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Aston Martin has revealed further details of its in-house designed V6 engine, created initially for deployment in a new range of mid-engined sportscars, starting with the Valhalla from 2022. Codenamed TM01 – celebrating Aston Martin’s illustrious engineer of the 1950s and 1960s, Tadek Marek – the engine has already undergone a series of extensive testing sessions on the dyno, as the team make progress towards creating the luxury British brand’s first in-house designed engine since 1968.

New Aston Martin V6 engine

Confirmed today as a 3.0-litre turbocharged V6, the full powertrain will be electrified – an aspect that has been key to the engine’s development from day one. In parallel to the tests shown today, Aston Martin is developing a new range of hybrid systems that will ensure that the complete unit will become the most powerful in the Aston Martin range when on sale. The final power and torque figures for each application of this powertrain will be determined by the desired characteristics of each product it serves and confirmed at the time of launch.

New Aston Martin V6 Engine

Following the Valkyrie – the brand’s first mid-engined hypercar – many key learnings have been directly applied to this project. As a result, the decision to develop the engine with a ‘hot V’ structure was clear from the start, with the configuration allowing for this compact engine to weigh less than 200 kgs.

Aston Martin Valhalla
Aston Martin Valhalla

Higher engine speeds, in combination with the benefits of electrification, will offer the performance characteristics of a mid-engined sportscar on an extreme level. Naturally, the engine will be positioned directly behind the driver’s cabin and equipped with a dry sump system to guarantee the lowest possible centre of gravity. The system will also deliver exceptional lubrication performance during on-limit, high-speed cornering. Despite the overt nature of this powertrain, the engine is designed to meet all future emission requirements for Euro7.

“This project has been a great challenge from the start. Putting a team together to deliver what is going to be the future power of Aston Martin has been an honour. From the very beginning, we have had the freedom to explore and innovate in a way that we have not been able to do so in a very long time. Most importantly, we wanted to create something that is befitting of the TM01 nameplate and create something that would have impressed our predecessor and pioneering engineer, Tadek Marek,” said Joerg Ross, Powertrain Chief Engineer.

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Max Verstappen and Alex Albon test-drive the Aston Martin Valkyrie hypercar

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Ever since the pneumatic tyre was invented, motorists have had to live with the possibility of the air inside leaking out due to being punctured by a nail or damage from hitting a pothole. Loss of air pressure, which is what keeps the tyre in its hard shape to roll along, means the tyre cannot be used and has to be replaced. Not something you want when you are on the way to a meeting or a holiday resort.

Various solutions have been developed over the years which try to keep the tyre usable even when the air is gone. Run-flat tyres are capable of continuing even when deflated, though at limited speeds and for a limited distance. Obviously, they need to be replaced or repaired as soon as possible.

More specialised tyres for off-road use have flexible foam inside which can maintain the tyre shape even when air has leaked out.

Regenerating the tread
Now Goodyear is taking another approach with a prototype tyre it calls recharge. This is reloadable and has a tread compound that can be recharged with individual capsules, radically simplifying the process of replacing your tyres.

Filled with a customized liquid compound, these capsules allow the tread to regenerate and the tyre to adapt over time to climatic circumstances, road conditions, or simply how you want to travel. Thanks to artificial intelligence, a driver profile would be created around which the liquid compound would be customized, generating a compound blend tailored to each individual.

Goodyear reCharge concept tyre 2020

The compound itself would be made from a biological material and would be reinforced with fibres inspired by one of the toughest natural materials in the world – spider silk. This would make it both extremely durable and 100% biodegradable.

No maintenance needed
In addition to radically simplifying the process of replacing tyres using the rechargeable capsules, the tread would be supported by a lightweight, non-pneumatic frame and tall-and-narrow shape. This is a thin, robust low-maintenance construction that would eliminate the need for pressure maintenance or downtime related to punctures.

Goodyear reCharge concept tyre 2020

“Goodyear wants the tyre to be an even more powerful contributor to answering consumers’ specific mobility needs,” said Mike Rytokoski, Vice-President and Chief Marketing Officer, Goodyear Europe, “It was with that ambition that we set out to create a concept tyre primed for the future of personalized and convenient electric mobility.”

Recharge is just a concept for now although it could become one of the features of tyres of the future. Only thing is, if the tread can be regenerated, then the tyres doesn’t need to be replaced. That’s good for the environment but is it going to be good for company business?

Goodyear Eagle F1 range in Malaysia widens with more choices

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Many cars nowadays come with a sensing system that monitors the area along the sides of the car which are in the driver’s blind spot. The sensors detect the presence of another car or motorcyclist and alert the driver by a flashing light on the mirror or on the instrument panel. The warning can prevent a collision if the driver had been intending to change lanes or turn.

Volvo (while it was in the Ford Group) developed this active safety system that came to be called the Blind Spot Information System or BLIS. Naturally Volvo models were the first to have BLIS from 2007 and Ford too adopted the system on many of its models as an optional or standard feature.

Ford BLIS
Ford BLIS warning flashes on the door mirror if there is another vehicle or motorcyclists in the blind spot.

