CSH Alliance Berhad through its wholly-owned subsidiary and electric vehicle business arm, Alliance EV Sdn Bhd has announced the acquisition of 3 pieces of adjacent land with a total size of 55 acres in Tanjung Malim, Perak at a purchase consideration of RM12 million intended for a local CKD (“Complete Knocked Down”) assembly plant for its electric vehicles business.
AEV has partnered with BYD Malaysia Sdn Bhd which is part of BYD Group, a leading and leading global car and battery maker in the global market-based in Shenzhen, China for the distribution and marketing of BYD T3 model EV. The BYD T3 is a fully electric commercial vehicle ideally suited for use by the logistics and transportation industries.
BYD has appointed AEV as the distributor for BYD T3. AEV will also provide 4S services (sales, service, spare parts, and body and paint services) to customers. The companies have also expressed their intentions to explore commissioning a local CKD assembly plant for the EV in Malaysia to support local businesses and create employment opportunities for Malaysians.
“The land acquisition is also part of AEV’s strategic efforts in meeting MITI requirements to have CBU (“Complete Built Up”), CKD, and local assembly plant in the car manufacturing sector. We are preparing this requirement in advance.
The land in Tanjung Malim which is adjacent to the Proton City is part of CSH strategic plan for developing the CKD assembly plant in Malaysia.
The group views the land acquisition to enable the commencement and ensure the growth of the EV business it added that it may offer flexible financing schemes to transportation and logistics entrepreneurs/companies to fund the purchases of EV and/or working capital.