Perodua ready to step forward to ensure industry's continued survival - MIDA | Malaysian Investment Development Authority
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Perodua ready to step forward to ensure industry’s continued survival

Perodua ready to step forward to ensure industry’s continued survival

04 Jun 2020

Perodua is eager and ready to step forward and work with the government to ensure the industry’s continued survival during the current difficult time of COVID-19 outbreak and the Movement Control Order (MCO).

Its president and chief executive officer Datuk Zainal Abidin Ahmad said Perodua is in full support of the government’s aim to fortify Malaysia’s automotive industry in these trying times and its various initiatives to achieve it.

“It is indeed a challenging time for all of us, however, Perodua is confident that with the government’s collaboration, the industry, as well as its ecosystem of suppliers and dealers, will be able to weather the storm together,” he said in a statement today.

According to the latest report by the Malaysia Automotive, Robotics and IoT Institute (MARii), it estimated a 28 per cent drop in new car sales this year due to the MCO brought about by COVID-19 and a minimum 500,000-unit total industry volume is needed in 2020 for the continued survival of the automotive businesses.

Among the incentives outlined by MARii to stimulate demand includes a temporary waiver on down payments, reduced loan interest rates and joint subsidies between carmakers and the government for road tax and insurance for a limited time period.

He said Perodua is also doing its part to sustain its vast ecosystem of suppliers and dealers.

“Besides our volume, we assist and support them through investments, purchases and advance purchases, longer credit terms as well as various operational transformation initiatives and development programmes,” he added.

Perodua has sold 52,920 vehicles as of the first five months of 2020, giving it a 41 per cent market share against an estimated year-to-date total industry volume of 129,401 units.

All current Perodua models have over 90 per cent local content, and last year, the carmaker purchased RM5.4 billion worth of components from Malaysian suppliers.

Source: Bernama

Posted on : 04 June 2020