Kia Malaysia Sdn Bhd to take care of CKD unit production

KUALA LUMPUR: Kia Motors Corporation, aka, Kia has entered into a strategic partnership with Bermaz Auto Berhad, aka, BAuto. Why? Well, this union will expand the production and assembly of Kia vehicles in the country. This new incorporation will be called Kia Malaysia Sdn Bhd (KMBS), it shall undertake CKD vehicles assembler in the country. These vehicles will be called Kia JV.

Initially, the automaker has planned three cars under the Kia JV tag, which include the Seltos and Carnival. The third car is not known at the moment but it is scheduled for a later stage. Note that Kia intends to make KMBS the brand's manufacturing hub for ASEAN and other markets.

Any changes in distribution?

Dinamikjaya Motors Sdn Bhd (DJMSB), a subsidiary of BAuto is appointed as Kia's new distributor in Malaysia. DJMSB, thus holds the right to distribute and sell all Kia vehicles (CKD and CBU), genuine parts, and provide after-sales service. Furthermore, it also has the responsibility to build Kia's awareness and reputation in the country.

Mr. Tae Hun (Ted) Lee, the President and Chief Executive Officer of Kia Asia Pacific said, “After months of searching for the right partner, Kia is delighted to enter into the Kia JV and Kia Distributorship with BAuto. With BAuto’s proven capability in successfully building up automotive marques in Malaysia and the Philippines as well as their automotive manufacturing experience, we believe we have placed the Kia brand in good hands under the capable leadership of its Executive Chairman, Dato’ Sri Ben Yeoh.”

He further added, “BAuto is a renowned public listed automotive company in Malaysia. It has a strong management team and good track record. Hence, Kia is confident that the Kia JV and Kia Distributorship will promote growth and bring synergistic benefits to both parties.”

Dato’ Sri Ben Yeoh, the Executive Chairman of BAuto said, “We are pleased to be given this opportunity to undertake the Kia JV and Kia Distributorship with our partner, Kia under Hyundai Motor Group, which is Korea's second-largest multinational automotive manufacturer and currently the fifth-largest automotive manufacturer in the world. Kia marque vehicles are well-known for their stylish looks, packed with smart features, frequent facelifts, and new launches that keep prospective buyers excited over its products. The Kia JV and Kia Distributorship will complement our existing Group automotive businesses and we look forward to a successful collaboration with Kia.”

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