Warnings are mounting over the vulnerability of Malaysia’s auto industry to a price war driven by Chinese electric vehicle (EV) makers.
That spells trouble for Malaysia’s home-grown car sector.
“Chinese OEMs (original equipment manufacturers), especially BYD, Nio and Xpeng, will divert production to markets where regulatory resistance is minimal, national competition is nil and growth is unfulfilled – Asean fits this picture perfectly,” Damien Duhamel said, managing partner and automotive industry expert with management and strategy firm Eurogroup Consulting.
Asean is the 10-member bloc of Southeast Asian nations.
Last month Chinese EV giant BYD offered steep discounts of up to 26,000 ringgit (US$5,900) for its top-line version of the Atto 3 electric SUV, lowering its price to 123,800 ringgit (US$28,000) – the same price range as the premium version of Malaysia’s Proton e. Mas 7, its first EV offering.
