Brazil-ASEAN Technology and Innovation
Brazil-ASEAN and Semiconductors: Unveiling Global South Synergies
Webinar - October 5th, 2023
Current megatrends, such as automation, electrification, and connectivity, share a common denominator: reliance on semiconductor chips. These components have evolved into indispensable elements of strategic significance within our technology-driven society. Projections indicate that the global semiconductor market will reach a global value of 1 trillion dollars by 2029. Demand for chips is continuously surging across all industries, from modern smartphone models to electric vehicles, and semiconductors will also play a pivotal role in the "green economy", as well as for artificial intelligence and 4.0 industry.
The growing importance of chips is evident in daily news coverage. Events like the Covid-19 pandemic and the war in Ukraine have underscored how the shortage of chips can directly impact many sectors of the economy. The geopolitical tensions between the superpowers are intricately linked to the concentration of critical semiconductor production stages among a selected number of players. The technological sophistication involved in semiconductor production poses considerable challenges for developing countries. The constraints to entering this market and/or to improving its position in the global chain are overwhelming and require substantial investments. A potential strategy to address these obstacles is fostering collaboration between Brazil and the ASEAN countries.
The development of the ASEAN semiconductor industry goes back to the 1970s, primarily influenced by the sector's evolution in the USA. Malaysia, for example, emerged as a destination for the relocation of the electro-electronic component production. Attractive factors included lower production costs, especially for labor, along with fiscal incentives, and favorable geographical location. The electro-electronic sector played a fundamental role in Malaysia's economic development, diversification, and industrialization from 1970 to 1990. Despite challenges, Malaysia has remained relevant in the global semiconductor supply chain, particularly in back-end processes such as assembly, testing, and packaging chips. The country is ranked among the top 10 global semiconductor centers and continues to attract multinational investments while developing its own ecosystem. Other ASEAN countries, such as Singapore, Thailand, and, more recently, Vietnam have also seen a growing importance of the semiconductor sector.
While Brazil's market share in the global semiconductor industry is relatively modest, the country was able to establish a research and production infrastructure. Currently, the government is actively encouraging the sector's development as a pivotal component of its "neoindustrialization" efforts, as demonstrated by the recent update and expansion of the Support Program for the Technological Development of the Semiconductor Industry (PADIS). Similar to ASEAN countries, Brazil concentrates its semiconductor processes in the back-end stage. Although less capital-intensive and technologically complex, these stages are crucial for the production process and have a significant impact on the countries' economies, given the industry's high global value.
Since immediately catching-up with industry leaders may not be feasible in the near future, developing countries need to be innovative in order to capitalize on opportunities and carve out niches. Factors such as installed capacity, accumulated experience, geographical location, and skilled human resources serve as enablers in this pursuit. Moreover, ongoing disruptive trends, including geopolitical tensions and the growing importance of environmental and climate change agendas, are further incentives for potential partnerships.
Brazil and ASEAN countries should explore possibilities for collaboration from a Global South perspective. The upcoming webinar serves as a kickoff to promote connections between public and private stakeholders of Brazil and ASEAN as such contact is key to raising mutual awareness and unveiling synergies.
Thursday - 5 October 8am BRT / 7pm MYT
Opening remarks (10 minutes); 4 panels of 20 minutes each (10 minutes for each panelist); Q&A session (20 minutes); and Wrap-up (10 minutes).
8am BRT / 7pm MYT Opening remarks
Ary Norton de Murat Quintella, Ambassador of Brazil to Malaysia
Moderator: Andrew Chan - Director of Malaysia Semiconductor Industry Association (MSIA)
8.10am BRT / 7.10pm MYT Brazil & ASEAN: an overview of the semiconductor ecosystem
Linda Tan - President of SEMI Southeast Asia
Henrique de Oliveira Miguel - Secretary of Science and Technology for Digital Transformation - Brazilian Ministry of Science, Technology, and Innovation (MCTI)
8.30am BRT / 7.30pm MYT Brazil & Malaysia: semiconductors and industrial policy
Uallace Moreira Lima - Secretary of Industrial Development, Innovation, Trade and Services - Brazilian Ministry of Development, Industry, Trade and Services (MDIC)
YB Liew Chin Tong - Deputy Minister of the Ministry of Investment, Trade and Industry (MITI)
8.50am BRT / 7.50pm MYT Brazil & Malaysia: a dialogue on research and development (R&D)
Dr. Iskandar Samad - CEO MIMOS (Malaysian Institute of Microeletronic Systems)
José Eduardo Bertuzzo - Eldorado Institute (Brazil)
9.10am BRT / 8.10pm MYT Brazil & Malaysia: unveiling synergies
Rogério Nunes - President of Brazilian Association of the Semiconductor Industry (ABISEMI)
Dato’ Seri Wong Siew Hai - President of Malaysia Semiconductor Industry Association (MSIA)
9.30am BRT / 8.30pm MYT Q&A session
9.50am BRT / 9.50pm MYT Wrap-up
Vejay Kumar - Vice-president - Smart Modular Technology
Closing remarks
Ary Norton de Murat Quintella, Ambassador of Brazil to Malaysia
10am BRT / 9pm MYT End of the event