Malaysia's Northern Corridor Economic Region eyes EV, auto projects to diversify investments

KUALA LUMPUR, Sept. 15 (Xinhua) -- Malaysia's Northern Corridor Economic Region (NCER) is exploring opportunities in the electric vehicle (EV) and automotive sectors as part of efforts to diversify investments beyond its strong electrical and electronics (E&E) and semiconductor base, the Northern Corridor Implementation Authority (NCIA) said on Tuesday.

Several investments are currently being assessed, and the specific portion of its 470 billion ringgit (about 115 billion U.S. dollars) cumulative investment target by 2030 that could come from the automotive sector has yet to be determined, NCIA Chief Executive Mohamad Haris Kader Sultan told Bernama, the country's national news agency.

"Among them are high-technology vehicle projects in Kulim, Kedah, with potential investors in the EV sector undergoing due diligence," he said, adding that so far, two investors have been identified in the EV battery segment, while three are being considered in the automotive segment.

He also said E&E and semiconductor activities continue to form the mainstay of investments in the NCER, particularly in Penang, where about 95 percent of investments are expected to be concentrated in the E&E and semiconductor sector.

Earlier, Economy Minister Akmal Nasrullah Mohd Nasir launched the NCER 2026-2030 Strategic Development Plan aimed at realizing a cumulative investment of 470 billion ringgit by 2030, with 70 percent of the total contributed by key sectors such as E&E, automotive, high-value tourism and modern agriculture.

The diversification of investments is also aimed at ensuring that economic growth reaches less-developed areas across the four NCER states, namely Perlis, Kedah, Penang and Perak.