GAC Group VP and GAC International chairman Yu Jun (left) and Tan at the event.
PETALING JAYA: WTC Automotif (WTCA) Malaysia Sdn Bhd today announced plans to set up a RM60mil local assembly programme for China-based automotive brand Guangzhou Automobile Group (GAC) along with more than 70 showrooms over the coming years.During a press conference at GAC Motor's future flagship showroom in Section 13 here, Warisan TC Holdings Bhd chief executive officer Tan Keng Meng said the showroom would be ready by the third quarter of this year.
The announcement was made during a handover ceremony today, which saw 25 units of the brand's GS3 sports utility vehicle (SUV) added to Mayflower Car Rental Sdn Bhd's existing fleet of 50 units.
WTCA is a fully owned subsidiary of Warisan TC Holdings - a member of the Tan Chong Group of companies.
Following the handover ceremony, Tan said WTCA's plans to locally assemble the SUV would see an annual output of about 10,000 units.
"The plant is currently in the planning stage where the model-specific toolings, jigs and such are being prepared and will probably take about a year to conduct," said Tan.
Tan said that the incoming SUV would feature GAC Motor's third-generation 1.5-litre direct-injected turbocharged engine producing 177hp and 270Nm of torque while mated to a seven-speed dual-clutch transmission.
He touted that the SUV would feature "next-generation design cues" as well as a Level 2 advanced driver-assistance system but declined to provide details until closer to its official launch.
For the time being, Tan said that the necessary equipment is currently being brought in from GAC Motor and production is expected to commence around April next year.
"We intend to go as high as possible on the local content - at least above the 50% mark, while also remaining as cost-competitive as possible," said Tan.
"As long as local content is above the 40% mark, we will be able to export the vehicle within Asean, so this is something we are seriously looking at," he added.
With the upcoming assembly plant, Tan said it will be able to produce both left and right-hand drive units.
"Primarily, we are looking at Malaysia first with other countries to come later - subject to discussion with GAC of course," he said.
Tan added the company is also looking to expand its CKD offerings to include more SUVs, sedans, multi-purpose vehicles and electric vehicles.
"Our aim is to hit high volume sales and in order for us to do this, we need a network that will help us achieve it," Tan said.
Currently, there are four GAC outlets located nationwide, including the headquarters in Petaling Jaya as well as Berkeley Garden (Klang) and Bukit Indah (Johor Baru) with another five outlets to open by year-end. — JAY WONG
