DRB-HICOM and Geely sign agreement to turn Tanjung Malim into an automotive Silicon Valley

DRB-HICOM Bhd and Geely have signed a Heads of Agreement (HOA) that aims to see the development of the Automotive High-Tech Valley (AHTV) as Malaysia’s next-generation vehicle hub in Tanjung Malim.

Signed at the Malaysia-China Business Forum held in conjunction with Prime Minister Dato’ Seri Anwar Ibrahim’s official visit to China, the focus of the HOA is the development of an integrated automotive city that will give birth to a hub for a new energy vehicle (NEV) industry.

Occupying an area of approximately 1,000 acres, AHTV is expected to attract some RM 32 billion worth of investments over the next 10 years including by Proton. The AHTV will also receive direct and indirect benefits from Proton’s plan to fully relocate its manufacturing facilities to Tanjung Malim by 2026.

AHTV will also include a research-based university to nurture new talents and development in areas of new and emerging technologies for the industry and the automotive sector in general. It will also house an R&D centre that will provide carmakers with a tropicalised setting to test their vehicles.

With the global trend shifting towards NEV, Geely’s role in the development of AHTV is apt, given the Chinese carmaker’s wide experience in the sector. Geely's flagship brand, Geely Auto, has launched several NEVs, including the luxury EV brand Zeekr.

Also read: Geely's luxury EV arm launches Zeekr 009 MPV; 700 km, price equivalent to RM 325k

The company has also invested in a range of battery technologies and has a dedicated new energy division which is focused on developing and producing NEVs, and has announced plans to launch more than 30 new energy models across its brands by 2025.

Also read: Smart: Proton to be centre of brand's EV strategy for SEA, one new model every year until 2024