Audi Begins Assembly Of Audi Q7 SUV In Pekan, Pahang

PEKAN, April 24 (Bernama) -- Audi has started assembling its first SUV in Southeast Asia at its Pekan plant in Pahang, the group’s only Audi production facility in the region, a statement said.

Audi is part of the Volkswagen Group.

Volkswagen Group Malaysia’s (VGM) managing director Susanne Lehmann said Malaysia was identified as the regional production hub for Audi vehicles in ASEAN.

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"Customers will continue to experience the same Audi quality, performance and luxury, now made in Malaysia," she said at the Audi Q7: Start of Production event here today.

The Audi Q7 SUV is a seven-seater and is priced between RM469,000 and RM489,000. It will be introduced to the Malaysian market next month.

The statement said the Pekan plant, which involves about RM12 million in initial investment, has an annual capacity of 5,000 units.

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Separately, Lehmann said the company's future export markets include Indonesia, Thailand, and Vietnam.

Lehmann said the decision to begin with the Q7, rather than a smaller or higher-volume model, was a strategic move to expand Audi’s product portfolio.

"We want to move into electric vehicle (EV) production step-by-step. This is a logical first step for our operations here.

"We are not only looking at volume but building capabilities. We need to train our workforce, introduce new technologies, and prepare the foundation for EV production," she said. 

The company is in discussions with local government agencies to raise the use of Malaysian components and suppliers.

"We aim to increase localisation and involve more local suppliers in our supply chain, which will help reduce material costs even further," she said. 

Lehmann said the plant is expected to create job opportunities, skill transfer and develop a local supply chain.

On the timeline for opening a body shop, Lehmann said body and paint shops involve heavy investments and need a minimum of 10,000 cars a year.

-- ERNAMA