KUALA LUMPUR: The government has a plan to ensure smooth and equitable transition for the automotive industry after its liberalisation, says Deputy Prime Minister Tan Sri Muhyiddin Yassin.
He said sudden changes to the idustry could adversely affect the country’s automotive ecosystem, while urging local automotive producers to become more internationally oriented to help them survive in an increasingly competitive global environment.
“We have seen a gradual drop in new vehicle prices by three to five per cent in the fourth quarter of last year,” he said, attributing the price reduction to discussions between the government and automotive companies as part of the government’s long-term plan to reduce vehicle prices.
“I want to stress that sudden price reductions would affect the industry as a whole as well as the country’s economic development,” he said in his speech at the launch of Perusahaan Otomobil Kedua Sdn Bhd’s (Perodua) S series variants of the Viva, Myvi and Alza car models here yesterday.
Muhyiddin said the government plans to make Malaysia a regional production hub for energy efficient vehicles (EEVs), and urged Perodua to help the research and development activities of local automotive component makers to enable them to become suppliers for the local and global automotive industry. — Bernama