CKD plans for Kia Carnival in Malaysia pushed to May 2022 due to lockdowns

CKD plans of the Kia Carnival in Malaysia will have to be pushed back further due to delays caused by prior COVID-19 lockdowns.

According to a recent report by RHB Investment Bank, the CKD operations of the Kia Carnival will now be postponed until May 2022 from the initial Dec 2021 target period due to delays caused by lockdown measures.

New owners Bermaz Auto, through subsidiary Dinamikjaya Motors, took ownership of the Kia brand in Malaysia in April of this year and immediately touted CKD plans for Kia Seltos and Carnival models.

Under new leadership, the Kia Malaysia Sdn. Bhd. (manufacturing operations) was slated to catalyse Kia’s revival by introducing several competitively priced locally-assembled (CKD) models, something which the previous distributor Naza Group was unable to do after selling control of its Naza Automotive Manufacturing plant in Gurun, Kedah to Groupe PSA in February 2018. 

Also read: Kia has been rescued by Bermaz – CKD Seltos and Carnival to be launched in Malaysia

However, Bermaz Auto also said that it would take between 12 to 18 months to setup a CKD operation and instead first set its sights first on rebuilding the after-sales network and address the longstanding issues faced by many Kia customers – lack of spare parts, delayed warranty claims etc.

Bermaz Auto’s Executive Chairman Dato’ Sri Ben Yeoh said at the time, “We need to make people who have supported the (Kia) brand before happy before we can try to create new customers. Our immediate priority is to make at least the current customers happy, to meet at least their minimum expectations.”

Also read: No easy solution for Kia’s after-sales woes in Malaysia, even with Bermaz

The Kia Malaysia manufacturing operation is a joint venture between Bermaz Auto and Korea’s Kia Motors. Bermaz owns 33 percent while the rest is owned by Kia Motors.

The Kia Malaysia plant will be located within the Inokom manufacturing campus in Kulim, Kedah which 29 percent owned by Bermaz Auto and the rest, split between Sime Darby Motors and Hyundai Motor.

Also read: Bermaz: CKD Kia Seltos and Carnival not until 2022, priority is to rebuild after-sales

In earlier reporting, WapCar believes that CKD Kia models will be assembled within an existing, under-utilized facility currently used by Hyundai-Sime Darby Motor to assemble the Hyundai Santa Fe.

Besides the Kia Carnival and Seltos already identified for CKD production, a third CKD model is also rumoured to be announced in due time.  WapCar.my understands that discussions to CKD the Kia Sportage and Kia Sorento are still ongoing.

Also read: Rivalling the Kia Carnival, the Hyundai Staria might be the cheaper-yet-cooler 11-seater MPV

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