NAP 2020 to incorporate new technologies, driving automotive sector further, says Dr M

  • Nation
  • Friday, 21 Feb 2020

KUALA LUMPUR (Bernama): The National Automotive Policy (NAP) 2020, which was launched Friday (Feb 21), will incorporate three new advanced technology elements namely Next Generation Vehicle, Mobility as a Service and Industrial Revolution 4.0.

Prime Minister Tun Dr Mahathir Mohamad said vehicle technology was a critical development focus for today's global carmakers to enhance vehicle safety as well as to make mobility more intelligent and environmentally-friendly.

Apart from aligning with current technological trends, the NAP 2020 he said, also aims to enhance current policies while introducing new measures, which would be a holistic industrial development policy, catering to different needs and expectations of various stakeholders within the value chain.

"In this regard, NAP 2020 has considered all possible elements in the areas of research and development, participation of domestic companies in the local and global supply chain, engineering activities, capability and capacity-building of local talent, enhancement of exports as well as investment incentives," he said in his keynote speech at the launch of NAP 2020, here Friday.

Dr Mahathir added that the automotive industry and related sectors have employed more than 600,000 people and contribute 4.0% to Malaysia's gross domestic product.

According to him, there are more than 20 manufacturing and assembly plants in the country producing passenger and commercial vehicles, as well as motorcycles and scooters.

"Moving downstream, there are about 53,000 aftermarket establishments and more than 600 automotive parts and component manufacturers that range from body panels, trim parts, powertrain parts, rubber parts and electrical and electronic parts.

"These numbers are not only impressive but also a testament to how a developing country such as Malaysia could be a strong player in a concentrated industry such as this in the last three decades," he said.

The premier added that another important feature of the NAP 2020 is the continuous endeavour towards sustainable production where across the globe, the circular economy model is becoming the norm and the success of an industry or a sector is now being measured by, among others, the carbon footprint.

"The automotive industry has gone through the same phases of the industrial revolution.

From coal to fuel-powered engines, the next generation vehicles are now engineered by powertrain of hybrid, electric and hydrogen fuel cells."

The promotion and adoption of green technology for Energy Efficient Vehicle and the Next Generation Vehicles he said, will need to be supported by the right ecosystem and infrastructure for it to be sustainable and attractive.

"Facilities for end-of-lifecycle battery cells and waste management and treatment will be enhanced, if not established, which will then complete the entire ecosystem for not only the automotive industry but also for other related industries," said Dr Mahathir. - Bernama

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