Chinese electric vehicle manufacturer BYD Auto plans to establish its inaugural assembly plant in Malaysia, situated in Tanjong Malim, Perak. The facility is slated to begin operations in the latter half of 2026, though details on production capacity and investment size remain undisclosed.
KLK confirms BYD's new facility and anticipates automotive ecosystem growth
Reports from The Edge Malaysia and Nanyang Siang Pau have confirmed that Kuala Lumpur Kepong Berhad (KLK) will host BYD's assembly plant within its technology park in Tanjong Malim, where BYD has leased an initial 150 acres of land. KLK views BYD's entry as a catalyst for developing a localized automotive ecosystem and is collaborating with government bodies to enhance Malaysia's role in the electric vehicle supply chain. However, the company has not yet revealed the plant's planned annual output or the specific BYD models to be assembled.
EV market share and BYD's position in Malaysia remain modest but growing
Electric vehicles currently represent only about 5-6% of total automotive sales in Malaysia, yet BYD has emerged as the leading EV brand in the country. Data from Malaysia's Land Public Transport Agency indicates that between January and June 2025, the EV market size reached roughly 170,000 units. BYD registered 5,434 vehicles during this period, with the Atto 3 model leading sales. The local automaker Proton followed with 4,043 units, while Tesla sold 2,399 units.
Chinese electric vehicle manufacturers collectively hold over 50 percent of the Malaysian EV market, amounting to close to 8,400 vehicles. BYD currently maintains a distribution partnership with the Sime Group in Malaysia.
BYD expands production and exports in Southeast Asia
Beyond Malaysia, BYD's Rayong plant in Thailand has been operational for a year and started exporting vehicles to European markets, including Germany, Belgium, and the Netherlands. Initially established as a manufacturing hub for right-hand drive vehicles within Southeast Asia, the Rayong facility is broadening exports to comply with Thai government manufacturing subsidy requirements. This expansion aligns with BYD's strategy to strengthen its footprint in both domestic and export markets.
Article edited by Jack Wu
