The Malaysian Investment Development Authority (MIDA) has organised a localisation programme for automotive industry with the theme “Local2Global” in collaboration with the Malaysian Automotive Association (MAA) at MIDA headquarters recently.
MAA members, Original Equipment Manufacturers (OEMs) and local vendors who were among the participants at the event, discussed among others, initiatives to increase localisation activities that will benefit all stakeholders as well as to encourage more investments in the industry.
Arham Abdul Rahman, Deputy Chief Executive Officer of MIDA, in his speech said: “The Government has always considered localisation as one of the important elements to further develop the local automotive industry. We are pleased to gather a remarkable representation across the automotive industry including both the OEMs and vendors at this platform.
“I believe that through a strong participation between all stakeholders, the efforts towards enhancing the development of Malaysia’s automotive industry can be made possible. We are certainly looking forward to seeing more investments in the industry that brings about the transfer of technologies and expertise creating new capacities and help contribute to the creation of high-value jobs”.
As of 2018, the Malaysian automotive industry has 27 vehicle manufacturers (OEMs)
producing cars as well as two-wheelers and commercial vehicles. It contributes about
RM40 billion or four percent to Malaysia’s GDP, with a workforce of more than 600,000, of which 53,000 for aftermarket establishments, and around 800 for parts and components suppliers.
For the period 2012 to 2018, MIDA has approved a total of 396 projects in the automotive industry with investments worth RM20.5 billion.
“Despite this achievement, there is no room for complacency. Advances in technology, changing consumer demands, increasing competition, rising disposable incomes and the proliferation of brands and products offer today’s industries more choice than ever before. I would like to encourage the auto players to get involved and participate fully from all initiatives undertaken. Companies that thrive in this new world of revolution do not have to be the biggest. They only need to be flexible in customising their products to meet customers’ needs,” Arham added.