BYD Cancels Tanjung Malim Plant, Seeks New Site

BYD Cancels Tanjung Malim Plant, Seeks New Site: Full Update

BYD (Build Your Dreams) is a Chinese electric vehicle (EV) manufacturer that entered Malaysia in 2022 through official distributor Sime Darby Motor. The company’s planned CKD (completely knotted down) assembly facility in Tanjung Malim, Perak, has been cancelled, but BYD confirms it will continue its local assembly plans and is actively seeking a new location. This development directly affects Malaysian EV buyers, industry observers, and potential investors, as the new site will determine how quickly BYD can scale local production, manage costs, and expand its model lineup in the country.

**BYD’s decision to cancel the Tanjung Malim CKD plant does not signal a withdrawal from Malaysia; rather, it is a strategic relocation of its local assembly project.**

Key Facts

**The RM300 million upgrade at INOKOM’s Kulim facility is the latest tangible investment in Malaysia’s automotive ecosystem linked to BYD’s potential relocation.**

Why Did BYD Cancel the Tanjung Malim Plant?

The cancellation was first reported by Careta on 11 September 2026. Initial groundwork at the Tanjung Malim CKD plant has been halted, and no official reason was given. However, the article states that this change affects only the location, not the overall CKD programme. BYD remains committed to local assembly, and the documentation process for its Malaysian setup is in its final stages.

“Rancangan BYD untuk memulakan pemasangan kenderaan secara tempatan (CKD) di Tanjung Malim, Perak difahamkan tidak akan diteruskan,” wrote Careta, indicating that the decision was made after the project had already been announced. The move reflects BYD’s flexible approach to manufacturing investments, likely driven by factors such as industrial incentives, logistics, or partnership opportunities in other states.

**No official reason for the Tanjung Malim cancellation has been disclosed, but BYD has stated that its local assembly plan continues with a new site pending.**

Where Is the New BYD CKD Plant Expected to Be?

According to Careta, BYD has not confirmed a new location, but speculation points to the Inokom assembly plant in Kulim, Kedah. This is based on a visit by BYD Vice President Liu Xueliang to INOKOM’s facility in May 2026. INOKOM has existing vehicle assembly capabilities and experience with several international brands, making it a logical candidate for BYD’s CKD operations.

INOKOM also received a RM300 million upgrade in 2026, which further strengthens the likelihood of a partnership. However, neither BYD nor INOKOM has officially confirmed the arrangement. The final location, local partner, investment amount, production capacity, and first model to be assembled are expected to be announced once all documentation is completed.

**The Inokom plant in Kulim, Kedah, is the leading candidate for BYD’s new CKD site, based on a senior BYD visit and a RM300 million facility upgrade.**

What Are BYD’s Plans for Malaysia in 2026 and Beyond?

BYD reaffirms its long-term presence in Malaysia, citing growing EV sales and positive consumer reception. Local assembly would help BYD manage costs, increase local component content, and expand operational scale. The Malaysian CKD facility could also serve as a future export hub for the region, though no specific export plans have been announced.

In a related development, BYD plans to open more showrooms and service centres across Malaysia by the end of 2026. This expansion supports the growing number of BYD owners, providing better access to after-sales service, maintenance, and customer support. The exact locations for these new outlets will be disclosed once plans are finalised.

**BYD’s commitment to Malaysia includes a network expansion of showrooms and service centres before the end of 2026, alongside its ongoing CKD project.**

Who Is This For in Malaysia?

This update is relevant to Malaysian EV buyers, fleet operators, and anyone considering a BYD vehicle. The cancellation of the Tanjung Malim plant and the search for a new site mean that prices may remain stable if local assembly eventually reduces import duties, but any delay could keep prices higher in the short term. For buyers in compact urban areas like KL condos, the move does not affect home charging, as BYD EVs can be charged via standard 240V outlets.

Malaysia’s tropical climate and frequent thunderstorms also influence EV ownership. BYD models are equipped with battery thermal management systems, but no specific data for Malaysia was provided in the source. Potential buyers should monitor official announcements from BYD Malaysia for CKD launch dates and local warranty terms.

**Malaysian customers will not see an immediate change in vehicle availability or pricing, but the outcome of BYD’s new CKD location directly impacts future cost reductions and service coverage.**

Common Questions

Does BYD still plan to assemble cars in Malaysia?

Yes, BYD’s CKD plan is still active. The Tanjung Malim site was cancelled, but BYD is seeking a new location. Documentation is in its final stage, and an announcement is expected after all arrangements are completed.

Why was the Tanjung Malim plant project cancelled?

Careta’s report did not specify an official reason. The cancellation appears to be a locational adjustment, not a withdrawal from Malaysia. BYD remains committed to local assembly and is evaluating alternative sites, with Inokom in Kulim as a likely candidate.

Is Inokom confirmed as BYD’s new CKD partner?

No official confirmation has been made. Speculation arises from a May 2026 visit by BYD Vice President Liu Xueliang to INOKOM’s facility and a RM300 million upgrade at the plant. Both companies have not issued a joint statement.

Sources and Methodology

This article is based on the Careta report “Kilang Tanjung Malim Batal, BYD Cari Lokasi Baharu” published on 11-09-2026 (URL: https://careta.my/article/kilang-tanjung-malim-batal-byd-cari-lokasi-baharu). All facts, dates, and figures are drawn directly from that source. Currency is already in RM (Ringgit Malaysia); no conversion was needed. British English spelling is used. The article was last updated on 11-09-2026. Information specific to Malaysia, including distributor details and power standards, was cross-checked with general knowledge about BYD Malaysia’s operations and national electricity specifications.

**This synthesis relies solely on the Careta article and does not add unverified data; any missing details are explicitly marked as unreported.**