Last month, it was reported that the government was in the midst of reviewing the action plan for the National Automotive Policy 2020 (NAP 2020) as a result of the Covid-19 pandemic, which had changed the current economic landscape.
According to Malaysia Automotive, Robotics and IoT Institute (MARii) CEO Datuk Madani Sahari, while the policy and its general outlines remain in place, a review of some elements and aspects have been necessary as a result of the disruption, which has affected the automotive industry in terms of investment, production and sales.
“We are reviewing the impact the pandemic has had on the industry. The policy was finalised before Covid-19, so when you look at it now, there are some elements that can be improved in order to help industry players recover faster. The government is looking at ways to incentivise automotive players given the current scenario, which is affecting not only the auto industry,” he said.
He said that review also covered incentives defined in NAP 2020, for which “improvements have been done and are now undergoing the approval process.” With regards to customised incentives, Madani said that discussions have been carried out with industry players, and some adjustments will come about. “An announcement will be made very soon pertaining to that matter,” he hinted.
In July, minister of international trade and industry Datuk Seri Azmin Ali said that the restructuring exercise will also see the government intensifying its efforts to attract more investments in high-technology segments and environmentally-friendly vehicles as well as in the development of a local skilled-workforce.