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German Auto ZF opens second plant in Malaysia

PEKAN, Pahang: ZF, a global leader in driveline and chassis technology, today opened their second plant in the country here as part of their expansion plans to meet the growing demands of the local and regional luxury automotive market.

The facility - ZF Chassis Systems Sdn Bhd (ZCS) - is the second in Malaysia, following the opening of its first facility in Kulim, Kedah back in 2013.

Head of BU Chassis Systems and senior vice president Carlos Delich described the opening of the Pekan plant as a vital cog in the wheel of their overall operations, which creates a ripple effect which will greatly impact its global vision to support customers on the regional and international level as well.

"These efforts and investments, combined with the capability of the ZF team in Asia Pacific will allow us to continuously deliver tailored solutions that meet the exact needs of our customers based on our cutting-edge technology, innovative products, excellent quality and first class service solutions.

"We have 21 chassis production plants across the globe and 10 of the facilities are located in Asia Pacific whereby two are located in Malaysia.

“We will look at expanding our facilities in Malaysia based on the demands from our customers. At the moment, we supply products to BMW and Mercedes-Benz," he told reporters after the opening ceremony was officiated by Pahang State Science, Green Technology, Communications and Multimedia committee chairman Datuk Mohammad Fakhruddin Mohd Ariff, who represented Menteri Besar Datuk Seri Wan Rosdy Wan Ismail.

Meanwhile, ZF general manager Glenn Todd said the RM48 million facility in Pekan, measuring 13,000 sq meter was completed in just seven months.

"This new facility is expected to enhance the production capacity of ZF Chassis systems in Malaysia. We currently manufacture about 10,000 units annually to meet the needs of the local automotive industry. With the opening of the new facility, we target to double output.

"The Asean market is increasingly hungry for the services that we are able to provide, which continues to retain exceptional German standards in our quality and technology, while remaining competitive within the regional landscape," he said, adding the reason ZF choose Pekan for the plant is because they want to be close to their clients.

Meanwhile, assemblyman Fakhruddin described the opening of the ZF Chassis Systems Plant in Pekan is timely in capitalising on the Pekan Automotive Park and surrounding region.

ZF Chassis Systems’s operations in Malaysia include the production of chassis involving front and rear axle systems for big names in the automotive industry.

The company operates the only manufacturing facility for luxury automobiles in Malaysia, and is the market leader in this part of the world.

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