Eventually other manufacturers also had similar systems and today, the sensors also detect cross traffic approaching as the vehicle reverses out of a parking bay. This is especially useful as the driver may not be able to see either side due to the view being blocked by other adjacent vehicles.

However, BLIS works only when the vehicle is moving and now Ford has gone further in this area by developing new technology which can reduce accidents caused by drivers or passengers opening their doors as a cyclist is approaching. Although they should first open the door slightly and look to the back first, many just open it suddenly and a cyclist might not be able to stop in time.

3,500 accidents in one year
While this sort of accident may not be so common in Malaysia, there are thousands such accidents in Europe every year. In 2018 alone, 3,500 ‘car dooring’ accidents occurred in Germany. This problem is expected to get worse as more people choose to cycle and ride e‑scooters in cities.

Ford’s new technology is called Exit Warning and provides visual and audible alerts to road users and vehicle occupants when it detects that opening the door of a parked car might cause a collision. It could also prevent a vehicle door from opening into someone’s path.

How it works
Many Ford vehicles already have sensors and technology that can automatically detect and brake for cyclists ahead and as mentioned earlier, BLIS lets drivers know when other road-users are in their blind spots.

Using these existing sensors, Exit Warning analyses and understands the movements of approaching road-users – whether they are riding a bicycle or an e-scooter – on both the driver and passenger sides of the vehicle. If the system detects that opening the vehicle door could cause a collision, an alarm sounds to warn the driver or passenger of the danger.

To attract attention, bright red LEDs on the wing mirror also begin to flash as a visual warning for cyclists and a strip of red LEDs along the inner trim of the door – that becomes visible when the door is opened – provides further warning for passing road-users.

Ford Exit Warning

For engineers are also testing a new mechanism for the car door that momentarily prevents it from fully opening until the Exit Warning system determines the passing road-user is safely clear of the vehicle. Of course, the vehicle occupant will be able to manually override this feature in an emergency.

Following testing with drivers and cyclists from within Ford, the engineers will be conducting customer clinics in coming months. Part of the testing will be to ensure that the technology accommodates road-users in different markets, taking into account right-hand and left-hand drive vehicles as well as different road and lane layouts.

Fostering harmony between road-users
Ford’s ‘Share The Road’ campaign seeks to foster harmony between road-users and underlines the company’s belief that enabling more people to cycle safely, especially for short journeys, benefits everyone.

Ford Emoji Jacket

The company recently highlighted the challenges of communication between drivers and cyclists – and how smart thinking could potentially ease tensions and reduce accidents. Its prototype ‘Emoji Jacket’ is a one‑of‑a‑kind wearable that features a brightly lit LED mesh panel to display emojis, indicators and the hazard warning symbol. The prototype jacket enables cyclists to more easily and clearly signal their intent – and their feelings – to drivers and other road-users.

Visit www.sdacford.com.my to know more about the safety technologies in today’s Ford models.

Ford organises Driving Skills for Life to promote safety

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On its way to being ready for production, the BMW iNEXT is completing additional vehicle testing under particularly demanding conditions. Intensive test runs in the freezing cold at the polar circle are now being followed by a contrasting program in the Kalahari in southern Africa.

In addition to extreme heat and solar radiation, permanent dust formation and off-road terrain with its sand, pebble and gravel tracks pose exceptional challenges for the BMW Group’s technology flagship.

2021 BMW iNEXT

The test drives through the desert and savanna regions in the northwest corner of South Africa are in temperatures that would drain any mobilephone battery in no time at all. This puts a severe test on the integrated cooling concept for the high-voltage battery, the electric motor and the vehicle electronics.

2021 BMW iNEXT

During extensive heat tests, the car is repeatedly exposed to the heat of the sun for hours and later cooled down. In this way, the developers test not only the operability of the electrical systems but also the temperature stability of the materials used in the interior.

Moreover, the interior air conditioning, which operates by means of thermal pump technology, its control system and all further components of the electronics, are subjected to the extreme conditions of the desert climate.

2021 BMW iNEXT

Every part and system stress-tested
In this literally hot phase of the product development process, not only do the drive and suspension components of the iNEXT –  a car designed for all-electric mobility – have to provide proof of their functional safety, durability and reliability, but also the car’s bodywork, interior, driver assistance systems and digitalisation technology.

The ‘hot climate’ tests are an integral part of a both extensive and varied development and test program. Prototypes are subjected virtually in time-lapse to the stress of an entire car’s service life.

2021 BMW iNEXT

Real-world conditions
Like every new BMW model, the prototypes are also driven at the proving ground at Miramas in southern France, the Nurburgring Nordschleife and other racetracks as well as the Winter Centre in Sweden.

With high-speed operation, stop/go traffic, extreme temperatures below and above zero, testing on ice and snow as well as desert sand and gravel, the pre-production cars are put through a concentrated form all of the challenges an automobile may face in everyday traffic over a period of many years.

2021 BMW iNEXT

Fifth generation BMW eDrive technology
Featuring fifth-generation BMW eDrive technology, the iNEXT is said to set new benchmarks in sportiness, efficiency and range in a battery-powered automobile. The car’s suspension control and driver assistance systems pave the way for a further step towards autonomous driving. Current innovations in the field of operation and digitalisation also underscore the future-oriented character of the iNEXT.

