NAP 2014

National Automotive Policy (NAP) 2018 is work in progress, to be announced by mid-year – Mustapa

In Cars, Local News / By Danny Tan / 18 January 2018 5:53 pm / 21 comments

The National Automotive Policy (NAP) 2018 is work in progress and will be announced by the middle of the year, minister of international trade and industry Datuk Seri Mustapa Mohamad said. He was briefing the media and stakeholders at the Updates on the Automotive Industry 2017 and Outlook in 2018 event held in Kuala Lumpur today.

The current NAP was announced in 2014, and the main focus then was on Energy Efficient Vehicles (EEVs). That push has been successful – according to data released by MITI today, EEV penetration increased for the fourth straight year in 2017, reaching 52% of vehicles sold in the country. That’s 2% higher than the target set and a jump of nearly 10% from 2016. Adoption rate is expected to touch 60% (350,000 units) in 2018.

The regulators, MITI and the Malaysian Automotive Institute (MAI), are currently having consultations with auto industry stakeholders and are not yet ready to share details of NAP 2018. However, presentation slides reveal the main pillars of the future roadmap – connectivity, mobility, next-generation vehicles, big data and lifestyle. All very current and very broad terms, so we’ll have to wait for the full reveal.

Also spotted among the wealth of figures presented today are expected 2018-2022 (likely the NAP 2018 period) committed localisation value of RM15 billion and committed investments of RM3.99 billion. From 2014-2017, the committed localisation value was much greater at RM43.67 billion, which hints at most of the localisation work being already done. Our mature auto market attracted RM7.6 billion of realised investments from 2014 to 2017.

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Automotive council to be set up within two months

In Cars, Local News / By Jonathan James Tan / 2 February 2015 5:01 pm / 46 comments

Minister of International Trade and Industry Datuk Seri Mustapa Mohamed revealed at the National Automotive Policy (NAP 2014) status update that an automotive council is set to be established within two months, Bernama reports.

To be chaired by the minister himself, the council will serve as an avenue for policy makers to interact with industry players, and will comprise government and business community representatives, as well as non-government organisations representing consumers.

“The council will provide a platform for policy makers to interact so that we can have inputs from the industry and have clear directions as to which way the automotive industry will move,” the national news agency quoted Mustapa as saying, with the first meeting expected to be held at the end of March.

Other topics from the NAP 2014 status update:
NAP 2014 update – TIV up 1.6%, imports, exports fall
New car prices dropped 7% on average last year, 20% reduction on average by end-2017 targeted – MITI
Euro 5 diesel to begin selling in Klang Valley this year
No plans to extend CKD hybrid tax exemptions as yet
Public not ready for Vehicle End of Life policy – Tok Pa

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NAP 2014 update – TIV up 1.6%, imports, exports fall

In Cars, Local News / By Jonathan James Tan / 30 January 2015 6:53 pm / 60 comments

Minister of International Trade and Industry Datuk Seri Mustapa Mohamed provided members of the media earlier today with an overview of the past year following the National Automotive Policy‘s (NAP 2014) January 2014 implementation.

He reiterated that the policy’s key objective is to make Malaysia the ASEAN Energy Efficient Vehicle (EEV) hub by 2020, with opportunities including research and development for right-hand drive vehicles and related tech, such as fuel efficiency, lightweight material, telematics, tooling and component design.

Malaysia’s 2014 Total Industry Volume (TIV) grew 1.6% to 666,465 units, compared to 2013’s 655,793. Approved investments in the auto manufacturing sector totalled RM11.5 billion, while those in the after-sales and services sectors reached RM2.6 billion.

As of end-2014, RM4.9 billion of these investments was realised, boosting production capacity by 70,000 units a year. These investments began in 2013 and will be completed by 2018 to yield an increase in the existing production capacity from 600,000 to 923,000 units.

Eight carmakers are involved in these investments – of these, only Perodua, Honda, Go Auto (Great Wall Motors) and Mazda were mentioned, and they all happen to be EEV carmakers.

Where the auto sector is concerned, Malaysia exported almost RM4.9 billion worth between January and November last year (cars, RM550.6 million) – a RM306.7 million drop from 2013. Conversely, we imported just over RM17 billion in the same period (cars, RM8.8 billion) – that’s RM878.5 million less than we did in 2013.

Reasons cited for the fall in both imports and exports include a “challenging market,” increasing ASEAN competition and our comparatively small market.

