Akashi Invests RM220 Million On E-AT Plant In Seremban
By Zarul Effendi & Razali Pilus
SEREMBAN, March 7 (Bernama) -- Daihatsu Motor Company, through its subsidiary, Akashi Kikai Industry (M) Sdn Bhd, will build an Electronic Automatic Transmission (E-AT) plant in the Sendayan Tech Valley here with an estimated investment of RM220 million.
President of Akashi-Kikai Industry Corp Ltd, Noriyoshi Matsushita, said work on the plant, the first of its kind in South East Asia, will begin middle of this month. Completion is expected by end of this year.
"The plant will go through pilot operation for about one year before beginning official operation in November 2013," he told reporters after the signing of a sales and purchase agreement here today between Akashi Kikai and Negeri Sembilan's Menteri Besar Incorporated and BSS Development Sdn Bhd.
The agreement was for the purchase of 113,000 sq metres of industrial land for the plant at the Sendayan Tech Valley.
The plant will produce the E-AT systems for supply to Perodua Myvi and Perodua Alza.
Perodua has a 10 per cent stake in Akashi Kikai Industry (M), while Japan-based Akashi Kikai Industry Co Ltd holds 51 per cent and Daihatsu 39 per cent.
The company also expects to tap the export market for the E-AT systems in the future.
Noriyoshi said during the one year pilot period, the company will test about 200 potential vendors, including ten local vendors.
The production capacity of the new plant is expected to reach 150,000 units per year.
Perodua Managing Director Datuk Aminar Rashid Salleh meanwhile said the new E-AT plant is part of Daihatsu's continued commitment to invest in Malaysia and part of Perodua's five-year strategic roadmap to become more competitive.
"We are very happy that Malaysia was chosen for this project as it shows that the country is still a viable investment destination for investors."
Aminar also hoped that local vendors will be given the opportunity by Daihatsu and Akashi Kikai Industry to participate in the project.
At the signing today, witnessed by Menteri Besar Datuk Seri Mohamad Hasan, Negeri Sembilan State Secretary Datuk Mat Ali Hassan signed on behalf of MBI while Akashi Kikai was represented by Noriyoshi and BSS by its Managing Director Datuk Lee Tian Hock.