Tesla Plans To Build More Charging Stations In Malaysia But Suspends Factories
The decision to cancel building factories in Southeast Asia is part of Tesla's investment strategy to divest from Asia and beyond.
There's good and bad news from Tesla. Let's go with the bad first: Tesla has suspended its plans to set up factories in Malaysia.
According to Thai news portal, The Nation, Elon Musk's company has suspended its plans to set up factories in Malaysia, Thailand, and Indonesia.
"Tesla is currently only discussing charging stations, with the factory plans suspended not just in Thailand but worldwide," the portal reported on 7 August.
However, the plans to build factories in China, the US, and Germany will continue.
Image via NSTP (Reuters)
Tesla also laid off its executive team who had been overseeing the production of the company's Southeast Asian factories
Previously in February 2023, Tesla had inked a deal with Malaysia to sell its overseas assembled vehicles here without incurring import tariffs.
The US-based electronic vehicle-maker was also given exemptions should they have a local partner and meet the minimum 30% Bumiputera equity requirement.
This led Tesla to begin selling its cars in March 2023 onwards, with plans to open its headquarters and service centre in Selangor and sales offices in key Malaysian cities.
That said, Tesla is committed to building more charging stations for its users to conveniently charge their vehicles in Malaysia
In its deal with the Malaysian government last year, the company promised to invest in building fast-charging and regular-charging stations across the country.
In addition, Musk's other business, Starlink, was granted permission to set up its offices here following a 49% ceiling waiver.
According to reports, the decision to cancel building factories in Southeast Asia is part of Tesla's investment strategy to divest from Asia and beyond.
Read more #tech stories:
Don't miss out! Here are some more trending stories on SAYS:
Leave a comment