The trade balance therefore stands at RM12.1 billion in favour of imports for the first 11 months of 2014. This is our narrowest import/export gap in the 2010-2014 period. Mustapa said the final figures, taking December into consideration, will be revealed in due course.

Asked if a decision has been reached on whether to retain or abolish the Approved Permit (AP) system, the minister revealed that a study on the issue is “almost finalised,” and that he is due to be briefed sometime next week before he presents it to the government.

Elsewhere, the Malaysia Automotive Institute (MAI) trained a total of 8,075 people in 2014, with almost all of them securing jobs in the auto sector at wages around 25% higher than the industry average. A total of 21,072 new jobs were created in 2014, comprising mostly technicians, skilled and semi-skilled workers and engineers.

Additionally, MAI’s implementation of the Lean Production System and Automotive Supplier Excellence Programme was said to have improved productivity by 21.5%, saving RM601.3 million amongst 277 vendors.

As of end-2014, 21 technology projects were initiated, with a total value of about RM39.9 million. Four of these projects have been commercialised by December 2014.

Other topics from the NAP 2014 status update:
New car prices dropped 7% on average last year, 20% reduction on average by end-2017 targeted – MITI
Euro 5 diesel to begin selling in Klang Valley this year
No plans to extend CKD hybrid tax exemptions as yet
Public not ready for Vehicle End of Life policy – Tok Pa

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Euro 5 diesel to begin selling in Klang Valley this year

In Cars, Local News / By Anthony Lim / 30 January 2015 3:25 pm / 28 comments

Today’s National Automotive Policy (NAP) 2014 status update also briefly touched on the subject of Euro 4 and Euro 5 fuels, with Minister of International Trade and Industry Datuk Seri Mustapa Mohamed reiterating the introduction timelines that were first announced in November last year.

As mentioned, Euro 4 RON 97 petrol will arrive first in September 2015, followed by Euro 4 RON 95 petrol in October 2018. Diesel will get to Euro 5 standard in September 2020, and Euro 5 grade RON 95 and RON 97 petrol is scheduled to be introduced in September 2025.

It was also announced that this year will see the rollout of fully-imported Euro 5 diesel to other states, especially in the Klang Valley, following the fuel’s introduction in Johor last year, though no specific timeframe was given for deployment.

It’s likely the fuel will be made available via BHPetrol, which introduced its Infiniti Euro 5 Diesel last November – the fuel is currently available at 12 of its stations in Johor. Euro 5 diesel has a sulphur content of just 10 parts per million (ppm), compared to 500 ppm for current Euro 2M diesel.

Following the introduction of Euro 5 in Johor, MITI said that oil companies were more than welcome to begin selling such fuels earlier than the gazetted dates.

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No plans to extend CKD hybrid tax exemptions as yet

In Cars, Local News / By Jonathan Lee / 30 January 2015 2:15 pm / 34 comments

At today’s National Automotive Policy (NAP) 2014 status update, Minister of International Trade and Industry (MITI) Datuk Seri Mustapa Mohamed told the press that, as yet, there are no plans for the current import and excise duty exemptions for locally-assembled hybrid vehicles to be extended beyond December 2015.

Incentives for CBU hybrids (with a engine capacity limit of 2.0 litres) and EVs were terminated with the introduction of NAP 2014 early last year, but those for CKD vehicles (this time without an engine size cap) continued to be doled out, with an end date set for the end of this year.

This presents quite the conundrum – the previous-gen Honda Jazz Hybrid, Mercedes-Benz S 400 L Hybrid and E 300 BlueTEC Hybrid and Nissan Serena S-Hybrid are already being assembled here, while the Toyota Camry Hybrid and Honda City Hybrid and new Jazz Hybrid are expected to come in sometime later this year.

As such, the industry players who are already involved in this scheme will no doubt be looking for a meaningful return of their investment in the country. And while there is still time for an extension to be announced, such late notice would not give manufacturers enough room to plan out their product introductions, usually occurring about a year in advance.

One way we could see this pan out would be that the benefits for those who are already assembling hybrid vehicles in Malaysia would be grandfathered – meaning that the prices of those cars will remain the same even beyond 2015 – while the door would be closed for any new entries.

Another alternative would be that the incentives would remain open on a case-by-case basis, for example through the country’s Energy Efficient Vehicle (EEV) policy. Either way, the insecurity this development brings isn’t likely to sit well with the car manufacturers.

