Volkswagen to work with DRB-Hicom on CKD project!

Volkswagen to work with DRB-Hicom on CKD project!Volkswagen has shown that its plans to assemble cars in Malaysia need not involve Proton or the national carmaker’s Tanjung Malim plant by inking a memorandum of understanding (MoU) with DRB-HICOM “to collaborate on the assembly and manufacturing of VW vehicles in Malaysia”.

The MoU was signed at Volkswagen Centre Singapore by DRB’s group MD Datuk Seri Mohd Khamil Jamil and Volkswagen’s senior vice president, group manufacturing overseas, Dr Christof Spathelf and its head of sales for China and Asean, Soh Wei Ming.

“This MoU is the culmination of intense discussions and both parties anticipate the production of the CKD models in Malaysia,” Khamil said. He added that the pact also included strengthening Volkswagen’s existing sales activities and market presence in the country. Locally assembled VWs will roll out from DRB’s Pekan plant in Pahang.

The group will also look at engaging the full participation of its component manufacturing companies, in a move to support Volkswagen’s localisation programme, in line with the National Automotive Policy, the DRB boss added.

UPDATE: Three models to be assembled, roll out in Q1 2011. Click here to view post.

Source

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Danny Tan

Danny Tan loves driving as much as he loves a certain herbal meat soup, and sweet engine music as much as drum beats. He has been in the auto industry since 2006, previously filling the pages of two motoring magazines before joining this website. Enjoys detailing the experience more than the technical details.

 

Comments

  • first, no?

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    • losaa on Aug 15, 2010 at 3:17 pm

      time for cheaper Golf GTI!!!!!!!!!!!!!!!!!!!!!!!1

      and cheaper POLO GTI!!!

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  • Will be seeing more VW on the road.

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    • jimmyc on Aug 15, 2010 at 12:31 pm

      hahaha.. golf and scirocco fans better dont hold your breath. maybe the old vw bug and camper will be ckd first.

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    • guest on Aug 16, 2010 at 9:11 am

      hopefully soon

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  • hewyk on Aug 14, 2010 at 3:56 pm

    Brilliant – looking forward to more affordable VW’s on Malaysian roads!

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    • rossi46 on Aug 14, 2010 at 7:00 pm

      Yes…at least more choice than the boring Japs

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    • they wont lower the price, and people still buying Jap end of the day. Look at the Euro depreciation, did those Euro car drop price? They have no marketing/sale strategy, but think people will pay higher to buy the VW logo.

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      • karim on Aug 16, 2010 at 9:57 am

        that’s the power of branding…

        just like people buying underspec toyota’s then cheaper but similar quality protons….

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  • indeed…a very exciting news!…but i guess some party juz got nervous about this news though.
    Cant wait to see the maiden VW CKD!!

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  • Thomas Heng on Aug 14, 2010 at 4:07 pm

    Hope they reduce the price tag even lower after CKD! What project or vehicle that DRB CKD currently?

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  • f10 driver on Aug 14, 2010 at 4:10 pm

    yeah, i like your spirit of never give up. welcome aboard, give us the best of your best to chunk out great deal.

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  • malaysia memang boleh on Aug 14, 2010 at 4:10 pm

    Haha,VW,you’re so funny!

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    • Hm, under the ‘head of sales for China and Asean’, Soh Wei Ming, Volkswagen sales in China soared 38.5%. I don’t think that Soh Wei Ming is such a funny guy… ;)

      Anyway, as all suppliers they usually work with are already here (Denso, Bosch, Continental Automotive, ZF Steerings), it’s good for local economy.

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      • malaysia memang boleh on Aug 14, 2010 at 8:11 pm

        They are funny to me because they’re still comited to increase their sale in Malaysia,and yes they are also No.1 China instead of Toyota.

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        • chaos on Aug 15, 2010 at 1:25 am

          why not ? noticed that contis are coming back in asia recently…..more sensative towards asian market…..why shouldn’t they commit to the best auto market in ASEAN? its better for us…..we ripped of our choice by national cars, national policy and overpriced japanese cars….

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  • This is great news! Beneifts both the auto consumers and national economy!

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    • guest on Aug 16, 2010 at 9:16 am

      cuz here not yet “ask” for salary hike vs. other places :-)

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  • yeah…. at last we will have cheaper vw

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    • Jimmy on Aug 14, 2010 at 11:40 pm

      You think so? Just mark my words. You think they don’t want to earn a lot? VW will only be successful in Malaysia if they follow what Toyota did and does: 1st after-sale service and 2nd resale value. Otherwise VW cars will only be bought by a niche group of people.

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  • Neutral on Aug 14, 2010 at 4:28 pm

    hopefully they will assemble the Vento type in Malaysia !!!!!!!!!!!!!!

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    • DonkeyKong on Aug 15, 2010 at 12:19 am

      Not only assemble it, but also price it to be competitive with the Forte, Vios and City!

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      • matjoe on Aug 16, 2010 at 12:37 pm

        that what i hope too, but i dont think the price will be as same as H & T

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  • kameo on Aug 14, 2010 at 4:40 pm

    the new bmw 5-series ckd assembled in kulim is only marginally cheaper than it’s cbu sibling. don’t expect much when you factor in excise duty and other taxes.

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    • sterling on Aug 14, 2010 at 5:49 pm

      MB’s and BMW’s CKD only slightly cheaper cos there
      is zero local components therefore DRB/VW would
      be able to price their cars lower is they can capitalise
      on this “local – components” loophole !!!

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      • kameo on Aug 15, 2010 at 6:59 am

        we shall see it when the first batch of VWs roll-out of Pekan. marginally cheaper or ‘seriously’ cheap. in europe, they are in the mass-market category, whilst in malaysia they stand alongside their german counterparts – audi, bmw, and mercedes. it’s very interesting to see with the new setup, are their cars going to come-in cheap or still the same as before?

