KLIMS 2024 to Showcase Shift in Local Automotive Landscape.

• Transportation sector a major contributor to climate change
• Automotive industry contributes approximately 4% to GDP

Deputy Prime Minister Haji Fadillah Bin Haji Yusof inaugurated the 10th Kuala Lumpur International Mobility Show (KLIMS) 2024 on December 4, 2024, at MITEC KL. The event, organized by the Malaysian Automotive Association (MAA), is themed “Beyond Mobility,” reflecting a significant shift in the automotive landscape towards innovative and sustainable transportation solutions.

In his speech, the Deputy Prime Minister expressed gratitude to the MAA for hosting this important event, which serves as a platform for showcasing advancements in mobility. He emphasized Malaysia’s commitment to building a sustainable future, particularly in reducing greenhouse gas emissions from the transportation sector, which is a major contributor to climate change. The government aims to enhance the mobility sector and lower the carbon footprint of both commercial and private transport.

Notably, during the Budget 2025 Policy Debate, Prime Minister Anwar Ibrahim announced a substantial allocation of RM4.95 billion to the Ministry of Energy Transition and Water Transformation (PETRA), aimed at advancing the nation’s energy and water transformation agenda. Key initiatives include the National Energy Transition Roadmap (NETR) for renewable energy and the development of 3,171 electric vehicle (EV) charging stations across the country. Furthermore, to stimulate the local EV industry, the government has extended full exemptions on import and excise duties as well as sales tax for EVs.

The automotive industry plays a crucial role in Malaysia’s economy, contributing approximately 4% to the GDP and employing over 700,000 people. The Deputy Prime Minister noted that KLIMS 2024 provides an opportunity to witness significant technological advancements within this sector. He highlighted Malaysia’s regional collaboration through initiatives like the ASEAN Power Grid and underscored PETRA’s mission to achieve net zero carbon emissions by 2050 through innovative technologies such as Battery Energy Storage Systems (BESS) and Carbon Capture and Storage (CCS).

In his address, he also pointed out that sustainable practices are already being embraced within the industry, citing examples such as energy-efficient production methods and adherence to circular economy principles. The National Automotive Policy (NAP) 2020 promotes Next-Generation Vehicles (NxGVs) and Mobility as a Service (MaaS), further encouraging energy-efficient vehicles and sustainable mobility solutions.

Looking ahead, Haji Fadillah expressed confidence in Malaysia’s potential to become a regional hub for electric vehicle production and innovation. He called upon all stakeholders—including industry leaders, policymakers, innovators, and consumers—to collaborate in driving change towards sustainability. He emphasized that consumer adoption of EVs and hybrid vehicles is vital for achieving national sustainability goals.