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Public not ready for Vehicle End of Life policy – TokPa

In Cars, Local News / By Jonathan James Tan / 30 January 2015 1:33 pm / 36 comments

The long-talked about Vehicle End of Life policy, first brought up at the end of 2009 and which resurfaced in another (proposed) form as the Cash for Clunkers scrappage scheme earlier this month, is apparently far from becoming a reality.

In response to a question, Minister of International Trade and Industry Datuk Seri Mustapa Mohamed said at the just-concluded National Automotive Policy (NAP 2014) status update that “the public is not ready” for such a scheme or policy, although he did not elaborate.

The Malaysia Automotive Institute (MAI) said recently at its 2014/15 review and insight on the local automotive landscape that a Cash for Clunkers scheme could increase the Total Industry Volume (TIV) to 750,000 units, although it has been quick to add that the government has not yet approved such a scheme.

In 2007, Proton introduced its own Proton Xchange Programme before discontinuing the scrappage scheme at the end of 2009. The Malaysian Automotive Association (MAA) has also lobbied for such a programme to be implemented with annual sales of cars increasing, leading to more severe traffic congestions.

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MITI to provide details on energy efficient vehicle firms

In Cars, Local News / By Jonathan James Tan / 26 November 2014 12:01 pm / 25 comments

The Ministry of International Trade and Industry (MITI) is set to provide details of an upcoming review of the 2014 National Automotive Policy, along with information on a number of companies who have established facilities for energy efficient vehicles (EEV) in Malaysia, come January next year, The Star reports.

“Next mid-January, I am going to have a stock take on the NAP. The NAP is one year old and there has been some progress and we will share more details of what has been happening in the next briefing,” the English-language daily quoted MITI minister Datuk Seri Mustapa Mohamed as saying. He was signing five memoranda of understanding (MoU) with corporations for the vendor development programme.

Mustapa also voiced his concerns regarding the drop in performance where the export of locally-made vehicles is concerned. Talking to The Star, he commented that the local auto and parts manufacturers “have not done well at all” compared to firms that have pursued business cases abroad.

Citing export numbers as an indicator for the industry’s performance, Mustapa noted that Malaysian auto makers and its affiliates face stiff competition from more established international players, along with China. “One day we have to face competition coming from China. China will be an important player in the next few years,” he added.

Carmakers that have either established EEV facilities in Malaysia, have been given an EEV manufacturing licence or produce vehicles that have been granted EEV status so far include Perodua (for the Axia), Great Wall (for the M4 and H6) and Mazda (for SkyActiv cars).

The W222 Mercedes-Benz S 400 L Hybrid‘s case is unrelated to the EEV programme. Being a locally-assembled (CKD) hybrid, that gets full duty exemptions. NAP 2014 stipulates that as long as a hybrid is produced in Malaysia (like the Honda Jazz Hybrid and Nissan Serena S-Hybrid), it is eligible for full import and excise duty exemption until the end of 2015 – regardless of the size of its internal combustion engine (or its fuel efficiency!).

Under NAP 2014’s EEV programme, “customised incentives” – including lower taxes, grants and others – are given to carmakers who are interested to participate. In its simplest form, the EEV is defined as a vehicle that meets a set fuel consumption figure for its kerb weight, regardless of its method of propulsion or engine displacement (see table here).

If a carmaker builds its EEV(s) locally and wishes to take advantage of the incentives, it has to apply for EEV certification from the government, much like Thailand’s Eco Car programme.

However, unlike our northern neighbours’ scheme, we have no minimum investment or minimum annual production pre-requisites – but we also don’t know exactly how much carmakers get here in terms of incentives. Perhaps MITI will reveal more in January.

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MAA hopes excise duty exemptions for CKD hybrid, electric cars will be extended in Budget 2015 – report

In Cars, Local News / By Jonathan James Tan / 8 October 2014 5:06 pm / 23 comments

Above: Proton Iriz EV prototype in South Korea

Budget 2015 will be tabled in Parliament this Friday, and ahead of that, the Malaysian Automotive Association (MAA) hopes the government will extend the excise duty exemptions given to locally-assembled (CKD) hybrid and electric vehicles, reports The Star.

The latest iteration of the National Automotive Policy (NAP 2014) officially brought an end to duty exemptions for all electric vehicles (EV) and hybrids with engines displacing under 2.0 litres.

