Transcription of The Automotive Industry in Malaysia
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The Automotive Industry in Malaysia
Chapter 3 The Automotive Industry in Malaysia Makoto Anazawa May 2021 This chapter should be cited as Anazawa, M. (2021), The Automotive Industry in Malaysia , IN SCHR DER, M., F. IWASAKI AND H. KOBAYASHI (EDS.) Promotion of Electromobility in asean : States, Carmakers, and International Production Networks. ERIA Research Project Report FY2021 , Jakarta: ERIA, 61 CHAPTER 3 THE Automotive Industry IN Malaysia Makoto Anazawa Introduction Malaysia s national car project was planned since the early 1980s. It was a unique project compared to those in other developing countries, including the Association of Southeast Asian Nations ( asean ) Member States. The project was to develop the Automotive Industry with a focus on national cars. However, there have been large changes in the circumstances of the Automotive Industry from the 1980s until present, such that the Automotive Industry in Malaysia currently standing at a crossroads.
With the implementation of the ommon Effective Preferential Tariff (EPT) scheme in the ASEAN Free Trade Area (AFTA), Malaysia had to decrease its import duties to 0%–5% by 2002. However, the government designated automobiles as sensitive items in order to hold off trade liberalisation until 2005.
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