Automakers Encouraged to Integrate Local Vendors into Supply Chains

Kuala lumpur: Automotive manufacturers operating in Malaysia must deepen their localisation efforts by integrating local vendors and small and medium enterprises (SMEs) into their global supply chains, said Deputy Investment, Trade and Industry Minister Sim Tze Tzin. He emphasized the importance of local content development alongside sales volume, urging more Malaysian companies to participate as global manufacturers expand in the country.

According to BERNAMA News Agency, Sim highlighted the need for automakers to support the growth of Malaysia's automotive ecosystem through technology transfer, talent development, and increased sourcing of components from local suppliers. He encouraged manufacturers to share expertise with local component makers to help them become global suppliers. Additionally, he stressed the importance of investing in training for Malaysian engineers and technicians to handle increasingly sophisticated automotive technologies.

Sim explained that as local vendors grow, the entire ecosystem becomes more competitive, providing manufacturers with a more efficient and cost-effective global base. This call to action comes as global automotive players expand their presence in Malaysia, with the sector benefiting from growing investments in manufacturing, supply chains, and research and development.