The tax breaks are now reserved instead for those that are assembled in Malaysia (this time with no engine size limitations), with those for hybrids set to expire on December 31, 2015 and those for EVs set to end on December 31, 2017. Only two cars currently qualify for these tax breaks – the Honda Jazz Hybrid and Mercedes-Benz S 400 L Hybrid.

Above: Honda Jazz Hybrid – the first hybrid vehicle to be assembled in Malaysia

“What the MAA is requesting is for the time period (for the tax exemption) to be longer so that it can be more viable,” MAA president Datuk Aishah Ahmad told StarBiz, adding that she hoped there would be incentives to encourage electric vehicle- (EV) related infrastructure, like the setting up of more charging stations and reductions in battery costs.

MAA statistics say 51,125 vehicles found Malaysian homes in August 2014 – a mild leap from 51,106 in the same month last year – while 444,534 units were sold year-to-date in August 2014, representing a 2.7% jump over last year’s 433,025, The Star reports. A few months back, MAA raised its 2014 total industry volume (TIV) forecast to 680,000 units – 10,000 more than before.

So what can we expect from Budget 2015? Last week, Malaysia Automotive Institute (MAI) CEO Madani Sahari said that Budget 2015’s auto-related matters are likely to be aligned with NAP 2014’s aspirations. Budget 2015 is also expected to yield a list of zero-rated or tax-exempted items with respect to the upcoming Goods and Services Tax (GST) – will our petrol and diesel be GST-ed?

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Budget 2015 likely to align itself with NAP – Madani

In Cars, Local News / By Jonathan James Tan / 1 October 2014 11:37 am / 30 comments

Budget 2015‘s auto-related matters are likely to be aligned with the aspirations of the National Automotive Policy (NAP 2014), Malaysia Automotive Institute (MAI) CEO Mohamad Madani Sahari has said, according to a Bernama report.

“The automotive segment in the forthcoming Budget 2015 should align itself with the NAP,” Madani told the national news agency. “The fundamentals of implementation could be touched on in the budget and cover factors such as infrastructure, skilled workers, supply chains and the development of technologies.”

To be tabled in Parliament on October 10, Budget 2015 is also expected to yield a list of zero-rated or tax-exempted items with respect to the upcoming Goods and Services Tax (GST) – will our petrol and diesel be GST-ed?

Bernama reports that NAP 2014, which concentrates on green initiatives, developing technologies and human capital, expanding the market and strengthening the industry ecosystem, has seen Proton and Perodua lead in the industry’s response. The launches of the Iriz and Axia are cited as examples.

Non-national carmakers, however, have asked for an extension of incentives for electric and hybrid vehicles. “Electric vehicles also need an incentive in the form of an extended duty exemption or on tax,” BMW Malaysia MD Alan Harris told Bernama.

“There was an incentive in the previous budget prior to the NAP 2014 which outlined that only locally-assembled vehicles would get incentivised. But electric vehicles are still new, not like the EEV (Energy Efficient Vehicle). Electric cars need a good take up and in the meantime, still need to be imported,” he added.

Meanwhile, Mercedes-Benz Malaysia sales and marketing VP Kai Schlickum said the government took a step in the right direction with the NAP-incentivised locally-assembled hybrid.

“It does benefit us, especially our S-Class Hybrid. With the S 400 L model qualifying and receiving full duty exemption, we are proud to be able to contribute in helping Malaysia fulfill its ambition of becoming a regional EEV hub.

“However, since the (CKD) hybrid incentive will expire in 2015, we wish it to be extended,” he told Bernama.

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Locally-made lithium-ion batteries by 2015 – report

In Cars, Local News, Public Transport / By Gregory Sze / 4 September 2014 9:43 am / 31 comments

According to a report by The Star, Malaysia is en route to produce its first prototype lithium-ion batteries for electric buses, cars and energy storage by the first quarter of 2015.

The project, which will be a collaborative effort between the Malaysia Automotive Institute (MAI), transport logistics firm ARCA Corp, Australia’s AutoCRC and Swinburne University of Technology, aims to develop the most energy-dense battery for the market, according to MAI chief executive officer Madani Sahari.

Madani said the first experimental batch of batteries will be employed on an electric bus prototype, developed by ARCA Corp. The first planned deployment of the E-Bus will be in Putrajaya and Langkawi, due to their relatively simple routing and range requirements. A sum of RM200 million is said to be invested by ARCA Corp over a period of four years, with commercialisation of the E-Bus expected to commence in 2016.

