Tesla Gets More Signals From Malaysia As Prime Minister Offers Path To Upstream Success: 'We ... See Synergy'

Tesla, Inc. TSLA is poised to broaden its global presence, with Malaysia showing a keen interest in providing a stronger foothold for the electric vehicle manufacturer, according to statements from the country’s Prime Minister, Anwar Ibrahim.

What Happened: In a recent interview with CNBC, Ibrahim emphasized Malaysia’s prioritization of electric vehicles. 

He stated, “The way we see things is not structured blanket procedures or policies but to see the synergy.” 

Ibrahim further highlighted that Tesla’s entry could benefit multiple local industries, equating to a substantial boost of around 20-30% in terms of economic advantage.

See Also: Everything You Need To Know About Tesla Stock

Ibrahim affirmed the potential for Tesla to move up the supply chain. Producing cars locally, he noted, is more cost-effective than importing vehicles from around the world, and such localization contributes to lower costs for consumers.

While Ibrahim acknowledged the prospect of Tesla’s full supply chain assembly in Malaysia, he deemed it premature to provide definitive details on the matter.

The Malaysian extension of Tesla commenced operations in July, launching the Model Y for domestic buyers. This expansion was facilitated by Malaysia’s Battery EV Global Leaders Initiative, spearheaded by the Malaysian Investment, Trade, and Industry body.

Prime Minister Ibrahim had also engaged in a virtual discussion with Tesla’s Elon Musk concerning the company’s operations within Malaysia, as well as the Starlink service.

Coincidentally, neighboring Indonesia has also been actively pursuing Tesla and Musk to establish a presence in the country. Indonesia’s wealth of nickel, a crucial material for batteries, underpins its appeal as a potential base for Tesla’s operations.

In premarket trading, Tesla stock rose 3.22% to $222.40, according to Benzinga Pro data.

Check out more of Benzinga’s Future Of Mobility coverage by following this link.

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