Tan Chong to assemble cars for Mitsubishi – reports

tan chong serendah

Tan Chong Motor Holdings Bhd (TCM) will assemble cars for Mitsubishi, according to a report by Starbiz. An April 2013 agreement between Mitsubishi Motors Malaysia (MMM, 52% owned by Mitsubishi Japan) and TCM’s Tan Chong Motor Assemblies surfaced in a report by Hong Leong Investment Bank Research.

In June, we caught wind of a new OEM contract assembly deal for TCMA, and speculated that the other party will be Mitsubishi – this confirms it.

This deal with Tan Chong comes after Mitsubishi terminated its collaboration agreement with Proton following the latter’s change of ownership to DRB-Hicom Bhd, which then paired the national carmaker with Honda as a foreign strategic partner. The Proton-Mitsubishi plan was announced in September 2011.

The relationship has been confirmed by MMM vice-president Hoffen Teh, who said that both parties had more or less reached consent of the contractual agreement’s details. “The startup in production would not be so soon, and we will announce the details in due time,” he told Starbiz. Teh declined to reveal the models to be assembled, but said that it would be for domestic demand only. In 2011, Mitsubishi revealed this Malaysian assembly model to be the Mitsubishi ASX in a presentation titled MMC’s ASEAN Business.

Tan Chong Motor Assemblies has two plants in Malaysia, in Segambut and Serendah. The Serendah plant rolls out Nissan models such as the Almera, Livina, Sylphy and Teana, whereas the old KL plant churns out the Navara pick-up truck and non-Nissan cars like Subaru’s XV crossover.

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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

  • Ooo now only i know subaru xv is locally assembled.

    Like or Dislike: Thumb up 10 Thumb down 2
    • Jimmy on Aug 14, 2013 at 5:18 pm

      Selat Melaka.
      Good luck.

      Like or Dislike: Thumb up 0 Thumb down 0
    • I hope they only assemble and not designing mitsu locally. They always launch uncle model of all variants

      Like or Dislike: Thumb up 0 Thumb down 0
  • wiralution on Aug 14, 2013 at 12:50 pm

    A good collaboration should consider an exchange in technology transfer & human knowledge capital. Personally, I don’t think Proton regain this thru collaboration with mitsu. No wonder Inspira is a fail product & they sell cheap nowadays to clear excess stock.

    Like or Dislike: Thumb up 10 Thumb down 13
    • Unknown on Dec 11, 2014 at 4:05 pm

      You really don’t know how cars are assembled or made, and why the partnership between Proton and Mitsu soured. It’s happening again but this time to TCM. Hope this time Japs don’t screw with us again. FYI, I am working in assembling industry.

      Like or Dislike: Thumb up 0 Thumb down 0
  • this is my father’s project, the 1st mitsubishi ckd unit will be the ASX

    Like or Dislike: Thumb up 8 Thumb down 11
  • What happen to Proton+Mitsu JV to produce Inspira ?? Is proton JV partner Honda ?? very confused lah….

    Like or Dislike: Thumb up 3 Thumb down 1
    • tikus on Aug 14, 2013 at 6:59 pm

      Proton is a confuse company.If not G behind it,It’s doom to fail long time.

      Like or Dislike: Thumb up 18 Thumb down 0
  • iluvnissan on Aug 14, 2013 at 2:17 pm

    What will happen to the ‘smart guy”s car – inspira?

    Like or Dislike: Thumb up 6 Thumb down 4
  • but mitsubishi doesn’t has many new model…..will they assemble lancet GT??????

    Like or Dislike: Thumb up 4 Thumb down 2
  • kadajawa on Aug 14, 2013 at 2:46 pm

    Still useless if Attrage RM70K at least RM15K more expensive than Thai made…MITI will never allow other cars cheaper than Proton Saga…

    Like or Dislike: Thumb up 3 Thumb down 1
  • Giong on Aug 14, 2013 at 4:10 pm

    Hello Danny,
    MMM(52%) is not own by MMC Japan.
    the 52% portion is owned by Mitsubishi Corp.

    please make this point clear. ASX is model to be CKD.

    Like or Dislike: Thumb up 0 Thumb down 1
  • AZ. your father project? your father in mitsubishi or tan chong? lol. wat a good leads. AZ, mind to leads more?

    Like or Dislike: Thumb up 0 Thumb down 3
    • AZ is correct. the first model to be assembled here is ASX. Firmed.

      Like or Dislike: Thumb up 0 Thumb down 2
  • MMM is not owned by MMC instead by MC – Mitsubishi Corporation which is the 2nd largest stakeholder in MMC.
    MMM was an exclusive distributor and not a sub company under MMC.

    Like or Dislike: Thumb up 1 Thumb down 0
  • Another failure model from proton!

    Like or Dislike: Thumb up 1 Thumb down 2
  • asx fan on Aug 16, 2013 at 9:57 am

    If ASX to be CKD soon, then should I wait for CKD or get the CBU now? Any advice?

    Like or Dislike: Thumb up 0 Thumb down 0
    • If price is not your concern, please go for CBU. Definitely go for CBU.

      Like or Dislike: Thumb up 1 Thumb down 0
      • asx fan on Aug 16, 2013 at 3:39 pm

        Thanks r888. Just had a test-drive with ASX 2012 unit as the test-drive 2013 unit was not around. Very nice smooth ride.

        Like or Dislike: Thumb up 0 Thumb down 0
 

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