AAE Expands into Southeast Asia with Acquisition of Setsu Precision Technology in Malaysia
AAE, an international, family-owned high-tech company based in Helmond, is taking another step in its global growth strategy with the acquisition of Setsu Precision Technology in Klang Valley (Kuala Lumpur), Malaysia. AAE is also preparing to relocate to a modern manufacturing facility of approximately 10,000 m² in the Klang region to support the further growth and development of its activities in Southeast Asia.
Closer to our customers in Southeast Asia
The acquisition aligns with AAE’s ‘local for local’ strategy. AAE aims to establish its manufacturing and automation operations on the continents where its customers, markets, and supply chains are located.
This approach combines the technological expertise of an international organization with the flexibility and commitment of local teams and a strong local supply chain. As a result, customers worldwide can rely on the same quality, innovative capabilities, and collaborative approach.
“When we expanded into North America two years ago, we knew our ambitions went further. Our customers operate globally, and we want to be able to support them wherever they are. With Setsu Precision Technology, we are welcoming a team of highly skilled professionals who provide a strong foundation for our future in Asia. I am incredibly proud that we can now build our own organization in this region as well. Together, we will develop AAE Southeast Asia step by step, driven by the same entrepreneurial spirit that has defined AAE for the past 50 years.”
International Growth on Track
In 2024, AAE took its first major step outside Europe with the acquisition of Solara Automation in Morrisville, North Carolina. At the time, expansion into Asia was already announced as the next phase. This latest acquisition now brings that ambition to life. Setsu Precision Technology immediately becomes part of AAE Group and will eventually operate under the name AAE Southeast Asia (AAE SEA). With operations in Europe, North America, and Southeast Asia, the foundations of AAE’s international growth strategy are now in place.
The regional operations are given the freedom to pursue local entrepreneurship and respond to market developments. At the same time, they share knowledge, technology, processes, and best practices. This global collaboration strengthens each individual operation and enables AAE to better support its customers locally. AAE’s people-centered culture provides the common foundation that connects them all.
Our global footprint
-
AAE EuropeHelmond, the Netherlands -
AAE North AmericaMorrisville, North Carolina -
AAE Southeast AsiaKlang, Malaysia
A Strong Foundation in Southeast Asia
The strategic decision to expand into Southeast Asia is driven by the region’s central location, proximity to international customers, strong industrial ecosystem, and availability of technical talent.
Setsu Precision Technology has nearly 30 years of experience and specializes in high-precision machining. It manufactures complex components in small production runs for international customers, including those in the semiconductor industry, industrial automation, and advanced machinery manufacturing.
The combination of this expertise, existing manufacturing capabilities, and knowledge of the local market makes the company a valuable addition to AAE’s international organization.
Building the Future of AAE Southeast Asia
The ambition is to develop AAE Southeast Asia into a fully established pillar of the global organization over the coming years, using AAE Europe as a blueprint. This development will build on AAE’s combined strengths as a Contract Manufacturer and AAE Automation’s position as an OEM.
AAE will immediately begin expanding the existing capabilities to include the manufacturing of complete high-tech systems and modules. To support this, cleanroom and assembly capabilities, including qualification, will be added. AAE will also focus on cleanliness manufacturing and further automation of the existing manufacturing facilities.
In addition, New Product Introduction (NPI) and co-engineering capabilities will be integrated, enabling AAE to support its customers from initial product development through to series production. Local supply chain management will also be further developed to serve customers in the region effectively.
The new manufacturing facility will provide the space needed to further develop these capabilities and expand production capacity, in line with AAE’s ambitions in Southeast Asia.
“Becoming part of AAE marks the beginning of a promising new chapter. The mutual trust and shared ambitions between our organizations provide a strong foundation for the future. For me personally, this is much more than just a change in ownership. It is an opportunity to see something we have built over many years become part of a larger high-tech organization and to continue contributing to its development. I look forward to the opportunities this will create for our people, our customers, and the entire AAE Group.”
Global Organization in Place
With the expansion into Southeast Asia, the foundation for AAE’s global organization is now in place. Over the coming years, the focus will be on further developing and strengthening its international operations. By manufacturing closer to customers and leveraging local supply chains, AAE also aims to reduce transportation distances and minimize its environmental footprint.
The acquisition of Setsu Precision Technology therefore marks a special milestone in the year of AAE’s 50th anniversary, and another step toward its ambition to be ‘Best for the World.’