KUALA LUMPUR, 20 FEBRUARY 2024: Malaysia wants electric vehicles (EV) companies with a facility here to consider making the country a hub to supply and service the fast growing Asean EV market.

Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Abdul Aziz said the Asean EV market is expected to grow at a compound annual growth rate (CAGR) of 33 per cent to US$2.7 billion (RM11.77 billion) by 2027 from US$500 million in 2021.

Tengku Zafrul said Malaysia has many positive factors that makes its investment landscape highly conducive to support multinationals' regional hub ambitions.

"Apart from our strategic location, strong command of the English language, good infrastructure and rule of law, as you know, we also have a highly established electrical and electronics (E&E) industry which has been reliably feeding into other industries including aerospace, renewable energy and EVs."

"My pledge to the industry is continue to collaborate with the Ministry of Human Resource and Higher Education to ensure that the industry's requirements for skilled workers will be fulfilled," he said after launching UMW Toyota Motor Sdn Bhd's Beyond Zero initiative here today.

The initiative aligns with Toyota's global pursuit of Carbon Neutrality by 2050.

The groundbreaking event will take place from today until Feb 28 at the Technology Park Malaysia here.

Tengku Zafrul said the government has started a short-term solution to address the talent gap by opening up job market selectively to foreign graduates with the targeted qualifications.

The long-term measures are to increase domestic students' enrolment in science, technology, engineering and mathematics (STEM) subjects and the technical and vocational education and training (TVET) track.

"In short, for automakers that are shifting to EV production, our EV ecosystem, talent policies and established E&E sector are huge advantages to your transition towards an electric-powered future," said Tengku Zafrul.

This also helps support the achievement of Malaysia's net-zero GHG emission goal by 2050, which contributes to a more sustainable future.

In building the necessary infrastructure to achieve the country's target to have 20 per cent of total industry volume (TIV) for EVs (including hydrogen fuel cell) by the year 2030, 50 per cent of TIV by 2040, and 80 per cent of TIV by 2050, the steering committee will, among others, address a few key concerns.

The top concerns are firstly, the availability of charging stations to address customer range anxiety, and secondly, ensuring the supply to power up the charging ecosystem, so owners can charge any form of EV quickly, easily and reliably in an urban or rural setting, he said.

The government also acknowledges the pivotal role of private entities in driving change, such as UMW Toyota, which share its commitment to sustainable practices.

Toyota's innovative efforts, such as in the development of hydrogen fuel cell technology, also aligns with the national goals.

"In short, Toyota's multi-pathway vision is all about providing accessible and affordable mobility for the daily lives of all Malaysians, without compromising on safety and sustainability imperatives," Tengku Zafrul said.

On the part of the government, Malaysia's investment in hydrogen technologies seeks to address domestic consumption, energy security, international energy trading sustainability and decarbonisation.