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Malaysia Automotive, Robotic and IoT Institute chief executive officer Datuk Madani Sahari says the revised National Automotive Policy (NAP) scheduled to be announced in early 2020 will focus on connected vehicles advanced driving capabilities and energy efficient powertrains. NST pix by Ahmad Irham Mohd Noor

KUALA LUMPUR: The revised National Automotive Policy (NAP) scheduled to be announced in early 2020 will focus on connected vehicles advanced driving capabilities and energy efficient powertrains, Malaysia Automotive, Robotic and IoT Institute (MARii) chief executive officer Datuk Madani Sahari said.

This includes the Next Generation Vehicles (NxGV), Mobility-as-a-Service (MaaS) and Industry 4.0. NxGV.

Madani said the updated NAP has gone through an in-depth development process and thorough consultation sessions with representatives from various parties, such as industry players, academia and various government sectors before being approved by the Cabinet.

“The current NAP which was launched in 2014, focused on Energy Efficient Vehicles (EEVs) with penetration surpassed the 2018 target, hitting 62 per cent.

“This signifies public interest in fuel saving and carbon emission reduction, and the development of the automotive industry as a whole,” he told the New Straits Times recently.

With the aid of the previous NAP, Madani said the local automotive industry has become more resilient with improved design capabilities and manufacturing processes.

“Now, the time has come to update the policy to spur continuous improvement. The NAP does not only prioritise a strong original equipment manufacturer (OEM) base but also, an even stronger supply chain ecosystem,” he added.

Madani said automotive parts and components were the major contributors in driving the automotive sector towards global standards.

“MaaS will focus on the birth of new business models as the transportation sector transforms into a service provider that can be utilised by users.

“The advents of ride hailing and alternative car sharing models are the early manifestation of the change in business models under MaaS,” he said.

Madani said although car ownership models may change, vehicle demands will remain constant as production demand for vehicles will remain the same.

“There is a potential demand to increase as the mobility sector transforms into a platform to provide various types of services, instead of only transportation,” he said.

He said the Industry 4.0 had introduced future proof businesses while enhancing the adoption of latest technologies to develop a smarter and leaner manufacturing ecosystem with the ultimate goal of increasing the competitiveness of the Malaysian automotive and mobility industry to reach global markets.

“The export of parts and components hit historic highs of RM12.1 billion in 2018 and is on track to meet its RM13 billion target for the year 2019.

“It also recorded RM6.76 billion in the first half of 2019, a 52 per cent of the target value. Overall, this sector has shown tremendous growth in exports in the last five years, growing from RM4.7 billion in 2014 to RM12.1 billion in 2018,” he said.

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