DRB-Hicom and Geely sign agreement to make Tanjong Malim more "high-tech"

By Gokul, 03 April 2023

The agreement will see Tanjong Malim transform into the Automotive High-Tech Valley (AHTV)

Proton Geely

DRB-HICOM Berhad and Geely have signed a Heads of Agreement (HOA) to reinforce the next phase of collaboration between the two companies.

Signed at the Malaysia-China Business Forum held in conjunction with Prime Minister Dato’ Sri Anwar Ibrahim’s official visit to China, the HOA aims to see the development of the Automotive High-Tech Valley (AHTV) as Malaysia's next-generation vehicle hub in Tanjong Malim covering extensive automotive and mobility solutions value chain, from a fully-fledged high technology global research and development centre to a manufacturing cluster and supporting services and associated ecosystem.

The focus of the HOA is the development of an integrated automotive city that will give birth to a hub for a new energy vehicle (NEV) industry.

It is said that AHTV will occupy an area of approximately 1,000 acres and will be expanded accordingly to cater for future needs.

The agreement was signed on behalf of DRB-HICOM by its Group Managing Director, Dato’ Sri Syed Faisal Albar while Geely was represented by Daniel Li Donghui, the Chief Executive Officer of Geely Holding Group.

After the Malaysia- China Business Forum YAB Dato’ Seri Anwar witnessed the exchange of documents between the parties. 

AHTV will also receive direct and indirect benefits from PROTON’s plan to fully relocate its manufacturing facilities to Tanjong Malim by 2026. PROTON currently produces five models in AHTV and another two models in Shah Alam, Selangor.

AHTV will also include a research-based university to nurture new talents and development in areas of new and emerging technologies for the industry and the automotive sector in general. It will also house an R&D centre that will provide carmakers with a tropicalised setting to test their vehicles.

With the global trend shifting towards NEV, Geely’s role in the development of AHTV is apt, given the Chinese carmaker’s wide experience in sector. Geely's flagship brand, Geely Auto, has launched several NEVs, including the intelligent luxury EV brand Zeekr. 

The company has also invested in a range of battery technologies and has a dedicated new energy division which is focused on developing and producing NEVs, and has announced plans to launch more than 30 new energy models across its brands by 2025.

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