Hyundai shipping Staria CKDs for assembly in Malaysia
Hyundai has begun localised production of its Staria MPV at the joint venture Kulim plant it operates with contract manufacturer Inokom in Malaysia. The vehicles are being assembled from complete knockdown (CKD) kits imported from Hyundai’s Ulsan plant in South Korea, though the engine for the Staria is being imported from Vietnam.
The Staria is the first of three SUV/MPV models the plant will be assembling from CKDs in the near term, according to the carmaker. CKDs for the other two models are also being shipped from Ulsan. The facility plans to produce up to seven car models within five years, which Hyundai said reflects its promise “to deliver vehicles of uncompromising global quality while investing directly into Malaysia’s industrial and economic development”. The carmaker that as production capacity grows, approximately 30% of vehicles assembled in Malaysia are expected to be exported to neighbouring markets.
Hyundai Motor Malaysia was launched in July this year with the offer of three models: Staria, Tucson and Santa Fe. Hyundai has also announced it will expand its aftersales network in Malaysia to 25 authorised outlets by 2030. Hyundai will continue to work with Sime Motors for distribution and sales in Malaysia.
Earlier this year Jahabarnisa Haja Mohideen, managing director, of Hyundai Motor Malaysia, said: “Malaysia is a market full of untapped potential. It boasts the highest passenger vehicle demand in Asean at 35%, with a steady GDP growth of 4.3% signalling strong consumer confidence and rising spending power.”
In terms of the engine imports from Vietnam for the Staria, Hyundai started making engines there in February through its joint venture with Thanh Cong – Hyundai Thanh Cong Vietnam Automobile Manufacturing. The joint venture plant, located in Ninh Binh, has an annual production capacity of 30,000 engines for local and overseas supply.
