Mercedes-Benz Malaysia's Pekan facility clocks production milestone of 100,000 CKD units

KUALA LUMPUR: Mercedes-Benz Malaysia has achieved a milestone of producing 100,000 units at its Pekan production plant, which was established in 2004. This significant achievement reflects the company's dedication to manufacturing excellence and its commitment to the Malaysian automotive industry.

Mercedes-Benz Cars Malaysia CEO and Mercedes-Benz Cars SEA II Head of Region, Amanda Zhang said, “Mercedes-Benz is the first and only luxury automotive manufacturer to master the local production process in Malaysia. Since its establishment in 2004, the Mercedes-Benz Production Plant in Pekan has played a pivotal role in shaping the Malaysian automotive landscape. This year’s milestone achievement highlights the plant’s remarkable evolvement and journey, reinforcing our commitment to strengthening our foothold in the luxury car segment.”

The company has invested over RM 500 million in the plant to enhance local vehicle production quality and strengthen the brand's presence in the region. Another recent milestone hit by this facility was the commencement of local assembly for the Mercedes-Benz EQS 500 4Matic in February. which replaced the previously launched CBU model.

The automaker has also collaborated with HICOM Automotive to pursue a Green Production Initiative at the plant. The objective is to adopt energy, water, and waste reduction strategies while increasing the utilisation of renewable energy in the manufacturing process. The target is to raise reliance on renewable energy from 30% to 85% by the end of 2030.

Mercedes-Benz Malaysia Vice President of Production, Andreas Lettner said, “In alignment with our sustainability vision, we are committed to reducing our carbon footprint by minimising water and energy consumption while efficiently managing waste. Collaborating with our contract manufacturing partner, HICOM Automotive, we’ve undertaken numerous upgrades at our plant.”

“These enhancements encompass investments in machinery, capacity expansion and the implementation of various sustainability measures. These measures include energy conservation, reduced raw material consumption through innovative packaging, rainwater utilisation and the integration of green energy through photovoltaic panels.”

Also read: 2023 Mercedes-Benz EQS SUV launched in Malaysia