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EVs Across ASEAN: Proton and Smart's Strategic MoA to Transform Tanjung Malim

Imagine standing on the precipice of a transformative moment in the automotive industry—an inflection point where electric vehicles (EVs) cease to be a buzzword and become an integral part of a region's mobility landscape. Such is the impact of the freshly inked Memorandum of Agreement (MoA) between Proton and Smart Automobile at the 2023 China-ASEAN Expo (CAEXPO). This MoA aims to explore a Completely Knocked Down (CKD) EV project in Tanjung Malim, aligning itself with RM 32 billion worth of investment in the Automotive High-Tech Valley (AHTV).


Implications on the Market:

  1. Regional Transformation: The MoA sets the stage for Proton's Tanjung Malim facility to potentially become a regional EV hub. AHTV's massive investment inflow could significantly uplift the entire supply chain, contributing to Malaysia's growth and attracting global attention.

  2. Geely's Symbiotic Ecosystem: Both Proton and Smart are part of the Geely Group, and this strategic alliance could spawn an ecosystem of innovation and efficiency that extends beyond ASEAN, placing Geely's brands in a robust competitive position.

  3. Strengthening ASEAN's EV Infrastructure: Proton's commitment to introducing more New Energy Vehicles (NEVs) and Smart's potential local assembly could accelerate the establishment of vital EV infrastructure like charging stations, thereby fostering widespread adoption.


Three Insights for Investors:

  1. Geely as a Nexus: With both Proton and Smart under Geely's umbrella, investment in Geely equates to diversified exposure to the rapidly expanding ASEAN and EV markets.

  2. Upstream and Downstream Opportunities: The MoA and subsequent activities will necessitate robust logistics and supply chain operations, opening doors for investment in these sectors, directly or indirectly associated with AHTV.

  3. Policy Tailwinds: Malaysia and ASEAN are likely to promote favorable policies for the EV market, making it a highly conducive environment for long-term investment.


In a world where electric vehicles are not just an alternative but an imperative, this strategic partnership is not merely an MoA; it's a blueprint for the future. It symbolizes more than collaboration—it embodies the vision that can transform a market and prepare it for the future that's already here.


To stay ahead of the curve in this electrifying landscape, keep your dialogue open with us at Market Unwinded, where understanding the market is less about predictions and more about foresight.


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