Malaysia to cement position as key player in EV ecosystem - MIDA | Malaysian Investment Development Authority
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Malaysia to cement position as key player in EV ecosystem

Malaysia to cement position as key player in EV ecosystem

30 May 2024

Country aims to become primary hub for supplying power chips to electric vehicles: Tengku Zafrul

Malaysia aims to solidify its position as a key player in the electric vehicle (EV) ecosystem by becoming a primary hub for supplying power chips to EVs, said Investment, Trade, and Industry Minister Tengku Datuk Seri Zafrul Abdul Aziz.

“Given the current global situation with geopolitical tensions, trade tensions, tech wars, and other issues, Malaysia, as a fiercely neutral country, is one of the nations that can serve as a hub for companies looking to expand their investments in this sector,” he told reporters after the launch of Gentari Green Mobility MY Initiative here yesterday.

He said the semiconductor sector plays a crucial role in Malaysia’s economy in terms of exports and trade. “This sector accounts for 40% of the total exports in the electrical and electronics sector,” he added.

Achieving green mobility today, for example, involves motorcycles and cars using chips, Tengku Zafrul said, adding that in an internal combustion engine car, there are about 600 to 1,000 chips, but in an electric vehicle, there can be almost 5,000 chips.

“Thus, this industry will continue to grow, not only in terms of its use in EV power chips but also with the rise of generative AI and other technologies. This sector is expected to grow, and by 2030, it is projected to be worth around US$1 trillion. So, what’s happening is significant,” he stressed.

Prime Minister Datuk Seri Anwar Ibrahim said on Tuesday that Malaysia can become the key hub to supply power chips to EV cars. He said the power chips are key in energy transition and decarbonisation technologies.

“Through Malaysia’s New Industrial

Master Plan 2030 and the National Energy Transition Roadmap, we already have the right policy enablers and incentives for companies wishing to manufacture them here,“he said in his speech at SEMICON Southeast Asia 2024 conference.

Clean energy solutions provider Gentari Sdn Bhd, through subsidiary Gentari Green Mobility Sdn Bhd, is expanding its efforts to drive green mobility adoption via a new hassle-free, long-term EV leasing solution for commercial fleet operators as part of its Vehicle-as-a-Service offerings.

“Malaysia has one of the highest rates of vehicle ownership among East Asian countries, which significantly contributes to carbon emissions in the country. To help lower emissions from the transport sector, Gentari is now introducing electric twowheelers as part of our Vehicle-as-a-Service offering, targeted towards facilitating businesses to transition to EVs.

“We are excited to collaborate with Lazada in decarbonising their logistics fleet operations,” commented Gentari deputy CEO and Gentari Green Mobility CEO Shah Yang Razalli.

Source: The Sun