        Come to think of it, Mercedes s-class also assembled there.

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      • yippi33 on Aug 15, 2010 at 1:37 pm

        hopefully they are not as greedy as bm and merc..competitive pricing would definitely ensure higher sales since the quality and technology are on par with the other twos. ..to think of it, they can even assemble audi here since they’re under the same umbrella..

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    • sucks on Aug 14, 2010 at 6:37 pm

      All hail to our Great Gomen and their NAP !!!!

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      • malaysia memang boleh on Aug 14, 2010 at 8:13 pm

        And all hail to our typical Malaysian and their 3rd world mentality.

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        • The Loner on Aug 15, 2010 at 2:33 am

          Really appreciate that. Without that, surely more foreign vehicle with reasonable price will be brought in.

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        • Joseph on Aug 15, 2010 at 8:20 am

          yeah…3rd world mentality, malaysian have such low class taste for cars – Proton. Go VW go!!! You don’t need Proton.

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      • Seriously on Aug 16, 2010 at 8:46 am

        “They” still won’t get my vote.

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    • jamal on Aug 14, 2010 at 6:39 pm

      ckd does not mean as cheap as proton.

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      • Joseph on Aug 15, 2010 at 8:22 am

        that’s the problem with Proton, it’s a cheapo car for cheapos.

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        • watever on Aug 15, 2010 at 1:00 pm

          proton is for those who cant afford expensive cars

          go play with ur ferrari

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        • malaysia memang boleh on Aug 15, 2010 at 2:50 pm

          I thought Malaysian are cheapos too,right?

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  • bystander on Aug 14, 2010 at 5:04 pm

    great! like to know more about it, help us keep track Danny, thanks!

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  • Patriot on Aug 14, 2010 at 5:05 pm

    Our whole automotive policy is wrong. We are still like small kids, assembling cars for
    others. The production cost of bringing all the parts here and then assembling is higher than coming from a complete manufacturing plant. The manufacturer do this
    just to get into a lower tax bracket. Do you really thing a manufacturer will exports cars assemble in malaysia when he can get it from his manufacturing plant eg India at a lower cost.
    End result; inferior and out of date cars at a high price

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    • this y they need good strategies in business…eg if one big boat/ship can bring max 50 car from already cheaper india vendor think how many full car component from india can be fit in same space as full built car in a boat/ship…eg. if 1 kontena can fit 200pieces of front left door…….if they confident can sell 10000car per month..buy component for 10000car sure it be far cheaper than only buy for 1000car component..the more u buy the cheaper it get…..basic in economic..n imagine if shipping cost per car or kontena is rm1000 that rm50000 for 50 car or rm50000 for 50 kontena for 200car with the consideration of electricity cost, salary, water cost, talent, tax etc..practical or not practical i don know la..still make component in malaysia by far can leapfrog that cost with the consideration of cost stated before….minimize cost, max profit, minimize price….wut u think?

      …it hard to become CEO of a company peww!!!

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    • chaos on Aug 15, 2010 at 1:35 am

      Yes. i agree the policy is totally wrong. Too protective and doesnt give rakyat choices but ckd is still better than nothing.

      Business case wise, i do not think it smart to try a complete manufacturing plant unless u can sell around 50,000 units, which is 1/10 of the overall annual auto sales. The national car pulak is not competitive enough, way below par.

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  • Patriot on Aug 14, 2010 at 5:12 pm

    Wrong spelling ; really think and not thing

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  • vyruzj on Aug 14, 2010 at 5:16 pm

    hope dat they assemble the Golf 1.4 TSI here soon…. yummy!

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    • quattro on Aug 15, 2010 at 8:12 am

      price it for rm 80k + ..sure will get my dream car – golf 1.4L

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      • Seriously on Aug 16, 2010 at 9:21 am

        I highly doubt so that it would go that cheap, then they’ll lose all creditabilty of their brand. Here in Malaysia, it has very good prestige… they are not going to let that slip away, they’re definitely going to capitalize on that.

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  • dickybird on Aug 14, 2010 at 5:21 pm

    wow! that golf 1.4tsi we were all drooling over just got cheaper by at least 20k!

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  • mfahd_88 on Aug 14, 2010 at 5:30 pm

    i can smell the presence of vento

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  • my dream of getting cheaper golf
    yeah!

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  • big 3 malaysia automakers on Aug 14, 2010 at 5:55 pm

    then we will hav a big 3 malaysia automakers (proton holding, UMW n DRB-HICOM)

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  • autojohndoe on Aug 14, 2010 at 5:57 pm

    ckd and fully developed in malaysia will have different treat…

    in the auto policy, if they want get lesser tax, they have to manufacture the part locally…
    more investment they make in Malaysia, more tax reduction they get…

    By that, it will totally benefit malaysia… we will have better manufacturing technology… not just skilled worker at shopfloor…

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  • autojohndoe on Aug 14, 2010 at 5:59 pm

    plus, as long as they still bring import parts for the ckd/assembly… the price will not so low as most expected…

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  • fantastic news for the malaysian consumer.one more conti car to choose from.wonder if the sales of CBU VW will be affected

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  • Proton must be kicking themselves for not capitalising the
    proposed JV with VW as they considered it as a threat instead.
    What a wasted opportunity to strenghten their branding globally.
    Let’s see how this DRB/VW deal will work out.
    Proton must be sweating now !! :)

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    • khairibad on Aug 14, 2010 at 8:26 pm

      i don’t know about that. but i read in The Star today, the talk (of MoU) was already in the process months ago but was on hold to give way to Proton coz Proton decided to talk with VW again.

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      • Jimmy on Aug 14, 2010 at 11:46 pm

        This Electron is really gila-babi. Turn here turn there, turn di bawah tempurung.

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      • Joseph on Aug 15, 2010 at 8:27 am

        Proton only knows how to talk-cock, indecisive like a woman at a sale. Cannot make up their mind.

