|
Getting your Trinity Audio player ready...
|
A significant leap in the automotive industry has been unveiled with the commencement of an automotive manufacturing facility in Melaka, a region known for its burgeoning role in the global shift towards sustainable vehicles.
The initiative, driven by a Main Market-listed company, demonstrates a profound commitment to establishing a manufacturing hub for energy-efficient vehicles (EEVs) and electric vehicles (EVs) in Malaysia, contributing substantially to the worldwide sustainability drive.
The facility will take shape in multiple phases at the HICOM Pegoh Industrial Park, backed by an investment exceeding RM100 million. It is anticipated that this project will generate around 1,000 employment opportunities in Melaka, further solidifying the state’s significance in the regional and global EV industry landscape. Upon its completion, the initial phase of the new facility is set to have the capacity to produce up to 30,000 vehicles annually.
The inauguration event was attended by the Chief Minister of Melaka, alongside the Senior Executive Director, Investment Policy Advocacy of the Malaysian Investment Development Authority (MIDA), representing the Chief Executive Officer of MIDA.
The CEO of MIDA stated that the move underscores the nation’s cutting-edge capabilities in automotive manufacturing, with a specific focus on EEVs and EVs, aligning seamlessly with the Low Carbon Mobility Blueprint (LCMB), National Automotive Policy (NAP) 2020, and Malaysia’s New Industrial Master Plan 2030 (NIMP 2030).
These policies are deeply rooted in capitalising on the growing opportunities in ESG-sensitive markets and swiftly embracing technology to enrich the technological ecosystem of the manufacturing sector while staying committed to sustainable transportation.
The CEO of the company expressed enthusiasm about the initiation of the inaugural automotive manufacturing facility, emphasizing the pivotal role it plays in the broader vision of establishing a comprehensive 360° supply chain for Malaysia’s EV market.
The strategic collaboration with the group’s partner will result in the development of an advanced EV manufacturing facility in Melaka, ushering in a new era of growth. Furthermore, they eagerly anticipate partnering with an esteemed customer to bolster Malaysia’s position as a central hub for EVs and EEVs within the ASEAN region.
This achievement cements the strategic partnership between the company and its partner which is a major player in China’s automotive sector. The Memorandum of Understanding (MoU) signed with the China-based company in August 2023 paved the way for local production of its BJ40P and X55II sport utility vehicles (SUVs), right-hand drive (RHD) internal combustion engine (ICE) vehicles, and EVs.
In an important development, the company obtained approval for a Manufacturing License from Malaysia’s Ministry of Investment, Trade, and Industry (MITI) in July 2023, enabling the manufacture and assembly of four-wheel EEVs, EVs, and electric commercial vehicles.
Malaysia has succeeded in securing RM26.2 billion in approved investments for the EV sector through 59 projects from 2018 to 1H2023. The government, through MITI and MIDA, remains dedicated to facilitating investment opportunities and fostering growth in the rapidly evolving EV automotive sector.
This venture underscores the synergy between technological advancements and sustainable transportation, positioning Malaysia as a dynamic force in the global automotive industry’s evolution towards EEVs and EVs. The project is set to catalyse technological innovation, economic growth, and employment opportunities in the region, aligning perfectly with Malaysia’s aspirations for a sustainable and technology-driven future in the automotive sector.
OpenGov Asia recently reported that, in Singapore, A*STAR unveiled an Electric Vehicle Battery Testing and Disassembly Line that revolutionised battery circularity with advanced digital solutions, prioritising sustainability and safety. This project, located within ASTAR’s Advanced Remanufacturing and Technology Centre (ARTC), is designed to tackle the growing concern of retired electric vehicles (EVs) batteries, which are expected to accumulate in the wake of electrification.
The Electric Vehicle Battery Testing and Disassembly Line in Singapore and the EV Manufacturing Facility in Malaysia both reflect the region’s commitment to electric mobility and sustainability. These initiatives represent the growing ecosystem supporting the electric vehicle industry in Southeast Asia, fostering innovation, environmental responsibility, and economic growth.
