BERJAYA Corp Bhd appears to have reached a dead end with its plan to manufacture small cars in Malaysia.
The government does not plan to relax rules under the National Automotive Policy, which only allows new manufacturing licences for cars of 1.8 litres and above.
BCorp wants to partner China's BYD Auto to develop 1-litre right- hand drive cars for the Asean market.
"The National Automotive Policy is very clear, there is no exception (to the requirement of above 1.8-litre capacity).
"Malaysia is already making big concessions to allow foreign brands to be assembled here," International Trade and Industry Deputy Minister Datuk Clip in human hair extensions Mukhriz Mahathir said.
Last week, BCorp and BYD Auto signed a memorandum of understanding to develop BYD's F0 model. F0 retails at between US$4,000 (RM13,778) and US$5,000 (RM17,222) in China.
BYD Auto, which counts famous US investor Warren Buffet among its shareholders, is the fourth biggest carmaker in China by volume, after Volkswagen, General Motors Corp and Toyota. Last year, rolex replica BYD Auto sold 450,000 vehicles.
BCorp executive director Francis Lee had said that the company will seek a licence from the Malaysian government to set up the assembly plant.
Under the recently revised National Automotive Policy, Malaysia lifted a freeze on car manufacturing licences, but only for models above 1.8 litres.
Mukhriz said he was not aware of BCorp's application.
He was speaking to reporters after witnessing the signing of a management and branding agreement between Ascenteus Holdings Sdn Bhd, Davanam Constructions Sdn Bhd and GHM Ltd in Kuala Lumpur yesterday.
Berjaya Group holds 51 per cent of Changan Berjaya Auto Sdn Bhd, a joint venture with China's ChangAn Auto Co Ltd, to
embroidered patches distribute Changan Era cars here.
It also owns distribution rights for brands such as Mazda, Skoda and Mercedes-Benz. Berjaya Group also plans to assemble Mazda 3 cars in Malaysia soon.
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