KUALA LUMPUR: Hong Leong Industries Bhd (HLI) has made a leap into automotive spare parts manufacturing through new subsidiary Tekhne Sdn Bhd.
HLI aims to provide a comprehensive range of original equipment manufacturer (OEM) and replacement equipment manufacturer (REM) parts for both two and four-wheelers.
HLI group managing director Professor Datuk Dr. Jim Khor said the market for OEM and REM parts for both two and four-wheelers in Malaysia is experiencing significant growth and is poised for further expansion.
This is driven by factors such as growing vehicle sales, aftermarket service demand and an increasing number of enterprises in the automotive products market.
HLI says that the value added in the automotive products market in Malaysia is projected to reach US$8.32 billion in 2024, with a compound annual growth rate (CAGR) of 5.71 per cent expected from 2024 to 2028.
Additionally, the used car sales in Malaysia are steadily increasing, contributing to the growth of the automotive aftermarket service industry, which indicates a rising demand for replacement parts.
Tekhne will first focus on two-wheel vehicles on the initial phase as it slowly makes its way into the four-wheeler segment.
"Our journey into the automotive spare parts industry reflects not only our dedication to innovation and growth, but also our steadfast commitment to providing our customers with the highest standards of quality and reliability.
"With Tekhne we embark on a path of boundless opportunities, aiming to pioneer advancements in technology and design while ensuring optimal vehicle performance and safety for the road ahead to success," Khor said.
Tekhne also plans to venture into electric vehicle-related products in its commitment towards innovation as it aligns with the industry's shift towards sustainable mobility solutions.
To foster innovation, HLI said will establish its research and development (R&D) centre to pioneer advancements in technology and design while upholding the highest standards of quality and reliability.
Tekhne general manager Chong Chee Kong emphasised that its commitment lies in providing a premium range of products tailored to meet the needs of Malaysian customers and eventually to global markets.
"Through collaborations with esteemed partners, both locally and internationally, we ensure that our products uphold the highest standards of excellence and customer satisfaction. Looking ahead, we are poised to expand our footprint into the broader Asean region and subsequently tapping into global markets," he added.