2010 : Local automotive sector headlines

Local automotive sector goes on high gear

Despite emerging from a global financial crisis, 2010 proved to be an exciting year for the Malaysian automotive industry. Here, StarBizWeek recaps some of the key events that made headlines last year.

JANUARY

20: Malaysian Automotive Association (MAA) reviews 2009 vehicle sales, forecasts outlook for 2010

MAA announces that total industry volume (TIV) for 2009 slipped 2% to 536,905 units and predicts sales to hit 550,000 units in 2010.

26: Peugeot announces decision to make Malaysia its right-hand drive production hub

Peugeot, together with local partner Naza, announces it plans to make the latter's Gurun plant its right-hand drive manufacturing hub that will not only serve the Asean region but also Australia, New Zealand and South Africa.

29: Local Toyota distributor assures that its vehicles are not affected by global recall

UMW Toyota Motor Sdn Bhd, the local distributor of Toyota vehicles, announces that its cars are not affected by the faulty “accelerator pedal dilemma” that caused the recall of millions of Toyota vehicles in the United States, Europe and China.

FEBRUARY

1: Sime Darby takes over Porsche franchise in Malaysia

After nine years of holding the exclusive rights to import Porsche cars to Malaysia, businessman Datuk Mokhzani Mahathir decides to pass the wheel over to conglomerate Sime Darby Bhd.

5: BCorp ties up with China-based company to develop cars for Asean market

Berjaya Corp Bhd and China's BYD Auto Co Ltd sign an MoU to explore the possibility of building the latter's F0 1-litre passenger car for Asean market.

MARCH

2: Emas unveiled at Geneva Motor Show

Proton Holdings Bhd unveils its Emas Hybrid concept cars at the Geneva Motor Show, with production expected in 2012.

4: Tiered fuel subsidy system scrapped

The Government officially scraps plans to introduce the two-tiered restructuring of fuel subsidy following negative feedback from the public.

5: Naza becomes Chevrolet distributor

After months of speculation, the Naza Group officially ties up with General Motors to become the official distributor of Chevrolet cars and parts in Malaysia.

APRIL

6: DRB-HICOM to manufacture Westfield sports cars in Malaysia

DRB-HICOM Bhd signs a memorandum of understanding (MoU) with Potenza Sports Car Ltd, owner and manufacturer of Westfield cars, to manufacture and distribute the latter's products, including hybrids and electric vehicles, locally.

JUNE

7: ProtonVolkswagen deal ends

The on again/off again negotiations on the possibility of a tie-up between national automaker Proton and German automotive giant Volkswagen AG officially end. Volkswagen would, however, hook up with another local partner later in the year (see December).

22: Five-year business plan for Lotus unveiled

Proton says it hopes to transform its British sports car maker Group Lotus plc into a profitable company under a five-year transformation plan. Lotus also sets its sights on entering the premium sports car segment alongside Porsche and Ferrari.

JULY


12: Naza to assemble C-Segment Peugeot car

The Naza Group and Automobiles Peugeot ink an MoU whereby the former would produce a Peugeot sedan, code named the T73, at its plant in Gurun, Kedah. Production is slated to begin before the end of this year.

21: MAA reviews H1 2010 TIV, revises full-year forecast

MAA revises upwards its 2010 total industry volume (TIV) forecast to 570,000 units from 550,000 initially. The new forecast, if achieved, would make it a record-breaking year in terms of sales for Malaysia, surpassing the country's all-time high of 552,316 units in 2005.

TIV for the first-half of 2010 grew 19.8% to 301,077 units compared with 251,305 in the previous corresponding period.

AUGUST

14: DRB-HICOM signs pact with Volkswagen

DRB-HICOM signs MoU with Volkswagen AG to assemble and manufacture Volkswagen vehicles at the former's manufacturing plant in Pekan, its largest automotive manufacturing facility in Malaysia.

SEPTEMBER

14: Foreign car assemblers poised to get green light

The Malaysian Investment Development Authority is reportedly evaluating the possibility of five foreign automotive assemblers to set up operations locally.

21: Former-Perodua MD joins Naza Kia

Naza Kia, the official distributor of Kia Motor vehicles in Malaysia, appoints former Perusahaan Otomobil Kedua Sdn Bhd (Perodua) managing director Datuk Syed Abdull Hafiz Syed Abu Bakar as its new chief operating officer.

28: Proton and Lotus Racing to battle in court over name rights

Proton and Lotus Racing F1 decide to clash at the British courts over the rights to use the Lotus name.

OCTOBER

1: Lotus unveils five new models

Group Lotus plc unveils its Lotus Elan, Esprit, Elite, Elise and Eterne at the Paris Motor Show. The cars would be released in the market one by one every year starting with the Elan in 2012.

14: Proton unveils its Inspira

Proton reveals its new mid-sized four-door sedan, the Inspira. The car, which would be launched later in November, is essentially a rebadged Mitsubishi Lancer GT and is RM40,000 cheaper.

15: Budget 2011

The Government decides to grant full excise duty exemptions on hybrid cars below 2,000cc until Dec 31, 2011. The move results in a significant drop in price for hybrid cars in Malaysia.

22: BCorp granted vehicle manufacturing plant licence

Berjaya Corp Bhd is granted a manufacturing plant licence by the International Trade and Industry Ministry for the assembly of hybrid and electric cars as well as commercial and luxury passenger vehicles.

DECEMBER

2: Launch of Kuala Lumpur International Motor Show (KLIMS) 2010 new models unveiled.

MAA launches KLIMS 2010. The event sees a slew of local and foreign concept cars revealed and new models launched. Honda Malaysia launched its entry-level Insight hybrid, which replaced its Civic Hybrid. However, some big brands are largely absent. Over 300,000 people attend the 10-day event.

8: Lotus ties up with Renault in F1

Proton's Group Lotus plc officially announces its entry into F1 in 2011, acquiring a major stake in the Renault F1 Team from Genii Capital.

21: DRB-HICOM officially ties up with Volkswagen

DRB-HICOM signs an agreement with Volkswagen to produce the latter's cars in Malaysia, starting with the Jetta and Passat from end- 2011. - By EUGENE MAHALINGAM, Starbiz.