Perodua Planning Local Assembly Of EVs With Daihatsu

In line with the Malaysian government’s plan to obtain carbon neutrality by the year 2050, Perusahaan Otomobil Kedua Sdn Bhd (Perodua) intents for the local assembly of EV models in collaboration with its Japan-based partner, according to Perodua president and CEO Datuk Seri Zainal Abidin Ahmad.

According to Zainal, the automaker is considering several strategies to produce the vehicle and deliver it to the mass market with affordable price while also modernising the Malaysian automotive ecosystem and enhancing the vendors' capacity to produce EV-related parts.
He told The Edge that he does not currently see EVs as a threat to ICE cars, but rather as an addition to them, despite the fact that EV growth is outpacing that of ICE growth.

“To overcome this, we are actively working to bridge this gap with the full support of our partners. We are confident that we will be able to produce something in the near future,” he told The Edge.
Numerous incentives for EVs were introduced in Budget 2022, including the elimination of excise and import taxes. The incentives have made it possible for foreign EV producers to offer their brands at competitive prices in Malaysia, including Tesla and BYD of China.

To protect the local auto manufacturing industry, the imported EV cannot be priced below RM100,000. As a result, the least expensive EVs currently available are just above RM100,000.

This condition is specifically listed for imported EVs under the ministry of investment, trade and industry’s (MITI) guidelines on franchise approved permit (AP) requirements for 2023.
Perodua EVs may be priced below the RM100,000 mark if it is able to manufacture and assemble EVs locally in partnership with Daihatsu Motor Co Ltd. However, Daihatsu, which is a wholly owned subsidiary of Toyota Motor Corp, does not yet have a fully electric vehicle.
Proton Holdings Bhd, Perodua's nearest competitor in the domestic market, has a partner in Zhejiang Geely Holdings Group Co, which has EV models. Geely intends to invest RM5 billion in Tanjung Malim, which industry officials believe will be used to manufacture EVs.