Hong Seng Consolidated acquires Alliance EV to capture EV adoption in Malaysia - MIDA | Malaysian Investment Development Authority
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Hong Seng Consolidated acquires Alliance EV to capture EV adoption in Malaysia

Hong Seng Consolidated acquires Alliance EV to capture EV adoption in Malaysia

13 Feb 2023

Hong Seng Consolidated Bhd (HSC) has acquired Alliance EV Sdn Bhd (AEV), the electric vehicle (EV) business arm of CSH Alliance Bhd.

This acquisition is aimed to complement HSC’s recent collaboration with EoCell Inc (USA) (EoCell) in manufacturing EV batteries.

HSC executive director Lester Chin said that with AEV’s ready resources, the company aims to develop the latest EV manufacturing plant to capture the burgeoning EV adoption in Malaysia.

“This is also to increasing demand for eco-friendly transportation and the government’s active promotion of EV use by offering incentives and subsidies to buyers and manufacturers.

“We are also looking to be a contract assembler for other EV brands and players to help them facilitate the set-up of completely knocked-down (CKD) production lines in Malaysia at a later stage,” he said in a statement today.

HSC previously entered into a memorandum of understanding (MoU) with EoCell, outlining both parties’ intention to build and create a regional manufacturing hub in Malaysia to manufacture batteries for EVs and progress to other power storage solutions for EVs and to supply to EV manufacturers, assemblers, users in the Southeast Asian region.

EoCell is a major player in this sector due to its leading technology in energy storage solutions and has manufacturing tie-ups in Europe and the Americas for the local market there.

EoCell was also a key contributor from designing to manufacturing plug-in hybrid (PHEV) and EV batteries for prestigious and major European car brands.

EoCell selected HSC as its manufacturing partner for the Southeast Asian region.

Meanwhile, AEV is currently collaborating with BYD Malaysia Sdn Bhd (BYD), the Malaysian arm of BYD Company Ltd (BYD Group), a global leader in four major industries.

The collaboration entails cooperation in distributing the BYD T3 model, a fully commercial electric van, and setting up a 4S (sales, service, spare parts and body, and paint services) service centre and a local assembly plant in Malaysia.

To date, AEV has all the prerequisite business components ready to perform well in the EV sector.

The company successfully obtained the manufacturing license for the assembly of CKD commercial electric vans and model approval for the local assembly of commercial electric vans, primarily the BYD T3, from the Ministry of International Trade and Industry (MITI) in January 2023.

Subsequently, AEV also obtained the approved permits (AP) from MITI in February 2023 to bring the complete-built-up (CBU) units of BYD T3 into the country for distribution purposes before the set-up of the local assembly plant on the Tanjung Malim Land.

“HSC aspires to play its part in promoting sustainable developments.

“Therefore, as industry players, we need to accelerate the speed of automotive technology innovation and develop new concepts of electric, connected, autonomous, and shared mobility,” Chin said.

Source: NST