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        • yippi33 on Aug 15, 2010 at 1:50 pm

          thts you actually..

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        • geez... on Aug 16, 2010 at 8:59 am

          you purposely want to bring out the fury from all women out there izzit… we’ll see how many thumbs down u get

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    • yippi33 on Aug 15, 2010 at 1:59 pm

      i think the main problem that is keeping both Vdub and P1 from collabrtg is policy..proton is not a CKD company..what they wanted to do is probably similar to what theyre doing wit mitsubishi i.e lancer..and VW meanwhile is not in favor of that..the difference will make the deal almost impossible..its a different case with DRB..they really are a CKD company and that is why the deal is smooth sailing..

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  • quattro on Aug 14, 2010 at 6:09 pm

    kalau harga golf 1.4 dekat2 155k harap rakyat malaysia tidak tertipu dengan harga CKD. kalau golf 1.4L dalam 80-90k just nice to compete with vios and city.

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  • peYno on Aug 14, 2010 at 6:10 pm

    initially, they wanted proton, then rejected… but they try again then got DRB Hicom
    VW seems desperate wanna buy “malaysian”

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    • Initial R on Aug 14, 2010 at 9:42 pm

      They know malaysia market was strong… However must start with low end first like POLO or Beetle.

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    • DonkeyKong on Aug 15, 2010 at 12:22 am

      Lesser likelihood of worker strikes in Malaysia what.. hardly any union muscle to speak of, and if a well-connected datuk is backing up VW locally, the FRU will be deployed hours before any protesters can assemble!

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  • naiklg on Aug 14, 2010 at 6:34 pm

    I have been expecting this…

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    • chaos on Aug 15, 2010 at 1:42 am

      Me too because we know that drb and proton have been talking to vw since the last 2 years. Doesnt this news shows that PROTON really SUCKS IN NEGOTIATING? like big resources, small brain….

      no offence to dato syed zainal though,,,,throw him away and proton might as well be liquidized

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  • jazni gani on Aug 14, 2010 at 6:34 pm

    hmm not many sales if the car is price more than 80k. whats so special abt VW? the car broke down too.

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    • niamafufu on Aug 14, 2010 at 11:29 pm

      special?not reallt special, but VW car equipped with better gearbox, more powerful and light weighted engine, bttr fuel consumption, bttr interior quality, bttr ride, bttr suspension…dats all the reason VW so popular

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    • quattro on Aug 15, 2010 at 8:21 am

      you did get any experience in golf yet i think

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    • littlefire on Aug 15, 2010 at 8:56 am

      If VW is so louzy, it should not win so many awards for its engine and also good sales in China…

      By the way, people were still driving their old VW beetle, combi & others around this world for so many years without complaining…

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      • ilikeit on Aug 15, 2010 at 11:31 am

        good sales in China coz it’s cheap in china and they own a large share in VW bro….it’s like perodua here in Malaysia…

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        • littlefire on Aug 15, 2010 at 9:06 pm

          If the quality is bad, the Chinese will also choose other brand also right? I dont think VW is the sold car manufacturer in China..

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    • matjoe on Aug 16, 2010 at 12:56 pm

      vw is conti car. if sub dapat turun 10k pun berbanding cbu, org akan consider utk beli

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  • fornette on Aug 14, 2010 at 6:37 pm

    Well there u go.. slightly cheaper VW on our roads.. let’s hope they start with the newly-launched USA Jetta… around Civic and Altis price perhaps??

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  • xavier lert on Aug 14, 2010 at 7:11 pm

    passat CC looks sexier evryday…

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  • mystvearn on Aug 14, 2010 at 7:19 pm

    Golf GTi CKD? VW need to lower their prieces now since the RM is stronger. Giving excuse that it will upset owners who bought their cars earlier is a bit lame

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    • Initial R on Aug 14, 2010 at 9:40 pm

      I think maybe they want bring in POLO since the market for that teen was here….

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  • VW really pushing hard on asia market, Good for consumers like us. Too bad for proton, miss out huge opportunity.. just care about their own pocket and keep sucking our nation money with sucky build.

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    • malaysia memang boleh on Aug 14, 2010 at 8:07 pm

      Change your name too Useless instead of muse,if proton keep sucking our money,we should already die because of no money to buy food.
      And you wouldn’t able to post your comment on paultan too.

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      • mr_3m on Aug 14, 2010 at 10:20 pm

        yeah if proton so good, why bother having discussion to merge with perodua?… that is really really shameful act from proton side….

        actually who’s number 1 now in terms of sales? proton? ahaha.. guess again… really really disgraceful if proton merge with perodua… i like perodua and having proton to merge and suck perodua dry when proton is less profitable of the two is just another disaster waiting to happen… if by early next year, this merger is approved by Cabinet, i suggest Perodua workforce better start looking for work elsewhere lah… UMW-Toyota, Honda-DRB, may be this VW-DRB set-up… or even Naza-Peugeot or Naza-KIA…

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        • malaysia memang boleh on Aug 15, 2010 at 4:47 am

          Perodua is a company under The Big T together with smaller brother D,if PerutDua wanna merge with Proton,what will be the reaction of the the bigger brother of PerutDua,just let their smaller brother go away without anything,and I doubt they will not let go their ‘profitable’ brother just like that,get that?

