Malaysia Is On Track To Become Automotive Hub For Asean Market

In his speech at the 42nd annual general meeting of the Malay Vehicle Importers and Dealers Association of Malaysia (Pekema) here in KLCC, the minister praises the association's commitment to forming a high-value growth ecosystem.

“In a world that is changing towards more sustainable practices, opportunities for growth are expanding rapidly, especially in the areas of renewable energy, energy efficiency and support services for electric vehicles (EVs).

“Pekema’s commitment to innovation and sustainability has been proven via its proactive actions in advancing electric mobility,“ he told Bernama.

Following PEKEMA’s MoU with Dongfeng Motor Corporation (DFMC), Tengku Zafrul said the government welcomes and supports its efforts to step up EV adaptation in Malaysia.

For the record, the association has announced the signing of a memorandum of understanding (MoU) with Dongfeng Motor Corporation (DFMC) in October this year. This will see the launch of Dongfeng’s first right-hand drive new energy vehicle (NEV) in Malaysia sometime in the middle of next year.

The model in question is a compact electric vehicle (EV) that recently made its debut in China; it is also referred to as the Nammi 01 (or S31). With localization in the works, Malaysia will be the first RHD market for the Nammi 01, which will also be a CKD model.
Tengku Zafrul added that open businesses with approved permits (APs) might play a significant role in boosting EV demand and sales in Malaysia.

According to data from the Investment, Trade and Industry Ministry (MITI), open AP companies imported 729 EVs with APs approved by MITI between October 2020 and October 2023. This number, which comprised 196 used and 533 new EVs, made up only 0.23 percent of all the vehicles imported by open AP companies in that period.

Tengku Zafrul also urged Pekema members to benefit from the updated procedures for selecting new franchise AP businesses for electric vehicles.

The government has announced the exemption for fully-imported electric vehicles (EVs) in completely built-up (CBU) form until December 31, 2025. This applies to EVs that equivalent engine capacity remained above 1,800 cubic capacity (cc) for cars and above 250 cc for motorcycles.

He also stated that the government intends to hold a Bumiputera economic congress in January of next year in order to chart a new path for the Bumiputera agenda that is fairer, more equitable, and more inclusive.