong made the remarks during the signing of the shareholders’ agreement between PMB Aluminium Sdn Bhd and Bintulu Capital Sdn Bhd, a wholly owned subsidiary of the Bintulu Development Authority (BDA), which was officiated by Premier Datuk Patinggi Tan Sri Abang Johari Tun Openg, here on Saturday.

Koon described the development as a significant milestone for Sarawak, highlighting three major impacts: downstream expansion, strong public-private collaboration, and the state’s strategic entry into the global renewable energy supply chain.

“For decades, Samalaju has been an upstream-focused zone. Now, with this downstream move, the potential for aluminium-related industries, especially solar, is tremendous,” he said.

The new plant will produce high-precision aluminium components for global solar panel manufacturers using advanced extrusion, alloy hardening, coating, robotics, and precision cutting processes. Finished parts will be exported directly to solar assembly lines worldwide.

“This is a high-precision industry. Any defect stops the entire assembly line, which is why we are investing in state-of-the-art robotics and quality control systems,” Koon explained.

Koon emphasised that the joint venture reflects Sarawak’s pro-collaboration policy between State-Owned Enterprises (SOEs) and private companies.

“This model aligns fully with the state’s vision for SOEs and the private sector to work closely. We hope this partnership will generate new revenue streams for SOEs. This is a very good beginning,” he said.

Designed specifically for the renewable energy sector, the Samalaju plant supports both Sarawak’s green ambitions and global decarbonisation trends.

“Solar is booming worldwide. From China to the US to India, even at home, more solar farms are being built. This industry is 100 per cent renewable with zero emissions, and Sarawak wants to lead the green transition,” he said, noting that the state’s hydropower-driven grid gives it a unique advantage in producing green aluminium, a highly sought-after material for future industries.

Koon highlighted aluminium’s versatility, lightness, strength and anti-corrosion properties, making it essential for high-tech manufacturing, including electric vehicles (EVs), foldable phones, and advanced appliances. Press Metal already supplies auto brands in China and components for Perodua’s new EV project.

The company’s research and development (R&D) centres in China have enabled it to produce world-class aluminium components, and Koon said this expertise will now be transferred to Sarawak.

“We are not only producing aluminium but producing finished, high-tech aluminium products. This experience will be brought back to Sarawak,” he said.

He also highlighted Press Metal’s GEM green aluminium brand, already supplied to major customers in Europe and Japan, noting strong global demand from data centres, EV manufacturers, and packaging companies.

Despite the monsoon season, construction remains on schedule, with production targeted for March next year.

Koon acknowledged the competitiveness of the solar component of the solar component industry, dominated by large Chinese manufacturers, but emphasised that Press Metal is committed to meeting global expectations.

“The Samalaju downstream plant is expected to become one of Sarawak’s key pillars in the renewable energy manufacturing supply chain, bolstering economic growth and driving the state’s transition into a high-tech, green industrial hub,” he said.