Stellantis to transform Malaysia into Asia-Pacific hub by 2025

Stellantis, the global automotive giant, is gearing up to make Malaysia its new hub for the Asia-Pacific region by 2025. As reported by Hezeri Samsuri on Careta, this plan includes exporting 280,000 vehicles from Malaysia to 20 countries across the region by 2028. Malaysia will also serve as Stellantis' headquarters and regional distribution centre for parts in the Asia Pacific.

The Stellantis facility in Gurun, Kedah, is set to ramp up production, with a focus on both local assembly and exports. This expansion includes increasing the range of models offered in the market. Notably, Stellantis aims to introduce five Battery Electric Vehicle (BEV) models in Malaysia, positioning the country as a potential hub for EV battery assembly for local and ASEAN markets, as well as India.

The Gurun factory's production capacity is expected to reach its maximum by the end of 2026, focusing primarily on exports. Currently, the factory has a maximum production capacity of 60,000 units per year, which can be increased to 90,000 units with an additional shift, without requiring further capital investment. Products using the STLA M platform will incorporate 80 percent of components from ASEAN by 2026, potentially leading to component purchases from Malaysia worth up to RM5 billion.

Peugeot will be the lead brand for Stellantis in this expansion, with the Peugeot E-3008 set to be introduced in Malaysia. Stellantis's strategy includes introducing multi-energy vehicles, including EVs from the STLA-M platform, which can produce EVs with a range of up to 700 km and optimal charging and driving performance.

Stellantis's global investment in electrification software alone exceeds €30 billion from 2021 to 2025. Ashwani Muppasani, who will be based in Malaysia, highlighted the strategic importance of this expansion, considering the rapid economic growth in India and the Asia-Pacific region.

He noted that as vehicle sales in the US and Europe have plateaued, Stellantis is focusing on regions like Africa, Latin America, and Asia-Pacific, where countries like Malaysia, Indonesia, Bangladesh, and Vietnam show strong economic growth.

Peugeot, recognized as a premium mainstream brand, will be key to Stellantis's strategy in ASEAN before introducing other brands. At the end of last year, Stellantis announced taking over Peugeot sales in Malaysia from Bermaz, marking a new phase of direct responsibility for assembly, distribution, and sales of Peugeot and other brands to be introduced in Malaysia.

Daniel Gonzalez, COO for ASEAN at Stellantis, met with local Peugeot owners and dealers to discuss upcoming changes, emphasizing Stellantis's commitment to customer satisfaction and ownership experience in the Asia Pacific.

For a detailed look into Stellantis's plans and their impact on Malaysia and the ASEAN region, check out Hezeri Samsuri's full report on Careta.

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