The Ministry of Investment, Trade and Industry (MITI) has issued an official statement to respond to various allegations and confusion on social media regarding the status of BYD’s investment in Malaysia. That said, what should you know about it?
For your information, MITI stressed that Malaysia remains open to global automotive investors, but any investment must be in line with the country’s long-term goals. Status of the BYD Refinery in Tanjong Malim
Responding to rumours that BYD wanted to withdraw, MITI confirmed that BYD Automotive Malaysia has been granted an interim Manufacturing License (ML) on 29 September 2025. This license allows them to assemble energy-efficient vehicles (EEVs), including EVs and PHEVs in Tanjong Malim, Perak.
MEDIA STATEMENT: MITI REAFFIRMS COMMITMENT TO SUSTAINABLE AUTOMOTIVE GROWTH; CLARIFIES BY INVESTMENT AND SECTOR POLICIES#MalaysiaMADANI#MITIMalaysia#ThisIsWhereGlobalStarts
1/2 pic.twitter.com/8X9ZKVjWul
— MITI Malaysia (@MITIMalaysia) March 31, 2026
Export quota and domestic sales issues
MITI clarified that the claim about the 80% export requirement is inaccurate. In fact, the domestic sales quota for BYD is set at 10000 units per year (approximately 20% of production capacity). This condition aims to ensure that Malaysia is not just a sales point, but functions as a regional export hub that contributes to the country’s trade balance.
EV floor price remains at RM100000
Another confusion that has arisen is regarding the selling price. MITI confirmed that the minimum on-the-road (OTR) price for CKD (locally assembled) vehicles is RM100000, not RM200000 as claimed. This move is important to maintain the market space of national players such as Proton and Perodua, while still offering affordable EV options to the people.
For CBU (fully imported) vehicles, the floor price of RM250,000 is maintained according to the AP Franchise policy, although there is a temporary relaxation (RM100000) which ends on 31 December 2025.
No new pickup truck ban
MITI also denied claims that there were restrictions on the entry of new pickup truck models, such as the BYD Shark or GWM Cannon. Commercial pickup trucks are still permitted to enter through the Import Permit (AP) quota under the Market Research Pre-Assembly (MRA) allocation.
Overall, MITI stressed that the conditions imposed are fair and applicable to all new investors to ensure technology transfer and the development of a sustainable local vendor ecosystem. Malaysia now has 14 automotive brands from China operating, proving that existing policies are not a barrier for foreign investors.
Stay tuned to TechNave.com for more updates like this.
