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Malaysia’s Next Automotive Chapter: From Assembly Lines to Global Value Creation

04. September 2026
Malaysia is seeking to move beyond vehicle assembly towards higher-value automotive activities involving electronics, semiconductors, software, batteries, sensors and charging infrastructure. The Malaysian Investment Development Authority (MIDA) is focusing on technology transfer, skilled talent and stronger participation by Malaysian companies in regional and global supply chains, supported by investments such as Mazda’s targeted 60 per cent localisation programme for the All-New Mazda CX-5. MIDA also facilitated a supplier development programme involving 16 Malaysian automotive vendors, which resulted in five Memorandums of Understanding between Malaysian and Japanese companies. 
 
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