Published on May 28th, 2014 | by Daniel Sherman Fernandez0
Renault Group & Tan Chong Motor To Increase Renault Presence In ASEAN
Gilles Normand, Chairman of the Asia-Pacific Region for the Renault group, and Dato Tan Heng Chew, Executive Deputy Chairman and Group Managing Director of Tan Chong Motors Holdings Berhad, today signed an agreement to build Fluence in Malaysia.
This agreement will enable Renault to build its presence and awareness, not only in Malaysia but also across the whole of South-East Asia, a region with real opportunities for growth. Malaysia is the third biggest regional economy after Thailand and Indonesia, with growth running at over 5% on average over the past thirty years and living standards that are among the highest in South-East Asia. In 2013, the automotive market expanded by more than 5%, with sales of 645,000 vehicles.
To support this growth, Renault is increasing the size of its network with an aim to have 25 dealers by 2016. Renault started building its awareness in Malaysia with sports models such as Mégane Renaultsport, sold there since 2010, and Clio Renaultsport, unveiled at the Malaysia Grand Prix. Koleos is also on sale. Renault has benefited from the expertise and good quality of service of Tan Chong Motors, its partner since 2003.
The launch of Fluence is the first stage in Renault’s drive to step up the pace of growth in Malaysia. Recognised for its strength and reliability Fluence is the Renault group vehicle used to win international markets, particularly in countries where three-box sedans are popular. Other launches are planned in the future for vehicles meeting the core requirements of the local market.
“We are delighted to be strengthening our partnership with Tan Chong Motors, partner to Nissan, with which Renault has been working for over ten years. This agreement marks the start of a new stage in the development of Renault in Malaysia where our ambition is to establish Renault as the within the top three of generalist European car makers by 2018,” said Gilles Normand.
“With the Malaysian automotive market now opening its doors more widely to foreign vehicle manufacturers, and after our work with Nissan, we are very pleased to have this agreement with a leading European brand such as Renault,” said Dato Tan Heng Chew. In a wider expansion of the partnership between Renault and Tan Chong, the two companies plan to more than double the number of Renault outlets in the country by 2016 to 25 from 10 now, Renault said. The two companies have worked together since 2003.
Malaysia, Southeast Asia’s third-largest economy after Thailand and Indonesia, has consistently averaged annual growth of about 5 percent during the past 30 years. Last year automotive sales increase by 5 percent to 645,000 vehicles.
Gilles Normand, Renault chairman for the Asia-Pacific region, said that Renault wants to be among the top three volume European automakers by sales in Malaysia by 2018. Right now Perodua, Proton and Toyota Motor Corp. rank one, two and three overall in Malaysia.