Stellantis Begins Local Assembly Of Leapmotor EVs In Kedah

Stellantis Malaysia has officially commenced the local assembly of Leapmotor C10 and B10 electric vehicles at its production facility in Gurun, Kedah. With this shift to domestic manufacturing, the company has confirmed that both models are now available for purchase through its authorised dealership network nationwide, starting at a price point of RM118,800.

This expansion of production capabilities follows a targeted investment of EUR 5.3 million by Stellantis. According to the original publisher, these funds were specifically earmarked for the development of localised production processes, as well as necessary upgrades to the assembly lines and supporting infrastructure at the Gurun plant. By transitioning to local assembly, Stellantis aims to streamline its supply chain and solidify its footprint within the Southeast Asian automotive sector.

The Leapmotor C10 and B10 represent the latest additions to the Malaysian EV market, which has seen a rapid influx of Chinese-manufactured models over the past year. By manufacturing these vehicles in Kedah, Stellantis is positioning itself to better compete with other major EV players that have already established local presence or benefited from import duty exemptions. The move is expected to improve parts availability and service efficiency for Malaysian owners compared to fully imported alternatives.

For the Malaysian consumer, the entry of locally assembled Leapmotor vehicles provides another option in the increasingly crowded EV segment. With Malaysia currently maintaining a real GDP growth rate of 6.0% year-on-year, the consumer appetite for modern, tech-integrated vehicles remains robust. For potential buyers, the starting price of RM118,800 places these models within a competitive bracket for middle-income households looking to transition away from internal combustion engines.

The timing of this launch is particularly significant given the current landscape of fuel costs in the country. With unsubsidised petrol prices sitting at RM3.77 and diesel at RM4.67, the long-term operational savings offered by EVs are becoming a more prominent factor in household financial planning. While headline inflation remains relatively stable at 1.8%, the shift toward electric mobility is being viewed by many as a hedge against future volatility in fossil fuel pricing, provided that the initial capital expenditure remains accessible.

From an industrial perspective, the investment in the Gurun plant reflects a broader trend of international automakers leveraging Malaysia as a production hub. This development aligns with the country’s ongoing efforts to transition toward a greener automotive ecosystem. Given the national unemployment rate of 3.0%, the expansion of assembly operations like those at Gurun may offer localized job creation or technical upskilling opportunities for the regional workforce, though Stellantis has not provided specific hiring targets linked to this investment.

The local automotive industry continues to watch closely as brands navigate the transition to full-scale electrification. As infrastructure for charging becomes more ubiquitous, the ability for manufacturers to provide reliable, locally supported EV models will be the primary metric for long-term success. This shift suggests that the market is moving past the stage of early adoption and into a phase of mainstream competition, where local assembly is increasingly becoming the baseline expectation rather than a premium feature.

What remains unconfirmed is the specific production capacity Stellantis intends to target at the Gurun facility for the Leapmotor line. Additionally, the company has not disclosed the full technical specifications or potential variants for the Malaysian market, nor has it outlined any specific timeline for future model introductions beyond the C10 and B10. Further details regarding service maintenance packages and long-term warranty provisions for locally assembled units are expected to be provided at the dealership level.