Auto Sector 2019: Focus on Next-Gen Vehicle Tech
In line with Industry 4.0, the Malaysia Automotive Robotics and IoT Institute (MARii) and MITI will commit to strategic positioning of technology access points to cater to industry needs in the areas of talent development, manufacturing and research.
The technologies in question include connected mobility, advanced manufacturing, robotics, and big data analytics – which are key components in Malaysia’s soon-to-be-launched National Automotive Policy to further push the industry towards global competitiveness in a future digital economy that requires quick adaptation to latest technology.
The following technology access points initiatives to be deployed in 2019 cover manufacturing of Lithium-Ion Batteries and Electric Bus and System Integration; while research will cover EV InteroperabilityCentre (EVIC), Autonomous Vehicle Test Bed (AVTB) and Biodiesel Application Research Centre (BARC)
Dato’ Madani Sahari, CEO of MARii share on the performance of the automotive sector in 2018, as well as the sector’s outlook in 2019, at a recently event officiated by YB Dr. Ong Kian Ming, Deputy Minister of International Trade and Industry (MITI).
YB Ong said, “The automotive industry remains a catalyst towards developing a Malaysian workforce that is adept in technology and high value processes, synonymous with the capabilities of the advanced nations of the world.
The automotive industry intends o lead Malaysia’s drive towards emerging as a serious contender in the regional and global markets”.
Key Highlights in 2018
1.Automotive exports showed overall improvement by reaching record figures, while the domestic market showed signs of recovery:
a. Parts and component exports hit historic highs of RM 12.1 billion in 2018.
b. Vehicle exports rebounded from its decline in 2017, breaching the RM2billion mark for the first time(RM 2.08 billion).
c. Remanufactured parts and components also recorded an increase to RM 523.1 million, a steady increase year on year since MARii started reporting the sector’s performance in2016.
d. Total Industry Volume (TIV) and Total Production Volume (TPV) increased to 603,664and 572,471 respectively.
2. Significant increase in manufacturing and after sales jobs, with more career development options in high-skilled upstream careers:
a. 64,839 new jobs created in manufacturing and aftersales.
b. Industry 4.0 talent development became a key focus for MITI and MARii in 2018, with 2,433 participants benefitting from programmes covering product design & validation, data analysis, virtual reality, and automotive cloud computing applications.
3. Business productivity improved through MARii’s capacity building programmes:-
a. 590 parts and component suppliers have attained Supply Chain Level 3 and above, with 55 companies attaining the highest rating of Level 5, capable of in-house product and process design – achieved through the Lean Production System (LPS) and the Automotive Supplier Excellence Programme (ASEP).
b.More than 1000 workshops and dealers enhancedtheir business acumen and best practices through MARii Workshop Transformation Programme (WTP) and Dealers Entrepreneurship Enhancement Programme (DEEP)
4.Increased public buy-in and awareness on future mobility, energy efficiency and vehicle safety:
a. Energy Efficient Vehicles (EEV) penetration surpassed its 2018 target, hitting 62%, signifying public interest in fuel saving and carbon emission reduction.
b. MARii’sflagship public engagement programmes reached 422,113 people in 2018, through the organization of the Malaysia Autoshow, Car Care Week and SafeCar programmes.
c. Numerous autoshows held throughout the Malaysian calendar added tremendous value and choices for consumers.
Enhancing Capacity Building for Proton and Perodua
MARii also announced strategic programmes that were carried out with Proton and Perodua in 2018to address human capital, supply chain and technology development, accelerating the alignment to Industry 4.0.
“The rebranding of MARii was specifically designed to connect the automotive sector to advanced manufacturing and connected mobility services, particularly for our national brands Proton and Perodua, that are highly dependant on local content from Malaysian parts and component suppliers,” said Dato’ Madani.
The automotive sector is expected to continue contributing significantly to the Malaysian economy via overall growth from a multitude of angles – such as OEMs, parts and component suppliers, after sales businesses, re-manufacturers, workforce, and Malaysia motorists at large.