EPG Modular Data Center has completed the structural topping-out of its $120 million manufacturing complex in Johor, Malaysia, advancing plans to produce prefabricated data centre infrastructure and associated electrical equipment for international projects.
The factory is being developed at Senai Airport City within a Free Industrial Zone and will occupy approximately 107,450 square metres, including 70,000 square metres of production space. EPG expects construction to be completed during the first quarter of 2027.
The company anticipates employing more than 800 people locally when the facility reaches full operation. The employment figure is a forecast for the completed factory rather than the number of positions already filled.
EPG confirmed the construction milestone on 6 November, following a ceremony at which the final structural beam was raised. Representatives from the Johor state government, Senai Airport City, financial institutions, customers and other business partners attended.
The development forms part of the manufacturer’s plan to expand production closer to customers in Southeast Asia. It will increase the company’s capacity to manufacture modular data centre systems while bringing several supporting equipment operations into the same industrial complex.
The master plan provides for five buildings covering sheet metal production, power transfer unit products, diesel generator manufacturing, final assembly, and research and office functions.
Products will include modular data centre shelters, generator sets and power transfer unit modules. These components form part of the infrastructure used to house computing equipment and provide the electrical systems necessary for its operation.
Modular data centres use prefabricated structures and equipment assemblies that can be manufactured away from the final installation site. Depending on the project, modules may accommodate computing hardware, power distribution equipment, cooling systems or other infrastructure.
Producing these assemblies within a factory allows portions of the project to be manufactured and tested under controlled conditions before being transported to the installation location. Civil works and other site preparations can proceed separately, subject to the project’s delivery sequence.
The effectiveness of this approach depends on the extent of prefabrication, transportation constraints and the work still required after delivery. Large modules must be designed for lifting, handling and movement, while electrical and mechanical interfaces must be compatible with the systems installed at the destination.
EPG’s proposed production arrangement brings the manufacture of shelters and selected power equipment into one complex. This could allow mechanical fabrication, electrical assembly and testing activities to be coordinated within the same manufacturing programme.
Power distribution is a substantial part of a data centre installation. Computing equipment requires an electrical supply capable of supporting the expected load, with protection and switching arrangements designed for the particular infrastructure.
Power transfer units can be used within arrangements that manage connections between electrical sources or distribution paths. Their functions depend on the specified electrical architecture, including the loads, switching requirements and protective systems involved.
Diesel generator sets provide an additional source of electrical power where they are included in the backup arrangements. Their integration requires consideration of electrical capacity, fuel systems, ventilation, exhaust handling and the control equipment coordinating generator operation.
Manufacturing these systems alongside prefabricated shelters can support earlier assembly and verification of selected interfaces. However, final installation and commissioning must still establish that the completed equipment operates correctly within the wider power system.
The Johor facility will incorporate advanced production equipment, including laser cutting machinery, robotic welding and controlled coating processes. EPG intends to use these technologies within production lines designed to accommodate different product specifications.
Sheet metal processing will provide components used in enclosures, structures and other fabricated assemblies. Laser cutting can create defined profiles before parts are formed, joined or prepared for subsequent manufacturing operations.
Robotic welding supports repeated joining tasks where component geometry and the manufacturing sequence allow appropriate automation. The consistency of the resulting joints still depends on material preparation, fixtures, welding parameters and inspection.
Surface treatment and coating operations will provide finishes required for the intended product applications. Their effectiveness depends on preparation of the metal, process conditions and verification of the completed coating.
EPG is targeting an automation rate of at least 80% across its proposed production lines. That is a design objective, with actual operating performance to be established after the equipment has been installed, commissioned and brought into production.
The company has not explained the measurement method used for the proposed automation rate or disclosed the proportion of manufacturing tasks that will require manual work after startup.
Production flexibility is another part of the factory design. Modular line arrangements are intended to accommodate different product types and specifications, although changes between configurations will still require appropriate manufacturing instructions, tooling and quality checks.
EPG also plans to connect the site through digital systems for supplier relationship management, product lifecycle management, manufacturing execution, quality management and warehouse operations.
These platforms manage different parts of the manufacturing process. Product lifecycle systems maintain information about designs and revisions, while manufacturing execution software can record work completed against production instructions.
Quality systems support inspection records and the handling of deviations, while warehouse management provides information about the availability and movement of materials. Coordination between the systems can help maintain consistent product configurations as equipment passes through production.
That traceability is particularly important for modular infrastructure containing components from several suppliers. Electrical assemblies, generators and control equipment must be correctly identified and matched to the specifications of the completed module.
EPG intends to introduce digital twin technology for production visibility and traceability, alongside sensors and real-time alerts supporting equipment and workplace monitoring. The company has not published performance measurements for these systems because the factory is not yet in routine operation.
Alick Wan, founder and chairman of EPG, said the project would bring manufacturing activities closer to customers while strengthening relationships with Malaysian industrial partners.
EPG operates research and development activities in Singapore, Malaysia and Shanghai, supported by manufacturing facilities in Malaysia and China. The new site extends that network with dedicated production space for modular data centre equipment.
The structural topping-out confirms progress in construction, but it does not establish that manufacturing equipment has completed installation or acceptance testing. Production readiness will depend on the subsequent preparation of the buildings, machinery, utilities, control systems and workforce.
The company is targeting completion during the first quarter of 2027. The eventual production capacity and delivery performance will depend on the commissioning of the planned manufacturing lines and the order requirements of customers using the new Johor operation.
