New National Car Project - Things we know so far

The new national car project (NNCP) was revealed last year in August, with DreamEdge, a Cyberjaya-based digital engineering services, and consultancy company, chosen to work on the project due to the government’s belief in their business model. Daihatsu Motor Company was chosen to support the project technologically, however, they won’t be an equity partner in the project. 

The NNCP was introduced for the first time to the public by the ex-prime minister Tun Dr Mahathir Mohamad in June 2018, but with the new government in power, people thought it would no longer be a reality. 

Will NNCP be a reality?

The reports have revealed that the New National Car Project is all set to move forward, according to the CEO of Malaysia Automotive, Robotics and IoT Institute (MARii), Datuk Madani Sahari.

The highlight is that the government is neither involved in the development nor it’ll fund the project, said Sahari in a statement. Currently, the project is led by DreamEdge and it will continue with zero government intervention. He said, “There is no stopping where the NNCP is concerned. It is not a government-funded project, but a privately-funded one and NAP 2020 is giving incentives for such a project, so those measures remain,”

He further mentioned, “For the private sector, as long as they want to do this (the third national car) it will continue. If they say they want to stop, there’s nothing the government can do, but as far as we are concerned until today there is no news that they will stop”.

What about the national car?

It is expected to be a big B-segment sedan with futuristic styling and regular combustion petrol engine or hybrid powertrain, headed by Daihatsu. The car was teased at the launch of the National Automotive Policy 2020 (NAP 2020) last month. It showed the car’s headlight and taillight section, rest everything covered with a cloth. 

According to DreamEdge, it will be a family-friendly car that promises to be a fun vehicle to drive. Also, it’ll be highly fuel-efficient with modern-day in-car connectivity features and Advanced Driver Assistance Systems. Overall it’ll be a value for money offering. 

Here’s what the former prime minister said last month

At the launch of NAP 2020, former prime minister, Tun Dr. Mahathir Mohamad said, "We are waiting for investors because this time around, the Government does not intend to invest. We are inviting investors with foresight as to the future of our motor vehicles and we are ready with a new technology which will make the new national car competitive," he added, “We have the capacity but we need investment. The Government will not invest so we are asking the private sector to come in and invest and produce cars, not only for Malaysia but outside”.

He also mentioned that the government intends to ensure that future cars are safer and more sensitive to the environment. He added that the prototype was ready but there are no plans for it to be revealed for the general public. 

When will the prototype release?

Originally, the prototype was set to break cover in mid-2020, but now with the new government in power and project leaders looking for investors, it remains to be seen if there’s any alteration in the initially set timeline. 

The production of the car is, however, set to start in the first half of 2022, with at least 3,000 units targeted to be sold per month in the first year.

What is the Malaysian Vehicle Project?

While we have put out all the latest details we know so far about the NNCP, here is what it is expected to do.

The Malaysian Vehicle Project is intended to support the country’s economic development with both, upstream and downstream industries in focus. The government also plans to create demand for related materials like petrochemical, plastics, steel and rubber products. This would not only boost the automotive industry of the country but stimulate the growth of the related sub-segments.

The ex-prime minister said, "The proposed new Malaysian Vehicle Project will emphasise on research and development (R&D) and the incorporation of the latest technologies in order to be competitive in both domestic and global markets. New technology clusters as well as new expert workforce, especially in the field of automotive engineering, would be developed consequently”.

Also read: National Automotive Policy 2020 - Key highlights