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Tesla's reported scrapping of factory plans in Southeast Asia not a reflection of Miti's reforms, says ministry | Scoop
The Investment, Trade and Industry Ministry said the reported move by Tesla could be the multinational company’s ‘commercial decision’ on their global operations, not having to do with ongoing national initiatives. – Facebook pic, August 8, 2024
News

Tesla’s reported scrapping of factory plans in Southeast Asia not a reflection of Miti’s reforms, says ministry

A recent Thai news report had said the electric vehicle maker was withdrawing most of its investments in Asia

Main Author Image
Qistina Nadia Dzulqarnain
Updated
12:58 PM MYT

 

KUALA LUMPUR – United States-based electric vehicle (EV) manufacturer Tesla Inc’s reported move to scrap plans for its production operations in Southeast Asia has no bearing on the Investment, Trade and Industry Ministry’s ongoing initiatives. 

A spokesperson from the ministry said Tesla’s purported move to focus solely on charging stations in the region, as reported by a Thai news agency on August 6, could be the multinational company’s “commercial decision” on their global operations. 

“(The alleged move) does not reflect the industrial reforms and improved investment landscape the ministry and its agencies have worked on since December 2022,” the spokesperson said. 

They also highlighted that the foreign report is “not an official statement” from Tesla as it instead quotes an unnamed source, adding: “Confirmation on the report would have to come from Tesla.” 

Quoting a government source, Thai online news portal The Nation reported that Tesla has abandoned plans to set up an EV factory in the region, with the plans said to have involved Thailand, Malaysia, and Indonesia as potential locations. 

“Tesla is currently only discussing charging stations, with the factory plans suspended worldwide. 

“They are not proceeding in Malaysia, Indonesia, or anywhere else except for China, America, and Germany,” the source was quoted as saying, claiming that the decision was part of Tesla’s withdrawal of investment across Asia and beyond.

However, it is known that Tesla has not formally committed to building a factory in Malaysia.

In July last year, Prime Minister Datuk Seri Anwar Ibrahim announced that Malaysia will be part of large-scale investments from Tesla and one of its chief executive officer Elon Musk’s other high-tech ventures, SpaceX. 

Anwar also said tens of thousands of skilled job opportunities will be realised through the establishment of Tesla headquarters, service centres, and experience centres in Cyberjaya, Selangor, as well as collaborations in Petaling Jaya.

As of press time, Tesla has yet to issue an official response to reported claims on its business operations. – August 8, 2024

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