by AMIR AZLAN / pic by BLOOMBERG

STELLANTIS has acquired full control of Naza Automotive Manufacturing Sdn Bhd and its Gurun, Kedah-based manufacturing facility, cementing its foothold in the South-East Asia market, with plans to invest and expand as part of its robust localisation strategy.

Stellantis Asean and general distributors senior VP Christophe Musy stated that the acquisition in Kedah is a very important step to reinforce its operation, production outputs and workforce in the region.

“Stellantis is deeply committed to growing our presence in Asean, and taking full ownership and responsibility of the plant in Gurun, Kedah as we have an ambitious growth strategy that will enable us to build on the existing production outputs there, as well as extending the breadth of brands and models within our portfolio,” he stated in a release yesterday.

Stellantis had obtained full ownership of the manufacturing plant on Oct 28, previously operating as a joint venture with Naza Corp.

The acquisition allows over 170 employees to return to work and Stellantis is working with over 50 local suppliers as production increases for the last quarter of 2021.

Musy added that the manufacturing plant in Gurun has achieved pre-pandemic production rates since it restarted operations, with volumes ramping up for the remainder of 2021, to re-establish car flow to Malaysia, Thailand, the Philippines and other Asean markets.

“We are working closely with our partners to increase plant capacity by almost 40% to meet demand, and this combined with our strong product plan and determination to achieve the highest standards in quality and safety has set us up for great success in Malaysia.

“In spite of the pandemic, we are extremely proud to see increased customer demand for Peugeot in the region,” he said.

Stellantis recently restarted manufacturing in Gurun, with the launch of the refreshed Peugeot 3008 and 5008 currently rolling out across the region.

The much-anticipated Peugeot 2008 will also commence production this month in Gurun, bringing to the Asean region a lucrative new compact SUV offering from the high-end brand.

Since reopening the plant, Stellantis has strictly enforced safety protocols advised by Malaysian authorities in addition to internally mandated procedures such as mandatory masks and face shields are provided to employees, with daily temperature checks, ventilation measures, social distancing protocols and ongoing training and communication of Covid-prevention measures mandated onsite.