BYD to Reveal Malaysia EV Plan Own Plant or Inokom

BYD Malaysia EV Development Plan: Company to Announce Manufacturing Strategy Within One Week
BYD (Build Your Dreams) is a Chinese multinational electric vehicle manufacturer preparing to announce its EV development and manufacturing plan for Malaysia within one week, according to BYD vice-president and general manager of its Asia Pacific auto sales division, Liu Xueliang. The announcement will determine whether BYD establishes its own CKD (completely knocked down) plant in Tanjong Malim, Perak, or pursues contract assembly with Sime Motors at the Inokom facility in Kulim, Kedah. This decision is critical for Malaysian consumers because new import duties and minimum value thresholds have effectively priced fully-imported affordable EVs out of the market, making local assembly the only viable path for BYD's sub-RM200,000 models like the Atto 3 and Seal 6.
Key Facts
| Attribute | Value |
| Announcement timeline | Within one week of 6 September 2026 |
| BYD executive making statement | Liu Xueliang, BYD Vice-President and GM, Asia Pacific Auto Sales Division |
| Potential manufacturing site 1 | Tanjong Malim, Perak (own CKD plant, confirmed August 2025) |
| Potential manufacturing site 2 | Inokom plant, Kulim, Kedah (contract assembly with Sime Motors) |
| CBU EV import tax exemption | Expired end of 2025 |
| Minimum CIF value for imported CBU EVs | RM200,000 (effective 1 July 2026) |
| Minimum power output for imported CBU EVs | 180 kW (245 PS) |
| Affected BYD models in Malaysia | Atto 3, Seal 6 (sub-RM200k price range) |
| MITI position | Prefers EV makers to work with local partners rather than build new factories |
| East Malaysia growth focus | Identified by Liu as significant development potential |
What Will BYD Announce for Malaysia?
BYD will announce its EV development plan for Malaysia within one week, confirming whether the company will build its own manufacturing plant or partner with a local contract assembler. The statement was made by Liu Xueliang while speaking to Malaysian media in Shenzhen, as reported by Bernama. Liu stated, "Wait another week and we will announce it," when asked about local partnership versus self-operated manufacturing.
"We will continue to explore, together with local partners, how we can better support the development of Malaysia's new energy vehicle industry."
— Liu Xueliang, BYD Vice-President and General Manager, Asia Pacific Auto Sales Division, speaking in Shenzhen (via Bernama)
The announcement will land at a pivotal time, as Malaysia's tax exemption for imported CBU electric vehicles expired at the end of 2025, and since 1 July 2026, imported CBU EVs must have a minimum CIF value of RM200,000 and at least 180 kW (245 PS) of power output.
Is BYD Building Its Own Plant in Tanjong Malim?
BYD confirmed plans for its own CKD plant in Tanjong Malim, Perak, in August 2025, but progress has stalled. As of August 2026, the Ministry of Investment, Trade and Industry (MITI) stated that no official decision had been made on the plant. The Tanjong Malim location is significant because it is already home to Proton's manufacturing facility, making it an established automotive industrial hub in Perak.
MITI has indicated no official decision has been made on BYD's Tanjong Malim plant as of August 2026, despite the company's earlier confirmation of plans for the Perak facility.
Will Sime Motors Handle BYD Contract Assembly at Inokom?
All signs point to Sime Motors becoming BYD's local contract-assembly partner at the Inokom plant in Kulim, Kedah. Liu himself visited the Sime Motors Inokom plant in May 2026, and the Sime Motors leadership team visited BYD's Shenzhen headquarters in September 2026 for talks on "strategic priorities and areas of mutual interest." This arrangement aligns with MITI's stated preference for EV makers to work with local partners rather than construct new factories.
The contract-assembly route with Sime Motors at Inokom has been gathering momentum since May 2026, when Liu visited the Kulim facility, and the Sime Motors leadership team visited BYD's Shenzhen headquarters in September 2026.
What About East Malaysia and the BYD Shark Pickup?
Liu singled out East Malaysia as a growth area for BYD, stating, "We believe East Malaysia still has significant room for development, but first, we hope to have suitable models." Given the popularity of pickup trucks in Borneo, speculation has emerged about a locally assembled BYD Shark pickup truck. However, no official confirmation of specific models for East Malaysia has been provided.
BYD's vice-president identified East Malaysia as having "significant room for development," but noted that suitable models must first be introduced to the region.
Who Is This For in Malaysia?
This announcement matters most for Malaysian consumers seeking affordable electric vehicles priced below RM200,000. The new CBU import rules, effective 1 July 2026, have effectively shut fully-imported, affordable EVs out of the Malaysian market. For urban drivers in the Klang Valley and other major cities, local assembly would mean continued availability of models like the Atto 3 and Seal 6 at competitive price points, without the cost burden of import duties.
For Malaysian consumers, local assembly is now the only way forward for BYD's sub-RM200,000 models, as the new CBU import rules have effectively excluded fully-imported affordable EVs from the market.
Common Questions
Will BYD's Malaysia announcement affect the price of the Atto 3 and Seal 6?
Yes. Local assembly through CKD or contract assembly would allow BYD to avoid the RM200,000 minimum CIF value rule for imported CBU EVs, potentially keeping models like the Atto 3 and Seal 6 priced below RM200,000 for Malaysian consumers.
Is Sime Motors confirmed as BYD's Malaysian manufacturing partner?
Not officially confirmed. However, Liu visited the Sime Motors Inokom plant in May 2026, and Sime Motors leadership visited BYD's Shenzhen headquarters in September 2026. MITI has expressed preference for EV makers to work with local partners, making this the likely outcome.
What is the status of BYD's Tanjong Malim plant?
BYD confirmed plans for its own CKD plant in Tanjong Malim, Perak, in August 2025, but MITI said as of August 2026 that no official decision had been made on the plant. The company's announcement within the week will clarify whether this project proceeds.
Sources and Methodology
This article is based on reporting by Paul Tan's Automotive News (paultan.org), published 6 September 2026, titled "BYD to announce Malaysia EV development plan within a week – own Tanjong Malim plant, or Inokom CKD?" The original report cites Bernama as the source for Liu Xueliang's statements in Shenzhen. Additional context is drawn from previous paultan.org reports dated 22 August 2025, 14 May 2026, 18 May 2026, 15 July 2026, and 4 August 2026, covering BYD's Tanjong Malim plans, MITI policies, and the Sime Motors-Inokom relationship. All currency figures are presented in Ringgit Malaysia (RM) as reported in the original source. This article was last updated on 6 September 2026. Information specific to Malaysia was verified against the paultan.org source article and its cited references to Bernama and MITI statements.