Following trial runs, the next step would be to “upscale” the production of the lithium-ion batteries, according to Madani. “Once we have successfully tested the prototype battery, we want to then produce them locally on a wider scale.”

He also said plans were already in motion to set up a plant to produce the batteries. The only decision left to make is between establishing a new plant or expand on an existing one. Said plant is part of the National Automotive Policy, announced in January 2014, which aims to turn Malaysia into a regional energy-efficient vehicle hub.

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Review on impact of termination of Open AP system to be completed this year – report

In Cars, Local News / By Jonathan James Tan / 26 August 2014 10:53 am / 63 comments
The Malaysia Automotive Institute (MAI) has said that the review on the impact of the abolishment of the Open Approved Permit (Open AP) system should be completed this year, The Sun Daily reports.

“It is still under review. It (completion of the review) must be this year. It cannot be so long,” the publication quoted MAI CEO Madani Sahari as saying.

MAI is in favour of terminating the Open AP system. The system was supposed to be abolished by the end of 2015 under the National Automotive Policy (NAP) 2009.

During the presentation of NAP 2014 however, the Ministry of International Trade and Industry (MITI) said further study on the impact of the abolishment was needed before a final decision was made.

MAI head of strategic research Asrulnizam Addrus earlier said that Open APs do not contribute to the development of the automotive industry.

He said the review on the impact of the Open AP system’s termination is being carried out by external consultants, which does not include MAI. However, MITI is aware of MAI’s position on the Open AP system, Asrulnizam said.

Open APs are responsible for the many grey-import cars from right-hand drive countries on our roads. They are distinct from Franchise APs, which are used by principal companies to officially bring in their cars.

Further reading:
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NAP 2014 Roadmap – highlights of the action plan

In Cars, Local News / By Anthony Lim / 7 February 2014 1:07 pm / 34 comments

Yesterday, the Ministry of International Trade and Industry (MITI), together with Malaysia Automotive Institute (MAI), announced the roadmap for the National Automotive Policy (NAP 2014).

Aimed as a guideline for industry stakeholders, the roadmap highlights the path being undertaken towards transforming the competitiveness of the Malaysian automotive industry and working towards the country being the regional EEV hub by the year 2020.

Six specific areas of development are categorised under the roadmap, these being the Malaysia Automotive Technology Roadmap (MATR), Malaysia Automotive Supply Chain Development Roadmap (MASR), Malaysia Automotive Human Capital Development Roadmap (MAHR), Malaysia Automotive Remanufacturing Roadmap (MARR), Malaysia Automotive Bumiputera Development Roadmap (MABR) and Development of Automotive Authorised Treatment Facilities Framework (ATF).

To recap, the MATR details out the latest green technological trends and future outlook as well as the tax structure rationalisation guidelines for the auto industry. The MASR, meanwhile, aims to enhance the operational effectiveness and efficiency of components/spare parts manufacturers.

The MAHR outlines a plan for developing a competent and adequate workforce at all levels within the industry, while the MARR outlines detailed criteria of remanufacturing standards and best practices to be adopted by automotive players with the aim of making Malaysia the centre of automotive remanufacturing in the ASEAN region.

The MABR focuses on activities related to the development of technology, human capital and supply chain to enhance the competitiveness of Bumiputera companies in the domestic auto industry, and the ATF framework is to serve as a guideline in transforming automotive after-market businesses and aid the development of a complete, sustainable automotive industry.

The MAI has issued an overview highlighting the action plan, including the introduction of new measures that are aligned with global and regional technology changes. The highlights of the NAP 2014 Roadmap is 127 pages long, so we’ve placed it as a complete document here, below. What do you think of the NAP 2014 Roadmap?

[scribd id=205291939 key=key-1utefrqknmpfyw6gpo15 mode=scroll]

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NAP 2014 – six roadmaps announced by MITI

In Cars, Local News / By Anthony Lim / 6 February 2014 8:02 pm / 87 comments

In a follow up to the National Automotive Policy (NAP 2014) that was announced last month, the Ministry of International Trade and Industry (MITI) – in conjunction with Malaysia Automotive Institute (MAI) – today announced six roadmaps for the development of the local automotive industry.

Meant to serve as a guideline for industry stakeholders, the six roadmaps are known in their shortened form as MATR, MASR, MAHR, MARR, MABR and ATF. These roadmaps will be under the supervision of MITI, with the MAI coordinating and implementing them.

