Suzuki Malaysia extends presence into Brunei

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KUCHING: Suzuki Malaysia Automobile Sdn Bhd (Suzuki Malaysia), a unit of DRB Hicom Bhd (DRB Hicom), witnessed another milestone yesterday when it flagged off its first export batch of locally-assembled Swift 1.5L model to Brunei.

OFF THEY GO: Nik Hamdan (left) and Ibrahim (right) signalling the ‘thumbs-up’ sign alongside two of Boustead’s branch managers James Wong (second, left) and William Lee, after the flag-off ceremony of its first export batch of locally-assembled Swift 1.5L to Brunei. — Bernama photo

OFF THEY GO: Nik Hamdan (left) and Ibrahim (right) signalling the ‘thumbs-up’ sign alongside two of Boustead’s branch managers James Wong (second, left) and William Lee, after the flag-off ceremony of its first export batch of locally-assembled Swift 1.5L to Brunei. — Bernama photo

In a company statement yesterday, Suzuki Malaysia’s managing director Ibrahim Maidin said the company wanted to expand the Suzuki product range in the sultanate, due to the growth potential seen in the brand’s market share there.

“The company is targeting to sell 10 units of Suzuki Swift monthly as a starting point to expand the Japanese brand’s presence in Brunei, especially in the 1.5-litre segment,” he added.

The expansion of the model’s market to the sultanate was made possible through Boustead Cars Sdn Bhd (Boustead), one of the leading automotive distributors in Brunei.

Also present at the flag-off ceremony was DRB Hicom’s group director for automotive Datuk Nik Hamdan Nik Hassan.

He highlighted that the distribution of Suzuki Swift by Suzuki Malaysia to Brunei was a congruent decision as the country held a vibrant total industry volume record of 12,264 units last year.

“In the market now are Swift 1.3L and Swift Sport 1.6L for Brunei. However, we believe that with our working relationship with Boustead, we can work together towards expanding the 1.5L market. There’s a vacuum that we can fill up,” he said.

Suzuki is currently the second best-selling brand in Brunei with a 9.3 per cent share.

Additionally, Ibrahim said Suzuki Malaysia remained optimistic in meeting the monthly volume for the export market, given its good track record in the domestic market.

“The export to Brunei was a testimony to the quality and efficiency of Suzuki Malaysia’s capacity for local assembly,” he stressed.

Looking ahead, Suzuki Malaysia would be eyeing a 13 per cent growth in sales for the financial year ending March 31 2011 led by continued solid demand, particularly for the locally-assembled Swift, launched in July 2007.

Notably, the Swift range contributed about 70 per cent to the company’s total sales.

“This particular variant alone garnered 40 per cent of the total market share in the sub-compact passenger category,” added Ibrahim.

To date, Hicom Automotive had produced 10,600 units of the Swift model. It would target production of 500 units a month for this year.

For the last financial year, the company achieved a total registered volume of 5,588 units, an increase of 659 units or 13 per cent. The figure included sales for the three completely built-up models namely Swift Sport, Grand Vitara ‘four-by-two’ and SX4 Sport Crossover.

“For next year, we’re looking at continuously growing at least at the same rate or nothing less than 13 per cent,” Ibrahim continued. The company also planned to introduce two new models in the premium segment as well as in the one-litre compact car segment this year.

Currently, there are 26 dealer service centres nationwide including two in East Malaysia, each of which offers a complete service support from preventive maintenance service to breakdown repairs. The average service intake performance for the fiscal year ended March 31 this year was at 2,825 units per month.