KUALA LUMPUR: BMW AG is still focused on driving sustainable mobility across Southeast Asia and making Malaysia a regional leader in automotive transformation.
The German automaker delivered over 8,700 vehicles across BMW and Mini brands in Malaysia as of the third quarter of 2024.
This included 1,600 electrice vehicles (EVs), which accounted for 19 per cent of the group's total deliveries. This makes BMW the leading premium EV brand in the country.
Based on the latest Road Transport Department data as at October this year, the BMW i5 is currently the group's most popular model with 410 units registered this year so far. This was followed by the BMW iX2 with 352 units, Mini Countryman with 253 units, BMW i4 with 218 units and BMW i7 with 204 units.
BMW Group Malaysia managing director Benjamin Nagel said the country's role as a strategic hub for the world's leading premium brand in Southeast Asia has been the main catalyst for its growth in the region.
He said it was proven through the group's assembly facility in collaboration with Sime Darby Bhd at Kulim Hi-Tech Park, Kedah and the regional component distribution centre in Senai, Johor.
"Our local assembly facility has shipped more than 10,000 vehicles to the Philippines and Thailand, making us the largest exporter of automotive vehicles in Malaysia," he said during the group's brand strategy media roundtable here on Wednesday.
"Next week, we will officially open the expanded facility in Senai that is currently supports 23 countries in the Asia Pacific region. With the additional 20,000 square metres, it will increase the space from 45,000 to 65,000 square metres," Nagel added.
BMW also wants to assemble its EVs in Malaysia but says the plan will require long-term planning, as well as policy certainty from the government.
BMW Group senior vice president sales region in Asia Pacific, Eastern Europe, Middle East and Africa Jean-Philippe Parain said it is engaging with the government and preparing for the locally-assembled (CKD) of the EVs, in line with the country's recent changes to tax exemptions post-2026 to ensure sustainable adoption.
Parain said reducing subsidies can impact EV adoption, as seen in other markets. Hence, it is essential to approach the transition carefully.
"Based on my experience with the company, which has a presence across many countries, once the government reduces the subsidy, the choice of electromobility has been reduced.
"For example, in South Korea, as soon as the subsidy was reduced, the number of people choosing EVs also declined, and the situation can also be seen in Europe," he added.
The government will reportedly phase out tax breaks on fully-built imported (CBU) EVs by end of 2025 and CKD models by end of 2027.
There are currently more than six EV models from BMW in fully imported forms here, with the cheapest is the i3s, which is priced at about RM268,824-RM278,800, and the most expensive is the i7 at about RM742,950.