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Home»Explore by countries»Malaysia»Malaysia’s auto industry must move up value chain to ensure growth in evolving mobility landscape – Hasbi
Malaysia

Malaysia’s auto industry must move up value chain to ensure growth in evolving mobility landscape – Hasbi

By IslaJune 16, 20262 Mins Read
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Malaysia’s auto industry must move up value chain to ensure growth in evolving mobility landscape – Hasbi

With the mobility landscape continuing to evolve, Malaysia’s automotive industry has been urged to continue moving up the value chain from being just assemblers or distributors to developers of technology, services and solutions for the regional market.

In making the call, deputy transport minister Datuk Hasbi Habibollah said that this was because the country is well-positioned to become a regional hub for next-generation mobility, as it was backed by a strong automotive ecosystem, a growing pool of skilled talent, strategic connectivity within ASEAN and a clear policy direction supporting sustainable, technology-driven and high-value mobility solutions.

However, he said that this growth cannot be achieved by any single sector alone, and so it requires effort and close collaboration between government agencies, industry players, technology providers, academia and consumers, as Bernama reports.

Speaking during the opening of the Kuala Lumpur International Mobility Show (KLIMS) 2026 last week, he said the transport ministry’s vision for mobility extends beyond just what can be seen. “As we discuss the future of mobility, safety must remain at the centre of our agenda,” he said.

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“New mobility must not only be cleaner and more connected; it must also help reduce crashes, protect vulnerable road users and encourage safer behaviour on our roads. Features such as advanced driver assistance systems, vehicle connectivity, data-driven enforcement and safer vehicle design must become part of the mainstream mobility discussion,” he added.

Hasbi said that the ministry is also working closely with industry players to accelerate electric vehicle (EV) adoption through incentives, duty exemptions and the development of a nationwide charging infrastructure network. “Our efforts also extend to the logistics sector, where greener fleets and smarter supply chains can help reduce emissions from freight transportation,” he said.

Meanwhile, Malaysian Automotive Association (MAA) president Mohd Shamsor Mohd Zain said the association remains committed to supporting the automotive industry and its members as the sector navigates technological changes and evolving policy developments.

“Our focus remains clear on strengthening industry readiness, encouraging innovation, deepening localisation efforts, developing local automotive capabilities, and enhancing the long-term competitiveness of Malaysia’s automotive ecosystem while contributing towards a sustainable and future-ready mobility landscape,” he said.


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