The Naza Group is set to sign an agreement with the PSA Group today. The signing ceremony will take place at the prime minister’s office and will be witnessed by PM Datuk Seri Najib Razak, the New Straits Times reports.
UPDATE: The PSA Group-Naza plant deal has been signed and announced.
Naza will be represented by group executive chairman and CEO SM Nasarudin SM Nasimuddin while the French maker of Peugeot and Citroen will be represented by executive vice president (China and South East Asia) Carlos Gomes.
NST‘s report does not mention the nature of the agreement, but a report by The Star on Saturday said that a global carmaker is close to completing a deal to acquire a majority stake in Naza’s plant in Gurun, Kedah. “The deal that will be signed next week will spell out the terms to make the Gurun plant as its base for the domestic and Asean market,” the daily’s source said.
It adds that the deal will see the global partner taking control of assembly and production at the Gurun plant, with Naza retaining the distributorship of the cars. “The partnership will allow the Naza group to price the cars competitively, much lower than now. At the moment, it is not able to price the cars well because the group is only a principal dealer,” the source added.
“The Gurun plant will give the global carmaker a ready manufacturing hub with enough capacity to target the demand in the ASEAN region,” the source said. Established in 2004, Naza’s Gurun plant currently has a 15,000 unit capacity. It was reported that due to low sales and production, the plant was forced to lay off workers last year.
Naza has reportedly been keen to get its principals – Peugeot and Kia – to take a larger role in the car business in Malaysia and ASEAN, and have equity partnerships with the local group. PSA Group’s intentions to expand in our market and region is well-known – the French carmaker was in the running to be Proton’s foreign partner before Geely was eventually chosen. PSA bought the Opel and Vauxhall brands from General Motors last year.
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So Peugeot will be taking over the Gurun Plant? What would happen to KIA? There are rumors that KIA is not satisfied with NAZA. Will the KIA brand taken over by Sime Darby Hyundai?
Berjaya Mazda spectacular results & Naza own decline show their lack of quality mgmt more glaring
Edaran Tan Cheong should take over KIA.
ETCM Nissan alredi K.I.A lor…
Lol.. who saya berjaya mazda spectacular results??
This would mean cheaper Peugeot. Like this who will buy Boyue?
The 3008 might be able to sell RM100k like this
Pipu who prefers more and easier to reach P1 servis centers than hard to find Pijot centers? Takyah pening kepala cari SC, beli Boyue saja. Now P1 dealers upgrading to 3/4S so berlambak tempat nak service.
Woww much cheaper Pijot cars with free servicing & longer warranty. OTW!!
Should sell their SCs back to PSA as well. If PSA is smart enough then they should emulate honda and take back the business from their local agent.
Honda sales & SCs r entirely under dealers.
Hopefully Naza holding on 30% ownership.
Peugeot took back their brand. Same goes to DRB. Look at the local mgmt. They didn’t trust Naza anymore.
PSA group’s products not selling well in malaysia. cannot beat the japanese car manufacturers.
They cud have. Their 206 was selling like hot cakes last time but now no more.
For quite sometime Naza has lost interest in their automotive business, being selow to come out with new models, exp prices, unexciting promo unlike 206 308 era. At least now basher got less to complain about.
Demise of Naza the AP king. All MY auto assets fallen into foreign hands. Good or bad?
Naza long ago diversified into other fields, most prominently into property now. They no more focus to continue being AP king anymore so better for them to let Pijot go.
they’re more focus to property as profit margin wayyy higher
Well, you guys wanted Naza dead right? You get your wish now. The slow disintegration of Naza’s auto biz…
Nasim tried to push too much into the premium segment. They did well with the 206 / 207 because those cars gave a measure of European ownership to the masses and those cars with simpler mechanicals were less of an issue to owners compared to the more technologically advanced but also sensitive turbocharged models. This push meant that they neglected building on the sales potential of the 206/7 by rejecting the 301 as a replacement of those cars for the entry level European car buyer. With so much negative baggage hanging over the Prince engine (and all future evolutions), it is definitely tough to gain the public’s interest again. This is clearly shown in the dismal sales performance of the current models even though much of the old model’s issues have been tackled (successful or not, we don’t really know). Point is, Peugeot needs a brand new engine (not an EP6 or it’s variants) and also entry level models. Brand new engine to once again capture potential interest in the brand (1.2 Turbo? Hmmm) and an entry level European model to keep those workshops alive (they need volume).
What models then should be brought in? That’s a question both Automobiles Peugeot and Nasim will need to answer. Moving in the SUV direction is a right move but how soon can this move happen and will the company be able to sustain its business operations till the new upcoming SUVs start to bear fruit financially?
Just my humble 2 cent’s worth on the current Nasim situation.
Pijot oso need to start doing proper RHD conversion and not lazyass job that makes practical things impractical.
PSA should go to Thailand or Indonesia instead.. claim by some
Yupz. Alwiz claimed later all profits and salary repatriated out from MY. At least now resident basher got less to complain about.
Now we sell to French..
Germans also sell to tongsan o waiii
Lolz! Some say we sold to Saudi, some says sold to China, some says sold to India, later will some says sold to French. PM must be genius for selling same thing to diff parties again and again, and now they have no choice but to pump money in cuz their investment is too big to fail but none has ownership. Double lolz!
Nasimuddin’s sons does not have the appetite to move forward in the automotive sector, and are satisfied with what millions they have right now. Their father’s dream was to make NAZA an independent automotive manufacturer, with assembling Kia’s and Peugeot a stepping stone to building his own car. Alas the bright mind’s flame was short, who knows what might have been if he is still around. RIP Tan Sri Nasimuddin.
With their empires now combined, Naza can gip their automotive business to Berjaya to run instead.
They probably realised that auto manufacturing is much harder than rebadging and selling grey imports.
Too many grand weddings is the reason. Less on weddings and more on the business is the solution.
The Gurun plant will give the global carmaker a ready manufacturing hub with enough capacity to target the demand in the ASEAN region,” the source said. Established in 2004, Naza’s Gurun plant currently has a 15,000 unit capacity. It was reported that due to low sales and production, the plant was forced to lay off workers last year.
What’s the car plate number indicates?
150,000 unit*? hmm….
from 2004 until year of that picture they produce 150k car.. not the capacity 150k lol..
Any news regarding naza plant at gurun now? did they recruit new worker there? local worker from operator to top management? or they use same worker that has been retrenched