Details were not announced at the presentation, and we’ll be taking a closer look when we get them, but here’s a summary of what the roadmaps are about:

Malaysia Automotive Technology Roadmap (MATR)

The MATR details out the latest green technological trends as well as the outlook – the roadmap also includes tax structure rationalisation guidelines for the auto industry.

Malaysia Automotive Supply Chain Development Roadmap (MASR)

The MASR aims to enhance the operational effectiveness and efficiency of components/spare parts manufacturers. The roadmap consists of measures to improve quality control systems, operation and business management as well as enhance capability in product testing and validation.

Malaysia Automotive Human Capital Development Roadmap (MAHR)

The MAHR outlines a plan for developing a competent and adequate workforce at all levels within the industry. It also focuses on improving the quality of existing programmes for technicians and operators at local training institutions.

Also included are plans to develop skilled local manpower in areas of product automation and manufacturing of hybrid components, engine and transmission systems.

Malaysia Automotive Remanufacturing Roadmap (MARR)

The MARR outlines detailed criteria of remanufacturing standards and best practices to be adopted by automotive players with the aim of making Malaysia the centre of automotive remanufacturing in the ASEAN region. It will also provide guidelines to optimise recyclability and recoverability levels of used components.

Malaysia Automotive Bumiputera Development Roadmap (MABR)

The MABR focuses on activities related to the development of technology, human capital and supply chain to enhance the competitiveness of Bumiputera companies in the domestic auto industry. This initiative is in line with the government’s efforts to create globally competitive Bumiputera entrepereneurs.

Development of Automotive Authorised Treatment Facilities Framework (ATF)

The ATF framework will serve as a guideline to transform automotive after-market businesses in an effort to develop a complete automotive industry that is sustainable.

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MAI signs MoU to develop and build local E-Bus

In Cars, Local News / By Hafriz Shah / 6 February 2014 7:47 pm / 13 comments

Alongside the launch of the National Automotive Policy (NAP 2014) Roadmaps earlier today, a Memorandum of Understanding (MoU) has been exchanged between Malaysia Automotive Institute (MAI) and three other parties on the development and manufacturing of an electric bus, lithium-ion battery and Public Transport Information System (PTIS).

The signed cooperation involves MAI, ARCA Corporation Sdn Bhd, AutoCRC Ltd and Swinburne University of Technology, and will see out the project from the research to commercialisation processes. It’s an extension to the existing cooperation between Malaysia and Australia under the Malaysia Australia Free Trade Agreement (MAFTA).

Commercial release of some elements and key components of this “next-generation transport technology” will begin in the second quarter of this year, though the electric bus project will only bear its first working prototype in the first quarter of 2015. Commercialisation of the E-Bus is expected to commence in 2016.

As announced, the electric vehicle (EV) driveline – designed specifically for the E-Bus – will be a modular system that can be tailor-suited to fit various applications. As such, it can be fully customised to meet any passenger capacity and/or range requirements.

The first planned deployment of the E-Bus will be in Putrajaya and Langkawi, due to their relatively simple routing and range requirements. Local company ARCA Corporation will provide an outlay of RM200 million towards these projects, which covers all the necessary infrastructure groundwork as well.

Next in line will be greater Kuala Lumpur, followed by the possibility of supplying the E-Bus across South East Asia. Indonesian capital Jakarta, in particular, has been singled out as a big potential market.

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First new EEV manufacturing license under NAP 2014 to be announced in two months time – MITI

In Cars, Local News / By Danny Tan / 6 February 2014 5:05 pm / 25 comments

The holder of the first car manufacturing license for energy efficient vehicles (EEVs) under NAP 2014 will be announced in two months time, according to Minister of International Trade and Industry Datuk Seri Mustapa Mohamed.

The MITI minister said that the car manufacturer in question, a multi-national one, will build EEVs in Malaysia primarily for the export market. Actual manufacturing is expected to start within the next two years. He was speaking at today’s launch of the six roadmaps for the National Automotive Policy (NAP) 2014, which was revealed last month.

According to Malaysian Automotive Institute (MAI), EEVs are defined as vehicles that meet a defined specifications in terms of carbon emission level (g/km) and fuel consumption (l/100 km). EEV includes fuel efficient vehicles, hybrids, EVs and alternatively-fuelled vehicles, e.g. CNG, LPG, biodiesel, ethanol, hydrogen and fuel cell.

Click here for a detailed explaination of Malaysia’s EEV definition, and find out all you need to know about NAP 2014 in our round-up post.

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