KUALA LUMPUR: Tan Chong Motor Holdings Bhd
said its sub-subsidiary Tan Chong Motor Assemblies Sdn Bhd (TCMA) had entered into a letter of intent with Perodua Sales Sdn Bhd with regards to services provided for a Perodua battery electric vehicle project.
Under the agreement, TCMA, a 70%-owned subsidiary of Tan Chong & Sons Motor Company Sdn Bhd, in turn a wholly-owned unit of Tan Chong Motor, will provide ED coating and painting line services as well as rental and use of certain designation assembly lines to Perodua Sales.
Tan Chong Motor said in a stock exchange filing that the arrangement will optimise the existing assembly plant capacity to enhance operational efficiency and maximise asset utilisation.
It said it would also serve as an opportunity for participation in the electric vehicle segment of Malaysia's automotive industry.
