11-10-2023 (KUALA LUMPUR) Malaysian automotive company DRB Hicom announced on Wednesday that it has entered into an agreement with Chinese car manufacturer Zhejiang Geely Holding Group Co Ltd to collaborate on the development of an automotive hub in Malaysia. This partnership follows Malaysian Prime Minister Anwar Ibrahim’s previous announcement in July, stating that Geely plans to invest $10 billion in establishing an auto-making hub in Tanjung Malim, a town located in western Malaysia.
In a statement, DRB Hicom explained that the agreement establishes the fundamental principles, governance framework, and mutual commitment for the Automotive Hi-Tech Valley project. The project’s primary focus will be on the manufacturing of automobiles, as well as the production of high-technology components and parts for new energy vehicles. DRB Hicom anticipates that the initiative will attract investments from both local and foreign companies, further bolstering the automotive industry in Malaysia.
DRB Hicom currently holds the majority stake in Proton, a Malaysian car manufacturer, while Geely holds a 49.9% stake in the company.
