PERODUA EXPECTS MARKET SHARE TO GROW TO 40.6 PCT IN 2022

KUALA LUMPUR, Jan 26 -- Perusahaan Otomobil Kedua Sdn Bhd (Perodua) expects its market share to improve to 40.6 per cent from 37.4 per cent in 2021, following its estimated capital expenditure (capex) investment of RM1.33 billion in 2022.

President and chief executive officer Datuk Zainal Abidin Ahmad said the car maker has projected to increase production by 37.5 per cent to 265,900 units this year, its highest-ever production volume, compared with 193,500 units recorded in 2021.

"Our primary focus and main key performance indicator for this year is recovery process which is to increase our production volume and vehicle registration," he said during a media briefing on Perodua's 2022 Outlook today.

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He said Perodua targets to register a total of 247,800 vehicles in 2022 against an estimated total industry volume (TIV) of 610,000 units projected by the company, barring any unforeseen circumstances, and the extension of sales tax until the end of June this year.

"The increase in production would result in the increase in locally-sourced automotive parts by 41.5 per cent to RM7.5 billion against RM5.3 billion purchased in 2021.

"With strong support and guidance from us, our suppliers and vendors will be able to overcome whatever challenges this year," he said.

On capex, Zainal Abidin said most of the expenditure will be used mainly for the preparation of new model production, plant improvement and transformation, as well as research and development enhancement and digitisation process.

"Our plant's improvement includes making our factories meet the criteria of green factories and eventually in the future, we will be able to reduce the carbon emission, not only carbon reduction in our products, but also in our factories’ operations," he said. 

According to him, the demand for Perodua vehicles remained strong in 2021 for all models, with Myvi leading the pack having registered 47,525 units, followed by Axia 43,080 units, Bezza 42,698 units, Ativa 26,847 units, Aruz 15,313 units, and Alza with 14,828 units.

"Our order book for new vehicles is still quite healthy with the guarantee that production will go uninterrupted, meaning that we could fulfil the outstanding orders in a timely manner.

"As of yesterday, we have around 86,000 outstanding orders, with 60,000 units of them booked with Letter of Undertaking," he said.

On the recent flooding in December last year and early this year, Zainal Abidin said Perodua has received almost 2,103 damaged car cases throughout the country, out of which 366 vehicles had been repaired and returned to the respective owners. 

"The influx of Perodua vehicles to its service centres was in response to the Perodua Flood Assist Programme offered by the company, in addition to the government announcement of a RM1,000 voucher initiative to assist Malaysians whose vehicles were damaged by the floods," he added. 

-- BERNAMA