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Tan Chong Motor and SGMW to Localise EV Battery Assembly in Malaysia

Tan Chong Motor Group and SAIC-GM-Wuling (SGMW) have signed a cooperation agreement to advance EV battery localisation in Malaysia under the TQ WULING brand.

The agreement was signed on 17 September at the 23rd China-ASEAN Expo (CAEXPO) in Nanning, Guangxi. It is one of the first major initiatives linked to SGMW’s newly announced Global 5 Strategy, which focuses on expanding the company’s automotive operations beyond vehicle exports.

The cooperation will initially focus on the localisation and CKD assembly of EV batteries in Malaysia. The move is intended to develop a more localised supply chain while supporting SGMW’s wider production and supply-chain expansion across ASEAN.

The agreement was signed by Liu Zhijun, Director of Marketing and Service of Liuzhou Saike Technology of SGMW, and Wan Wei Sun, Head of TQ WULING, representing Tan Chong Motor Group.

The partnership builds on the existing relationship between Tan Chong Motor Group and SGMW through TQ WULING. Localising EV battery production would allow the two companies to increase the use of locally developed and assembled components while strengthening Malaysia’s role in the regional new energy vehicle supply chain.

The announcement was made alongside the launch of SGMW’s Global 5 Strategy under the theme “Global Wuling, Shining Across ASEAN”. The strategy aims to expand SGMW’s international operations across manufacturing, supply chains, sales, talent and financial capabilities.

SGMW said it has recorded more than 32 million vehicles in cumulative global production and sales, including more than four million new energy vehicles. Its overseas exports have also increased for 10 consecutive years, with cumulative exports exceeding 1.6 million vehicles and vehicle sets.

The Global 5 Strategy is built around five areas, including SGMW’s product portfolio, its “Tian-Ling-Shen” technology system, Intelligent Island Manufacturing System (I²MS), five-chain industrial ecosystem and 68 years of automotive manufacturing experience.

SGMW also plans to offer different international cooperation models covering vehicle trade, distribution, production and sales, full industrial-chain cooperation and technology licensing.

For Malaysia, the agreement with Tan Chong Motor places greater emphasis on developing local industrial capabilities rather than simply importing vehicles. Both companies are expected to continue exploring further localisation opportunities as SGMW expands its presence across ASEAN.

The cooperation also forms part of SGMW’s broader approach to developing local manufacturing, supply chains, talent and technology as it expands its global automotive operations.

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