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        • don u think all the company u said is GLC same as proton? – UMW, DRB, Perodua minus NAZA…..their directors can be transfer betwn GLC, some of their vendor same as proton

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        • peYno on Aug 15, 2010 at 5:35 am

          perodua salesman
          the idea of merging issues is not come from proton.. this is only suggestion .. and its wont gonna happen.. coz perodua is not national car… gov cheat ppl saying perodua is national car.. yeah perodua is jaguh kampung coz they sale downgraded japanase car and u lik eperodua coz u r typical apas wannabe ah beng who cant afford REAL JDM car.. endup with perodua…prrrrtfhhh

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          • dickybird on Aug 15, 2010 at 12:14 pm

            since proton is so great no need to merge lah! tomorrow govt should expect proton to pay in full the excise duty along with all the other socalled national carmakers and we shall see who will be No.1 car maker. Sales figures dont lie and a heck of lot more then ah bengs buy P2. yes P2 might be a perutdua but that is a FAT perut while proton’s perut macam perut kera yang sudah 3 hari tak makan! selalu mengampu and meminta sedekah dari kerajaan macam pengemis. to me they are no different from rent seekers we all despise!

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          • peYno on Aug 15, 2010 at 4:36 pm

            this p2 salesman doesnt even know beroktua also minta sedekah dari kerajaan macam pengemis… that why beroktua got natinoal car title and previleage…coz of that daihatsu interested partner with them…if gov dont give natinoalcar title and incentive to beroktua.. Daihatsu prefer invest in Indonesia.. and yes they have plant in Indonesia indeed

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          • 308_must_buy on Aug 15, 2010 at 9:28 pm

            peyno if you use my tax money to go study in japan, then, i guess u should burn in hell :)

            truly.

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      • Jimmy on Aug 14, 2010 at 11:51 pm

        Lets see the standard of Proton as a car manufacturer when the new Waja Lancer is out for 5 years, to be compared to original Lancer.

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    • Initial R on Aug 14, 2010 at 9:38 pm

      Baseless….

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    • proton not lose anything….either way its still GLC…proton or DRB..

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  • mancoi on Aug 14, 2010 at 7:58 pm

    Any idea which models will be CKDed? If the recently launched Golf 1.4 TSI is priced around RM130K++, and introduce Jetta 1.4 with similar price, H & T can expect lesser sales except from those hardcore uncle2 out there.

    Come on VW & DRB, bring them in fast!!!!!

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  • peYno on Aug 14, 2010 at 8:20 pm

    DRB Hicom also under gov. Finally gov ask DRB Hicom to deal with desprado VW,
    pity DRB Hicom…

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    • ray of light on Aug 15, 2010 at 12:06 am

      Sour grapes for Proton ball carrier, Peyno.
      Proton management attitude is – bodoh sombong & outright arrogant.
      Now they are feeling the heat & soon they will be pleading with PM
      to give them more incentives and protection.
      Syabas !! to DRB for pulling the carpet right under Proton’s feet.

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      • 1 stone kill 2 birds….we don lose proton to foreign company, G get money from DRB-VW JV, hence still proton get some money from G incentive…like perodua-toyota, G get money……last time PROTON-VW more acquisition than JV, DRB-VW more on JV

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      • peYno on Aug 15, 2010 at 5:38 am

        proton must be launghing now… their rejected possible partner now grap DRB Hicom…

        pity drb hicom,,, last2 kawan dgn barang yg dah kena reject

        prrrrfthhh

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        • Joseph on Aug 15, 2010 at 1:13 pm

          in reality, it’s Proton who is ‘barang reject’, rejected by Malaysian, and if Proton is so great, open the flood-gates, remove the tax on foreign cars, you will see outright rejection of Proton.

          The sales Proton is enjoying now is just a mere artificial, since it is not competing at all.

          Pfffh, barang reject

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        • dickybird on Aug 15, 2010 at 2:13 pm

          proton car or vw car? u nak reject mana?! rakyat is laughing now!

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  • Good NEWS.. cant wait to see Polo GTi price in here.. ;)

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    • guest on Aug 16, 2010 at 9:27 am

      surely u all not expecting the vw-ckd to be priced cheaper than other cars here right??

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  • kaiser on Aug 14, 2010 at 9:07 pm

    The polo, which is similar class with city and vios, is currently selling at 108k. With CKD, it will definitely be competitively priced compared to the japs. Honda and Toyota will surely have to do something to counter the germans. Good news for consumers indeed.

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    • VWfan on Aug 14, 2010 at 10:10 pm

      cant wait to have CKD Golf or Polo here in Malaysia, a very big fan of them!

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    • if VW is willing to reduce 20k on its price for CKD Polo to only 88k, then city, vios and all korean makes must have sweat like hell!

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      • BSLee on Aug 15, 2010 at 11:56 am

        Very likely the price will drop to sub 90K…looking @ CKD price and weak EURO.

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      • peYno on Aug 15, 2010 at 5:14 pm

        prrrfthhh
        by that time, ah beng japs wannabe who cant afford REAL Japanese car and endup with asean japs car like vios, city dan myvi will transform to ah beng Conti wannabe…prrrfthhh

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      • Pendapat ke 3 on Aug 16, 2010 at 10:18 am

        20K…..Dreaming lah……..

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  • mr. wiseGuy on Aug 14, 2010 at 9:23 pm

    waaaaaaaa..very2 x sabaq
    when dis gonna happen ?
    vroomm vrooommmm TSI

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  • trav_da_man on Aug 14, 2010 at 9:28 pm

    I’m confused, should i put this as one of NAP success story or yet another example of NAP failure?

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    • feisal on Aug 14, 2010 at 10:26 pm

      Either way, there will always people who will agree with you.

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    • JenggaJengga on Aug 15, 2010 at 1:21 am

      of course it is a success story!! rakyat now can have more option plus it’s bring a healthy price competition among current car manufacturer in our boleh land!

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  • germancarsaresimplybetter on Aug 14, 2010 at 9:42 pm

    VW is not the one that is desperado la, just do a google search on who is selling more cars in China, US and Europe and you will see VW”s figures. Besides the sales figures of VW (not including South East Asia) is so big already. Also, DRB is more willing to partner with VW than otherwise (VW is the no.1 brand in Europe, no. 1 in China and 2nd largest in the world).

