Chery to build new factory in Malaysia in 2014
(Shanghai May 24, 2013) – Chery will establish a new vehicle assembly plant in Malaysia within the next five years, which will begin operation sometime next year, autohome.com.cn reported today. The manufacturer will assemble vehicles in knockdown form to be exported to various countries in South and Southeast Asia. The news was announced by Chery Vice President Zhou Biren at a press conference following the signing of a strategic partnership agreement between the manufacturer and the Badminton World Federation earlier this week.
Reports of Chery’s intent to establish a base in Malaysia appeared as early as 2012, when Paul Ng, head of Chery Holding’s Malaysian branch, said that his company was investing 250 million ringgit ($81.22m) to build an automobile production site in the country. According to Mr. Ng, the manufacturer will focus on producing right-hand drive vehicles in the country, for both domestic use and exports to neighboring countries including Thailand, Indonesia, India, Sri Lanka and Pakistan.
Following its initial entry into Malaysia in 2005, Chery has brought over a variety of models to the country, including the A1, QQ, Tiggo, B14 and H13. In 2008 Chery signed an agreement with local distributor Alado to establish a local joint venture partnership. Chery currently possesses over 50 direct sales outlets and allied dealerships in the country.