3 VW models to roll out of DRB-Hicom plant

Three new Volkswagen models are expected to roll out of the DRB-Hicom plant in Pekan, thus strengthening the district's position as a regional automotive hub.

Prime minister Datuk Seri Najib Tun Razak said assembling of CKD (complete knock down) vehicle components of the renowned German brand would see the vehicles roll out of the plant by the end of the first quarter next year.

He said the joint venture was agreed upon after his meeting with Volkswagen top officials during his overseas holiday recently.

"I've always been monitoring the developments involving DRB-Hicom and during my recent vacation, I took the opportunity to meet the Volkswagen officials and ask them whether they were till keen to establish cooperation with DRB-Hicom.

"Actually, they were waiting for the indication from me whether they could sign the agreement with DRB-Hicom or not," he said in his speech at a Ramadan gathering with DRB-Hicom management and staff in Pekan today.

Also present was DRB-Hicom Berhad managing director Datuk Seri Mohd Khamil Jamil.

Yesterday, DRB-Hicom and Volkswagen signed a memorandum of understanding to cooperate in the assembly and production of Volkswagen vehicles in Malaysia.

Najib said Volkswagen also requested for incentives from the Malaysian government to make the DRB-Hicom production plant here its export base for the Asean region.

"This needs to be studied and approved by the government," he said.

Najib said the joint venture would also contribute to the success of the East Coast Economic Region's development plan based partly on continuous development of the local automotive industry.

In this respect, he said, the DRB-Hicom management and staff needed to carry out transformation to put the company's image at the highest level, thus building foreign manufacturers' confidence including those which had already established cooperation with DRB-Hicom like Suzuki and Mercedes-Benz, in the local automotive industry.

"Total commitment from all quarters is a vital ingredient for continuous success."

The prime minister then together with over 100 residents performed Tarawih prayers at the Batu 8 mosque in Pekan. -- Bernama