    VW just needs a large assemble plant in South East Asia and so happens DRB is the only one that can assemble S Class … so they won the deal la! Proton plant was interesting only because of the high-tech, not the quality.

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    • objectivism on Aug 15, 2010 at 2:26 am

      VW can probably be the number 1 car company in the world.

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      • Tiadaid on Aug 15, 2010 at 5:43 pm

        The VW Group is already the biggest carmaker in the world (VW+Audi & all the other brands they have)

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    • Joseph on Aug 15, 2010 at 1:15 pm

      the only company that is desperate here is Proton, hated by locals, not known in the outside world. The overseas sales can’t even support Proton, continued government via rakyat help and high duty import.

      Proton – no technology, no model, heck no use!

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    • malaysia memang boleh on Aug 15, 2010 at 8:15 pm

      Yeah,and who are still selling old cars in China?

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  • think on Aug 14, 2010 at 9:48 pm

    i think the same plant will assemble audi cars…

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  • Initial R on Aug 14, 2010 at 9:57 pm

    The good news is our automotive industry will rise. POLO will be the first that assemble in Malaysia & the price be lower coz the they supplier already in Malaysia for year already. Some also supply part for Proton. So… anyone get any idea ?.

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  • Yoong Tofu on Aug 14, 2010 at 10:04 pm

    150k for Passat CC 2.0T

    yam yam

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  • Even the drb directors got to go c them in singapore. Vw don’t even bother to ome here to sign the mou. Malaysian love to kiss as#* of the european

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    • objectivism on Aug 15, 2010 at 2:28 am

      you syed zainal?

      that’s called grabbing the opportunity at the first sight. good dato syed zainal your proton just lost a chance to team up with VW as well as the chance to learn so much from the huge car company.

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  • JACk LIm on Aug 14, 2010 at 10:38 pm

    Great move VW… dun blame proton cause they care their own benefit….

    providing smth good to oversea but keeping worst for own malaysian with even higher price comparing oversea? Tht proton vision….

    i cant wait for a waja which costs much higher than the current waja…

    VW going to rules global market.. watch out…

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  • Chief on Aug 14, 2010 at 10:41 pm

    haha… my wish for vw polo 1.2 tsi maybe come true!

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  • bystander on Aug 14, 2010 at 10:47 pm

    very simple to estimate the CKD price – just look at the price change for suzuki swift (also CKD’d by DRB-Hicom) from CBU to CKD back in 2007. You can check out Paul’s post here – http://paultan.org/2007/07/04/suzuki-swift-ckd-for-rm7194350-to-rm7809950/

    quote:

    “The locally assembled Suzuki Swift was launched in 1 Utama today and goes for RM71,943.50 for the normal version and RM78,099.50 for the Swift Premier which includes additional equipment such as leather seats, a sporty bodykit, and VKool tint.

    This is a drop from the previous price of RM89,783.50 and RM94,387.50 for the Swift and Swift Premier respectively. The bigger difference in prices between the Swift and Swift Premier is due to the fact that previously the sporty bodykit was a standard feature on both the Swift and Swift Premier, but now only the Swift Premier has it.

    The Suzuki Swift Sport is also available in CBU form for RM99k to RM104k, but prices have not been finalised.”

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  • 1kereta on Aug 14, 2010 at 10:56 pm

    immediate come to my mind, german made cars means safer cars and less fatal accidents…(if the safety standards unchanged), this give people more choices to pick at rm100k~200k categories.

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  • Anti Proton on Aug 14, 2010 at 10:57 pm

    please no ckd. please i beg you.

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    • littlefire on Aug 15, 2010 at 8:59 am

      If rebadge it, maybe it will be cheaper! Like Naza, Perodua & proton doing it for a long time…

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      • Peter on Aug 16, 2010 at 11:26 am

        VW would not do rebadge one la…

        Why do u think they want crap brands to be paste on their models???

        Wad VW want is to enter our market and flood our market wif their cars but at the same time providing the quality and built of the german brand….

        So CKD is the best option where the brand will be kept

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      • Accord on Aug 16, 2010 at 1:36 pm

        Only Perodua doing that forever….

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  • Tiadaid on Aug 14, 2010 at 11:06 pm

    CKD it might be, but I don’t think the price won’t be much cheaper. Don’t forget, VW had said before they won’t reduce the prices of their cars to protect the 2nd hand value of their old cars

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  • Qwerty on Aug 14, 2010 at 11:22 pm

    According to Bernama, three new models will be assemble

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  • Danny on Aug 14, 2010 at 11:27 pm

    This news might impact current sales trend, as long as the CKD model list not official announce, that will make buyer to hold on decision before comfirmation whice is under CKD model on malaysia….my 0.2 cents

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  • i dont think they will disturb the CBU models like Golf,scirocco 1.4 TSI and the rest. prolly they’ll sell the other models with different type of engines and lower spec. VW second hand value is very high nowadays and they wont spoil that market to make it more attractive to current users and potential buyers.

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  • Great news for malaysians, kudos to DRB-HICOM

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  • mikasa on Aug 15, 2010 at 12:01 am

    most buyer will probably hold their intention of buying newly launch VW car….

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  • FM Radio Streaming on Aug 15, 2010 at 12:09 am

    great news! best news both the auto consumers and national economy!

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  • the more the merrier. competition is always good for consumers. its either the price gets cheaper or the QA gets better or both.

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  • nabill on Aug 15, 2010 at 12:27 am

    i wdnt put too much hope , on too many occasions we were promised cheaper prices bcos its gonna be locally assembled , thn final product will be ONLY marginally less expensive than imported models ,very negligible , i lost hope long time ago , bt VW plans is not really the local market BUT the entire southeast asia market…

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    • MoFaz on Aug 15, 2010 at 4:13 pm

      true, it only get a lot cheaper if VW use more local produced parts.

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  • VW Golf 1.4 TSI (CBU) price wud b $156k. How much cheaper would CKD unit be?

