Published: Thursday March 7, 2013 MYT 4:36:00 PM

Japan's Mazda investing RM100m in Kulim assembly plant

KUALA LUMPUR: Japanese car maker Mazda is investing RM100mil to set up an assembly plant in Kulim, Kedah to produce energy-efficient vehicles, the Malaysia Automotive Institute said.

Chief executive officer Mohamad Madani Sahari said the plant, to operate in Inokom Corp Sdn Bhd's plant area, will come up with its first complete knocked-down (CKD) model next month.

"The plant will be producing cars for Malaysia and the region," he told reporters on the sidelines of the Automechanika exhibition here on Thursday.

Mohd Madani said the cars produced by Mazda in Kulim will be equipped with SkyActive Technology offering power but with better mileage and low emissions, enabling them to be categorised as energy-efficient vehicles.

He said for a start, Mazda will introduce one model this year, followed by another two models next year.

He added that the Japanese carmaker also plans to use 50 per cent of local components in its CKD model within a year, in line with their localisation efforts to bring costs down.

Mohd Madani said the institute was in talks with five more automotive companies to bring their operations to Malaysia. - Bernama

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