KUALA LUMPUR, July 26 (Bernama) -- The ongoing Full Movement Control Order 3.0 (“FMCO”), which began on 1 June 2021, has adversely impacted the domestic automotive sector with only 1,921 units registered for the month of June.  Of the total, UMW Toyota Motor (“UMWT”) delivered 85 vehicles while Perodua sold 1,009 units.  With the prolonged lockdown, minimal sales could be expected for the month of July for both UMWT and Perodua.
 
The online showrooms are proving to be a viable alternative for customers during the FMCO. The Toyota, Lexus and Perodua online showrooms are gaining traction as consumers are gradually moving towards e-platforms during the lockdown phase.   
 
UMW Holdings Berhad’s President and Group CEO, Dato’ Ahmad Fuaad Kenali said, “To offset the absence of walk-in customers due to closures, both UMWT and Perodua have no alternative but to pivot to online marketing and sales.  Currently, both marques have a healthy level of outstanding bookings that can be fulfilled once lockdown restrictions are eased.  We are also appreciative of the government’s extension of the sales tax exemption to 31 December 2021 which will hopefully hasten the recovery.  Upon resumption of operations, we plan to ramp-up production to hasten delivery to our customers.”
 
The prolonged lockdown has adversely impacted the entire supply chain in the automotive sector, especially components manufacturing.  Consequently, the exports of automotive components have also been affected, disrupting Toyota’s global supply chain.
 
Dato’ Fuaad added, “The Group remains hopeful that the lockdown restrictions will be eased and conditional upon strict compliance to the COVID-19 Standard Operating Procedures.  At the same time, subject to availability of vaccines, to ensure all our employees, suppliers and dealers are vaccinated progressively.  We are working closely with the relevant authorities to support the National COVID-19 Immunisation Programme.”
 
The Group remains confident of the growth potential for the automotive industry in Malaysia.  UMWT recently announced it will be investing RM270 million into local manufacturing of hybrid electric vehicles (“HEV”) in a move to advance its carbon neutrality initiative as well as to offer customers a wider range of vehicles, including technically advanced HEV.
 
Dato’ Fuaad further added, “Barring continued lockdown and prolonged disruption in the global semiconductor chips, UMW expects the automotive sales momentum to continue, especially with the extension of the sales tax exemption.  We are appreciative of the Government’s various measures to support the automotive sector.  We wish to also express our appreciation to our customers for their continuing support of our products and services despite the challenges.”    
  
About UMW
 
The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth.  It is involved in four core business segments – Automotive, Equipment, Manufacturing & Engineering and Aerospace.  The Group operates in 8 countries and has over 7,000 employees.
 
Moving forward, UMW strives to play a leading role in shaping the future of its industries.  The Company will do this by inspiring vibrant ideas, nurturing potential, pioneering partnerships and delivering excellence in everything it does; the rewards of which will contribute to the progress and well-being of all its stakeholders.
 
Source: UMW Corporation Sdn. Bhd.

FOR MORE INFORMATION, PLEASE CONTACT:
Name: S Vikneshwaran
General Manager – Group Investor & Media Relations
UMW Corporation Sdn. Bhd.
Tel: +603 2025 2104 / +6019 850 5799
Email: vikneshwaran.s@umw.com.my
 
--BERNAMA