We all know Malaysia’s investment, trade and industry ministry (MITI) has of late been pushing for more localisation in locally-assembled (CKD) cars; now, according to a Bernama report, it seems that the use of Malaysian steel is going to be one of the focus points moving forward.
Deputy minister Sim Tze Tzin yesterday said at an iron and steel industry conference that the new customised incentive mechanism (NCM) that will be implemented next year will encourage carmakers to increase local sourcing, including replacing imported steel with locally-produced materials.
“If they want to enjoy our excise duty, lower excise duties, then they have to really, really go deep into localisation – genuine localisation,” he said, adding that Malaysia’s iron and steel industry traditionally focused on construction and infrastructure.
Sim said he hoped that the move would open up the automotive market to domestic steelmakers, stressing that the industry must invest in producing automotive-grade steel. He also cited price competitiveness and the investment needed to meet higher safety standards as obstacles.
Not sure about the steel, but I don’t trust Deputy Minister Sim, and these MITI cronies in making the decision.
Man of Steel, our superhero huhu
That’s good, we could first sell raw material cheaper,
They could fabricate and mould to required ultra high steel tensile up to 2000-2200Mpa not available in traditional legacy cars.
65% of 40.77million registered vehicles are active. 1 year only sales up to 0.8mil, many are waiting or to upgrade. At the end of the day, competitive value for money reward with high satisfaction can drive sales and tax income.
after a car crash , door made from malaysian steel can easily be bent open using hand.
How about the local suppliers actually use local materials and components as well, instead of importing cheap china crap and slapping a Made in Malaysia label on them, while yapping about local manufacturing and national pride at the same time.
The AP methods long live for the UHNO gang
Keputusan yang sangat tidak pandai. Kenapa pegawai Miti, menteri Miti dan timbalan menteri Miti membuat keputusan yang menyusahkan pembuat kereta EV dan juga meninggikan bebanan subsidi minyak negara.
as if malaysian can fabricate high quality steel products for those factories to use. go and study what malaysian steel companies produce themselves and import from where first