Malaysia is a paradoxical automotive market.
For instance, when a new car model is launched, it is usually the most expensive version, rather than its base model, which attracts more sales and a longer waiting list. That is contrary to expectations.
Another way of viewing our car market is to compare it with that of our northern neighbour. Thailand, which has a population of 70 million, produces almost two million vehicles a year, but it is Malaysia which sells more premium continental cars.
A third paradox is that despite the affordability of petrol and diesel, there is a keen demand in Malaysia for electric vehicles, including battery electric and plug-in hybrids.
Malaysians, it seems, are true believers and have almost boundless passion for the next generation of new energy vehicles.
One such early adopter, an IP lawyer, has been disappointed by the failure of the automatic transmission of his diesel-hybrid passenger car, but is not turned off by it. For now, he rents a car to move around in, until he can get his hands on the car of his dreams – a Tesla.
Despite the jaw-dropping features of BYD’s YangWang – the ultimate 4-motor 4×4 EV unveiled at the recent Shanghai Motor Show, the Tesla is still the indisputable industry leader in EV cars.
Malaysians generally will not mind buying one from parallel importers but are understandably anxious about whether they will get the same level of technical support as those who buy directly from Tesla.
Such anxiety may be misplaced, as grey imports of the car already enjoy better over-the-air updates than several rival EVs brought in by their official distributors.
The good news is that Tesla will start distributing its EVs in Malaysia by the end of this year or latest by early next year.
In addition, it is understood that the company intends to honour its warranties even for grey imports, although owners will have to repair and replace parts at Hong Kong standard service centre rates until such time as one is set up in Malaysia.
The government’s approval for Tesla to distribute and sell its EVs in Malaysia has also created an unexpected opportunity for EV enthusiasts to own one without the bother of shipping the car to Hong Kong for repairs.
This creates a great buying opportunity for motorists in the high-net worth bracket who have thus far been constrained in their choice of EVs.
About two years ago, the government approved an application by the Bumiputera car traders’ association (Pekema) to import Tesla EVs on condition that Pekema invests in a network of fast-charging EV stations and training.
This has allowed the association’s members to import a wide selection of Tesla EVs, including the popular Tesla Model 3 and the Tesla Model Y (a mid-size SUV), all of which are now parked in warehouses in Subang and Shah Alam.
Here, then, is an opportunity to own a Tesla EV at prices below RM300,000.
The car will be able to enjoy after sales service support from a growing number of independent EV workshops equipped with most of the car’s software and stocked with its spare parts.
With Tesla jealously guarding its electric drive units, traction battery packs and its electronic control units, some of these independent workshops are now capable of offering workarounds to meet the owners’ demands.
For Malaysian EV Owners Club (MyEVOC) president Shahrol Halmi, government approval for Tesla to set up a sales office for its completely built-up (CBU) EVs and to invest in a network of superchargers will bring benefits to the overall EV ecosystem and society.
“We shouldn’t be solely focussed on making CKD operations a requirement for selling EVs in Malaysia. We should also pay close attention to adding value by providing the necessary support infrastructure of EV chargers, as well as after-sales and software services,” he told FMT.
“We should focus on outcomes rather than specific technologies. EVs and its related technologies will generate new categories of investment, employment and innovation beyond the traditional metal and plastic of car making,” he said.
“In fact, in the short time since EV incentives were put in place, we have already seen local players innovate in response to market demands, such as providing charger reservation (ParkEasy), mobile charging (EV Connection and Gentari) and inter-CPO roaming (ChargeEV, Gentari and JomCharge).”
For those who want to look beyond Tesla for their EVs, South Korea offers a strong contender. KIA Motor Corporation and its Malaysian distributor Bermaz Auto Berhad, are presently the only ones with a factory-supported EV training facility.
They have also started courses in the new generation of high-voltage EVs for first responders, including the fire department and the police.
The views expressed are those of the writer and do not necessarily reflect those of FMT.