Perodua and P2SA supports MITI’s clarification on automakers


RAWANG: Perodua has welcomed the clarification by the Ministry of Investment, Trade and Industry (MITI) regarding its position on the National Automotive Policy (NAP) and its intended purpose which is to encourage investment that will benefit the country.

The national automaker said, "By having guidance in accordance with NAP, the automotive industry's ecosystem will be further strengthened and creates significant economic spillover, ultimately fostering shared prosperity for all stakeholders."

"This includes long-term sustainable employment, investments in infrastructure, human capital enrichment, research and development (R&D), commitment towards technology and technical sharing as well as development of local entrepreneurs involving local vendors and dealers."

Perodua pointed out that through the NAP’s Next Generation Vehicle (NxGV) vision, Malaysians will see greater value and innovation in mobility.

"Such benefits include wider range of services offered by the players that suit customer preferences, add-on mobility services such as enhanced safety and mobile integration features leveraging on Internet technology."

Meanwhile, the Perodua Suppliers Association (P2SA), representing the extensive network of local automotive component manufacturers, also expressed its full support for the recent statement by MITI regarding the conditions set for new completely knocked down (CKD) entrants.

The association said it applauds the government's commitment to a clear policy for the automative industry.

"By applying high-volume assembly conditions consistently across all brands-regardless of their country of origin-the Ministry is ensuring that the growth of the electric vehicle (EV) sector does not come at the expense of the existing local ecosystem. Our members are ready, eager and will continue to embrace the transition to E-mobility."

"MITI's stance protects the years of investment we have poured into local industrial capacity and technology while encouraging new players to integrate with Malaysian suppliers. This approach ensures that local assembly translates into genuine high-value economic spillover for Malaysians, rather than just a final-touch process," said the association.

The Ministry of Investment, Trade and Industry (MITI) had recently clarified that it imposes no isolated unfavourable conditions on carmakers.

A Bernama article had noted that this follows reports that Chinese electric vehicle (EV) manufacturer BYD is re-evaluating its plans for a local completely knocked down (CKD) assembly plant in Tanjung Malim, Perak, claiming that the government has imposed unfavourable conditions for the carmaker.

MITI Minister Datuk Seri Johari Abdul Ghani said the attached conditions are non-discriminatory and are applicable equally to all high-volume automotive assembly projects regardless of brands and countries of origin.

"This is designed to ensure local assembly capacity moves toward sustainable, higher-value market segments and to avoid displacement of the established vendor ecosystem," he said in a statement.

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Autos Perodua