EVE Energy Co Ltd (EVE), a global leader in energy solutions and sustainable technology has announced a substantial investment of up to USD422.3 million to establish a cutting-edge manufacturing facility in Kulim, Kedah.
This facility will play a pivotal role in the development of an international cylindrical battery industrial park, enhancing Malaysia’s sustainable ecosystem and driving forward technological advancements.
This achievement is made possible through the collaborative efforts of EVE and Pemaju Kelang Lama, who provided the land for this transformative endeavor.
Minister of Investment, Trade and Industry Tengku Zafrul Tengku Abdul Aziz firmly believes that Malaysia has the potential to emerge as a pioneering force in the electric vehicle (EV) market within the region.
The battery industry is an indispensable component in transitioning towards a sustainable future by electrifying transportation and balancing power grids. EVs are the intuitive solution for low carbon mobility and zero emission vehicles.
Furthermore, the nascent global EV industry provides significant room for growth, particularly in Southeast Asia which has plenty of potential as both a manufacturing hub and market for EVs.
“Mordor Intelligence estimates that the ASEAN electric vehicle (EV) market is estimated to be worth nearly USD500 million in 2021, and is forecast to grow to USD2.7 billion by 2027 with a compounded annual growth rate of almost 33% (32.73) for the period (2022-2027),” said Minister of Investment, Trade and Industry Tengku Zafrul Tengku Abdul Aziz who witnessed EVE sign the memorandum of understanding.
The upscaling of production capacity presents a unique opportunity to eradicate vehicular CO2 and NO2 emissions while concurrently generating substantial value for manufacturers, thus, creating an abundance of new job opportunities and significantly bolstering national economic growth, marking a transformative leap towards a greener future.
This significant investment by EVE is expected to generate approximately 600 new high-quality and high-skilled job opportunities for Malaysians, as aspired by the National Investment Aspirations (NIA), contributing to the growth and prosperity of the nation.
“The decision by EVE to invest in Malaysia underscores their confidence in the country’s skilled workforce and technological expertise, positioning Malaysia as an attractive destination for global investors,” said Zafrul, adding that with the establishment of EVE’s 53rd manufacturing plant, Malaysia is poised to strengthen its sustainable ecosystem and make great strides towards a brighter and more prosperous future.
According to Zafrul, the government is committed to developing the automotive industry as a strategic economic sector that opens up numerous precision engineering opportunities.
Established automotive-producing countries have demonstrated the significant impact this industry can have on job creation and the development of a skilled workforce, as well as creating numerous business opportunities for Small and Medium Enterprises (SMEs).
Further, opportunities abound in the areas of renewable energy, energy efficiency, energy storage systems, and support services for EVs, such as EV charging stations, operations and maintenance.
Zafrul said MITI is seriously looking into policies that will support these sectors, to ensure Malaysia’s EV ecosystem is complete and fully supported, including standards, certification and verification related to charging systems, battery disposal activities, battery swapping, wireless charging, and others.
“Building upon Malaysia’s position as one of the leading electrical and electronics (E&E) manufacturing hubs in Southeast Asia, we are serious about leveraging on our position. We have an established ecosystem, backed by solid R&D and standards facilities (through agencies such as SIRIM), as well as an established components’ sub-sector that could service the whole EV value chain, comprising semiconductors, sensors, automotive electronics, transceivers, batteries and auto assembly,” said Zafrul.