New era for Naza automotive business
PETALING JAYA: The Naza group is transforming itself as an exporter, regional distributor and valuable partner to French automotive firm Groupe PSA in strengthening its presence in the Asean markets.
Last month saw the signing of the share sale agreement and a joint-venture (JV) agreement between the Naza group and Groupe PSA, officially establishing a shared operation of the Naza Automotive Manufacturing (NAM) plant located in Gurun, Kedah.
This JV is the French carmaker’s first manufacturing hub in South-East Asia, a vastly growing market with a potential 680 million customers.
The plant is expected to roll out its first vehicle after the acquisition this year, starting with the Peugeot 3008 SUV and the iconic Citroën C5 Aircross in 2019.
“We are enthusiastic with the tie-up with Europe’s second-largest manufacturer and look forward to Naza being a formidable player in the local and regional automotive scene,” Naza Corp Holdings’ automotive group CEO Datuk Samson Anand George said in a statement.
“Moving forward, we will replicate the strategy employed with Groupe PSA with other brands within our stable and also review and rationalise the two-wheel and four-wheel businesses within our automotive group,” he said.
NAM’s production capacity stands at 50,000 and less than 50% of that capacity is being utilised.
When maximised, Samson said NAM could supply completely-knocked-down vehicles, automotive components and spare parts for the Malaysian market and underserved markets in the Asean region.
“With this new alliance with Groupe PSA, Naza group aspires to achieve its goal to bring the brand global and restore our automotive business to its glory days when we dominated the Asean market in 2013 with 85% sales contributed by Malaysia alone.
“We firmly believe this partnership with Groupe PSA is the first step in the right direction and will enable Naza group to grow into a major automotive player in the increasingly competitive regional and global industry network,” added Samson.