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    • Seriously on Aug 16, 2010 at 10:31 am

      I’m guessing RM120k? they’ll be up against the Pug308 turbo, in terms of torque but they lack cabin space, although they have brand power to reassure that kind of price. Hmm.. it’ll be a close call.

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  • blastcpu on Aug 15, 2010 at 12:40 am

    Great! More choices for consumers here in Malaysia. Expect the Polo 1.2 TSi to be priced around the Sub RM90K region!!

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  • Success of the NAP. Hail the policy!
    Getting two rabbits with one hunter.
    First Peugeot, now VW.
    Surely more will come after this.
    VW is the trump card.

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  • skatax on Aug 15, 2010 at 1:57 am

    with the introduction of soon-to-be CKD’ed VW in our market, i think the most obvious party to reap the benefit would be khazanah, since they take control of the malaysian automotive GLCs: proton, perodua, UMW toyota and of course DRB hicom. currently T and H is the dominant non-national sales leader, and looks like VW would soon follow closely behind. more good news for DRB now as their stock shares would surely go skyrocket for the next few weeks!

    just to list up several CKD cars under DRB:
    1. Isuzu D-Max
    2. Honda City
    3. Suzuki Swift

    p1 and p2 need not to worry though, since these car makers could only provide cars affordable enough for mid-to-high income earners. i just wish p1 and p2 would take this as a positive measure by providing better cars with better quality for low income ppl from now on. issues regarding the ‘infamous’ power window (waja, persona), squeaking and rattling sounds (had in my previous 3-yr old myvi), etc., etc., should be left behind by now.

    i think brand loyalty is what p1 and p2 desperately needs now, to compete with non-national car makers; and they need to act fast. if not, p1 and p2 won’t be having repeated customers in future, esp. when young grads planning to upgrade their first car knowing there are better cars offered out there.

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    • Why all peoples keep saying drb is a glc? Majority shareholder is ts mokhtar.

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  • Pendapat ke 3 on Aug 15, 2010 at 2:06 am

    Yeahhh….can change my Myvi to Scirocco…..hope for the cheaper VW…maybe…

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    • _piko on Aug 16, 2010 at 12:51 pm

      giler…
      Myvi 45k++
      Scirocco ckd for sure 200k doh…
      skrang nih pun ko mampu myvi je..

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    • matjoe on Aug 16, 2010 at 2:17 pm

      maybe myvi u leh upgrade jadi polo1.2. scorocco kalau ckd pun lek kurang barang rm20k jer

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  • DRB get their hands on VW? Proton didn’t get the deal? As regular rakyat, this is all bullshit. Whether VW (or any other manufacturer) fell on the laps of Proton, DRB or Naza there are all from the same group called; Crony. They are taking Malaysians for a joy ride. The monopolizer of our car industry. The development retarder of our local car industry. Its like mythological beast of Hydra; the seven headed serpent. Slay one of the head it will keep on growing. The root of all evil must beheaded in the next general election if Malaysians wanted to be freed from this chain of lies and deceit!

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    • MoFaz on Aug 15, 2010 at 4:10 pm

      see.. u always negative.
      most people here don’t like you.. so, leave!

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    • want cheap cars on Aug 15, 2010 at 10:07 pm

      then just close proton.. abis cerita

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    • feisal on Aug 15, 2010 at 11:04 pm

      Those are the GLCs where the govt have a say. In Malaysia economy, that is not really a bad thing. Where the govt have a say, the people will too. If the govt don’t listen, then the people can change the govt (in the next election?). Then the new govt can also have a say. If its a purely private business entity, they couldn’t care less.

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    • autojohndoe on Aug 16, 2010 at 1:01 pm

      eh… no more power windows from you?

      thats weird….

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    • Man, u’re really a hater. Cherish your life for it is short.

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  • chuakz on Aug 15, 2010 at 3:13 am

    I think the 3 models mentioned might be the jetta, polo and golf gti (its the most popular vw in M’sia)…

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  • i dont think they will be CKD high end model like golf GTi, passat, eos and toureg for atleast couple of years down the road.. maybe starting with polo

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    • yippi33 on Aug 15, 2010 at 2:08 pm

      well….seeing the capability of DRB to assemble Merc, they would be a fool for not assembling their high end models here…

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  • malaysia memang boleh on Aug 15, 2010 at 5:03 am

    Don’t talk much about VW,in China,they’re still building cars that was introduced in the 80’s,how cool is that,the old Saga is not as old as that car.

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    • senpai on Aug 15, 2010 at 11:54 am

      in mexico they just recently phase out the production of hitler inspired VW bettle, and VW campervan is still in production. both of these models have been around more than the age of proton.

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      • Yes, you maybe right BUT the demand for campervan Type 2b still there. If VW can produce Type 2a even have more demand for that type of classic. Saga not classic. Open your eyes bro; check with VW magazine how much type 2a/b especially the older Type 2a.

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        • learner on Aug 16, 2010 at 12:13 pm

          yes, but how to become classic if people here in malaysia say saga/iswara already service too long in the market until have to be phased out after 23 years in production. if P1 still manufactured saga/iswara for another 27 years sure classic also right?

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  • elite on Aug 15, 2010 at 5:27 am

    in other news, loser proton is trying to kill off the competition..

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  • MasaDahTime on Aug 15, 2010 at 9:46 am

    I hope the price will be affordable for low salary consumers..

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  • I guess VW will assemble:
    1: JETTA 1.4TSI 122ps rather than 160ps initially as the 160ps maybe will reserved for CBU or otherwise it will create dissonance among earlier buyers of Golf 160 & Scirocco 160. Without existing buyers happy how could VW will follow T footsteps? A made in Puebla, Mexico sedan is obvious choice since VW need a contender for Civic market (Altis presence now less important). Price it around RM115-125k.

