Tan Chong to set up RM500mil auto hub in Bagan Datuk
Buses and trucks to be assembled under RM100mil first phase
PETALING JAYA: Tan Chong Motor Holdings Bhd has announced a RM500mil investment plan to set up an automotive hub in Bagan Datuk in Perak.
The first phase of the project will kick off with a RM100mil investment for land acquisition and the construction of a plant to assemble buses and trucks.
The project will be located on a 338-acre site in Bagan Datuk, the company said in a statement yesterday.
Aptly called the “Tan Chong Automotive & Commercial Vehicle Hub”, the hub is expected to strategically tap into the growth regions of the Northern Corridor Economic Region.
“It is a strategic business plan that demonstrates the Tan Chong Motor Group’s commitment towards Malaysia’s industrialisation and economic growth,” Tan Chong said.
The statement, however, did not offer any timeline for the project.
The first phase of the project will involve the building of a new facility to build buses and trucks. Once completed, this new plant will cater to the production expansion needs of the local and export markets.
The group’s unit Tan Chong Industrial Equipment (TCIE) is the sole distributor of UD trucks and buses in Malaysia,
Buses produced by the group are currently exported to Singapore, Hong Kong and Myanmar.
Tan Chong Motor Group continues to explore potential markets in the region, including Thailand, Sri Lanka, Vietnam and Indonesia, among others.
The group is the exclusive distributor of Nissan, Renault and Infiniti pessenger vehicles and operates two automotive assembly plants in Segambut and Serendah.
It also operates assembly plants in Vietnam and Myanmar.
Even as it perpetuates its mission as a responsible corporate entity, Tan Chong said the support extended to it by the pertinent government agencies in making the story of Bagan Datuk a successful one.
Earlier, Tan Chong announced the investment plan at a press conference held in Wisma Umno Bagan Datuk.
The event was attended by Deputy Prime Minister Datuk Seri Dr Ahmad Zahid Hamidi, the Barisan Nasional candidate for Rungkup state seat Datuk Shahrul Zaman Yahaya, Tan Chong Motor Holdings president Datuk Tan Heng Chew, as well as officials from Sime Darby Plantation Bhd, the Perak State Development Corp, Bagan Datuk district office, federal, state and local authorities.