    2: GOLF 1.4TSI 122ps. It will not cannibalized CBU 1.4TSI 160ps RM155,888. If they do not too greedy, easily priced circa RM120k or lower than booted- Jetta. 1.4TSI 160ps and 122ps sipped same amount of fuel but the higher horsepower too sweet in acceleration department as well as speed. A 1.2TSI also decent choice as long as there are balance between price-power-MPG,

    3: VENTO a booted Polo with more basic stuffs than CBU of South Africa Polo 1.2TSI are more sensible with price within the Vios-City region (handsome profit for VW-DRB since the price is affordable and can be volume seller in sedan-preferred market. RM80k price tag with no DSG tranny.

    Once established, VW must assemble or at least offer 5-seater Passat CC 1.4TSI with 160ps and priced it competitively around Camry at RM149,888. Most beautiful VW so far.

    VW must have upper hand in deciding OEM for localized parts, or facing peril of Proton-in-quality issues.

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    • likehondanotsomuch on Aug 15, 2010 at 1:25 pm

      urghhhhh,,,,anything new?

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    • powtan on Aug 15, 2010 at 4:50 pm

      well said

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    • Sorry, they won’t assemble any of this cars.

      Just have a look at the gouvernments MITI webpage:

      Quote: “Specifically, the new policy will lift the freeze of new ML on:
      luxury passenger vehicles with engine capacity of 1,800c.c and above and on road prices not less than RM150,000;”

      http://www.miti.gov.my/cms/content.jsp?id=com.tms.cms.article.Article_9971dce0-c0a81573-3edb3edb-686eb8ad

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    • matjoe on Aug 16, 2010 at 2:20 pm

      aku percaya dgn prediction karl.

      something yg affodable for bolehland market

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  • Maybe with Vento?

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  • umno juara tipu rakyat on Aug 15, 2010 at 12:03 pm

    VW vento is coming!!! :D

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  • Vincent on Aug 15, 2010 at 12:52 pm

    under the hand of DRB Hicom, you will have to expect the quality of P1. Look at H brand in bolehland….after changing hand from boon siew to DRB, so many quality issue of civic, and now accord.

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    • Rambo Ramsey on Aug 16, 2010 at 12:56 pm

      Clearly you havnt see the ‘quality’ and the ‘accessories’ coming from Kah. They practically kill Civic and Accord by themselves (who can forget the massage chair), and later the Sonata and Accent also by themselves.

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  • If you don’t realized, most foreign manufacturer has already go under their umbrella. So you think they will cut price between? think again.

    Its all about controlled resources and sell high.

    Rakyat will be paying higher price for car down the road. Regardless of who win next GE, since all manufacturer are already “signed” under the putras company.

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  • Andrew on Aug 15, 2010 at 2:09 pm

    don’t hold your breath just yet… it may not be anything for the masses. if i remember the NAP correctly, licences for the production of cars <1.8l has been frozen, so you won't see anything that directly competes with the p1 or p2, so that leaves the vw golf gti 2.0 (very likely as it is the best selling) and they need to have local volume to ckd the cars (i think circa 4000 units was mentioned before), perhaps the passat 1.8-2.0 and the tiguan 2.0/touareg 3.0. of course nothing is impossible if you are Naza… since for them anything goes.

    either way we will be seeing more vw on the roads!!

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  • Dr. M on Aug 15, 2010 at 2:55 pm

    Hi, this is Dr. M

    I will make sure my boy at MITI to impose high tax on those so called CKD Euro brand cars.
    Coz my baby P1 need to make as much money before it close down lah.

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    • Seriously on Aug 16, 2010 at 10:34 am

      Well then, I’ll vote against your boys!

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    • Hai Dr M!

      Ehem, I think your son has a better taste in cars compared to you… ehem Porsche? :P

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  • powtan on Aug 15, 2010 at 4:51 pm

    welll said

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  • VW 88 on Aug 15, 2010 at 4:54 pm

    http://www.bernama.com.my/bernama/v5/newsindex.php?id=521283

    DRB HICOM may be the export base for the whole ASEAN region…. economies of scale may make VW cars even cheaper !

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  • skiborne on Aug 15, 2010 at 5:38 pm

    YES! kill those protons! shine us with german engineering!

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  • mekmek on Aug 15, 2010 at 6:20 pm

    how about Amarok for east m’sian? hope they will assemble it too. should be the cheapest VW model no?

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  • nvm.. proton will be join venture with p2.. that enough already

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    • Pendapat ke 3 on Aug 16, 2010 at 10:28 am

      if the P1 top management still Dato2 with sempit mind…..join venture?? dreaming lah….

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  • squawk on Aug 15, 2010 at 9:15 pm

    I have reservations about DRB handling this. They’ve screwed up many brands under their wing. Hope the Germans keep a closer watch on them.

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  • RedLine on Aug 15, 2010 at 9:43 pm

    This is good news. Hopefully they will CKD the VW Touareg SUV and make it more affordable compared to the current prices.

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  • p1basher on Aug 15, 2010 at 10:22 pm

    wow that leave p1 surrounded by so many ckds, already difficult to move forward some more got so many challengers coming.

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  • Better get ready with cash and get the CBU version now as they might screw up the first batch and maybe for a higher resale value .

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  • good move from VW..keep us waiting the CKD version..

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  • Pendapat ke 3 on Aug 16, 2010 at 1:11 am

    Conclusion……..VW price still high……aiyaaa

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  • azrai on Aug 16, 2010 at 7:47 am

    So it’s najib plot to make sure Proton dail in VW talks and asked proton to merge with Perodua while he ‘coincidentally’ using Syed mokhtar bukhari’ DRB-HICOM to JV with VW to make new plant in his own contituency Pekan. Clever. I wonder who gave the loan for this JV, maybe his brother in CIMB.

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    • azrai on Aug 16, 2010 at 7:49 am

      VW will only CKDed 1.8l car only due to NAP.

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      • Peter on Aug 16, 2010 at 11:28 am

        VW has 1.2, 1.4 l turbo engine…

        My guess is, VW would rebadge models having these engines….

        But CBU with models with 1.8l turbo engine….

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    • azrai on Aug 16, 2010 at 8:12 am

      Three VW models to be assembled
      Posted by: G Wong
      Three new Volkswagen models are expected to be produced at the DRB-Hicom plant in Pekan, Pahang.

      Prime Minister Datuk Seri Najib Tun Razak said assembling of CKD vehicle components of the German marque would see the vehicles roll out of the plant by the end of the first quarter next year.

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    • Accord on Aug 16, 2010 at 1:41 pm

      ISA…

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  • Locally assembled unit shall be lower in quality as well…my guest they will leave out some NVH items such as noise insulator or some function as to reduce cost even further so that they can sell at competitive price amongst other locally assembled vehicle. This is due to high structure of local tax. They will choose some items to cost down which our local people have no or minimum complaints such as road noise, rattling noise, bumpy absorber, rain noise, etc.

    We already see the result from Mercedes whereby locally assembled is far more inferior with many unproductive local parts. Yep…thay got standard but can these local vendors produce parts up to their standard? I really doubt it since these vendors also supply same locally made parts to local manufacturer.

    Anyhow, I strongly encourage for them to open assemble factory here since this will spice up our competition and help our local manufacturer to improve their quality to meet customer satisfaction. Nowadays, customer expect more…so, they should deliver.

    I still can’t opt to purchase any other brands except P1 and P2 since they are the only one who is within my budget…so sad…

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    • Jaybond on Aug 16, 2010 at 9:58 am

      If we talk whether local vendors can meet the high standard set by the European manufacturers or not, it depends on the type of parts. In most cases, European brands rarely would allow to do ‘actual’ localization (produced from raw material locally) for expensive/technical parts, but seat is usually allowed. Normally, local vendors will import those parts from the original or principle supplier in Europe, and then they just do assembly based on the required standards.
      Insulators are among the cheapest parts, not too much cost impact if they take out the NVH (I doubt it will be allowed, as ride quality is also very important for German brands).

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  • Why launch the 1.4 golf, 1.4 sirocco & polo now and then come out with this news??

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    • MoFaz on Aug 16, 2010 at 1:25 pm

      who knows about the future? u think you’re Paul the octopus?
      when they launch it, maybe they’re still unsure with the outcome from the ‘talks’ yet.

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  • People like to think that CKD meant cheap cars. From the moment Scirocco is selling at premium price compare to the rest of the world. I knew that VW is not going to sell any cheap cars here. More of getting more profit margin.

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  • Danny on Aug 16, 2010 at 10:32 am

    Tq Najib, I love u and BN.

    This means cheaper GTI Golf. Now my dream can come true..

    U got may vote for Palimen and State.

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  • mynameisboo on Aug 16, 2010 at 10:49 am

    want to see more affordable vw on offer, esp those bluemotion ones. hopefully by then, m’sia will see euro4 compliant fuels

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  • Jaybond on Aug 16, 2010 at 11:35 am

    Probably, Vento & Golf 1.4 TFSI & the new Jetta should roll out first as CKD models. Sedan cars should have more volumes than Hatchback in Malaysia.

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  • leonardo on Aug 16, 2010 at 11:59 am

    I hope they will assemble the affordable Lupos and Polos too, not just the expensive variants only.
    Had owned the Beetle and the 1st gen Golf before. Solid cars. Hope the spare parts are easily available and at ‘reasonable price’.

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  • _piko on Aug 16, 2010 at 12:37 pm

    i’m waiting polo come to Malaysia. For sure the best car in all aspect for that price

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  • autojohndoe on Aug 16, 2010 at 1:11 pm

    malaysian really like to daydreaming and spreading rumours…

    based on NAP, we might
    1. get VW cars 1.8L and above.
    2. get car priced at 150K and above.

    so, automatically, there might be
    1. No 1.2, .4, TSI
    2. No lower than 150K car price.

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    • MoFaz on Aug 16, 2010 at 1:20 pm

      it’s still possible, gov might give incentives because VW is not producing cars for Malaysia alone, but for the whole ASEAN, at least.
      Suzuki Swift is assembled here, 1500cc and priced at RM71k+ by the same DRB-Hicom.

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  • germancarsaresimplybetter on Aug 17, 2010 at 5:56 pm

    If you notice the Bernama story, Malaysia is still interested in making sure VW deals with DRB-Hicom. Therefore, if VW are planning to use the plant to assemble for the entire ASEAN region, for sure Malaysia would benefit as the Japanese have done the same with Rayong in Thailand (in directly boosting Thailand’s export figures)

    For sure Malaysia would offer VW incentives as well – as it would mean boosting Malaysia’s export figures (even though technically they are German cars). This is something Proton and Perodua have not succeeded in doing, until today. It would mean increase in manufacturing in Malaysia and growth in exports. A win-win situation for Malaysia.

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    • More to come after this.VW is just the tip of the iceberg.If VW keen to do business in Malaysia, why not other car manufacturers too? You see, the business and investment opportunities here after will be so huge for our auto industries. Can simply rope others by the use of VW and Peugeot setting up assemblies here.European marques especially.

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  • Anti Proton on Aug 18, 2010 at 12:36 am

    ckd hasn;t been really beneficial to us so far. look at honda and toyota for example. the ckd civic still costs a lot. and u can get a fully imported lancer or mazda 3 for almost the same price. same goes for the mazda 6. are we really getting cheaper cars? or are we just scapegoats to car manufacturers who intend to save costs.

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  • Cheaper car for Malaysian? Dun tok kok lah.

    My salary is only about RM3.5K per month. Take home pay is about RM2.8K.
    Can’t even afford a RM80K VIOS.

    Fark the NAP.

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