Production of the iNEXT will commence at the BMW Dingolfing plant in 2021. Designed as a modern Sports Activity Vehicle, the new model combines the latest innovations defined by the BMW Group in its corporate NUMBER ONE > NEXT strategy for the future fields D-ACES (Design, Autonomous, Connected, Electrified und Services).

5th generation BMW eDrive technology to debut in iX3 next year

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The two carmakers in the Hyundai Motor Group – Hyundai Motor Company and Kia Motors Corporation – have jointly developed the world’s first predictive Information and Communication Technology (ICT) Connected Shift System to enhance motoring. The system is also in line with autonomous technology, which is developing day by day.

The system enables the vehicle to automatically shift to the optimal gear after identifying the road and traffic conditions ahead. While the technologies used to automatically shift depend on drivers’ preferences, such as Smart Drive Mode – available on most current Hyundai and Kia models – ICT Connected Shift System is the first ICT to automatically shift the gear according to road and traffic conditions.

Hyundai Motor Company and Kia Motors Corporation

The ICT Connected Shift System uses intelligent software in the Transmission Control Unit (TCU) that collects and interprets real-time input from underlying technologies, including 3D navigation equipped with a precise map of the road as well as cameras and radar for smart cruise control. The 3D navigation input includes elevation, gradient, curvature and a variety of road events as well as current traffic conditions. Radar detects the speed and distance between the vehicle and others, and a forward-looking camera provides lane information.

Using all of these inputs, the TCU predicts the optimal shift scenario for real-time driving situations through an artificial intelligence algorithm and shifts the gears accordingly. For example, when a relatively long slow-down is expected and the radar detects no speed irregularities with the car ahead, the transmission clutch temporarily switches to neutral mode to improve fuel efficiency.

Hyundai Motor Company and Kia Motors Corporation

During testing on a road with many curves, the frequency of shifts in cornering was reduced by approximately 43% compared to vehicles without the system. Accordingly, the system also reduced the frequency of brake operation by approximately 11%, minimizing driving fatigue and brake wear.

When rapid acceleration was required to enter a highway, the driving mode automatically switched to Sport Mode at the merge, making it easier to join the traffic flow. After merging with traffic, the vehicle automatically returned to its original driving mode, enabling safe and efficient driving.

In addition, engine braking automatically occurred upon release of the accelerator pedal by determining speed bumps, downhill slopes and location of the speed limit change on the road. The changes in distance from the front car were detected by the front radar to adjust appropriate transmission gear automatically improved driving quality.

The ICT Connected Shift System will deliver both improved fuel efficiency and a stable driving experience in the era of autonomous vehicles by providing improved performance in response to real-time road and traffic conditions.

Hyundai Motor Company and Kia Motors Corporation

Some 40 major patents in South Korea and abroad for the system which both companies plan to offer on their future models.

Details of the all-new Kia Sorento’s platform and powertrain revealed!

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The Hyundai Motor Group (HMG) will collaborate with Canoo, a Los Angeles-based company creating electric vehicles (EVs) for subscription only, to jointly develop an EV platform based on Canoo’s proprietary skateboard design for future Hyundai and Kia models.

As part of the collaboration, Canoo will provide engineering services to help develop a fully scalable, all-electric platform to meet both Korean carmakers’ specifications. HMG expects the platform to help facilitate its commitment to delivering cost-competitive electrified vehicles — ranging from small-sized EVs to Purpose-Built Vehicles (PBV) — that can meet diverse customer needs.

Canoo’s skateboard platform houses the most critical components of the vehicle with a strong emphasis on functional integration, meaning all components fulfill as many functions as possible. This feat of engineering reduces the skateboard size, weight and total number of parts, which ultimately provides more interior cabin space and a more cost-effective EV offering. In addition, the skateboard is a self-contained unit that can support any cabin design.

Canoo Skateboard

HMG envisions an adaptable all-electric platform using Canoo’s scalable skateboard architecture to allow for a simplified and standardized development process for Hyundai and Kia electrified vehicles, which is expected to help reduce cost that can be passed along to consumers. It also aims to reduce complexity of its EV assembly line, allowing for rapid response to changing market demands and customer preferences.

With this collaboration, Hyundai Motor Group doubles down on its recent commitment to invest US$87 billion (about RM360.3 billion) over the next 5 years for future growth. As part of this drive, Hyundai plans to invest US$52 billion (RM215.4 billion) in future technologies through 2025, while Kia will invest US$25 billion (RM103.5 billion)  in electrification and future mobility technologies, aiming for eco-friendly vehicles to comprise 25% of its total sales by 2025.

“We were highly impressed by the speed and efficiency in which Canoo developed their innovative EV architecture, making them the perfect engineering partner for us as we transition to become a frontrunner in the future mobility industry,” said Albert Biermann, Head of Research & Development, Hyundai Motor Group.  “We will collaborate with Canoo engineers to develop a cost-effective Hyundai platform concept that is autonomous ready and suitable for mass adoption.”

Hyundai Kia concept EV
Future Hyundai and Kia electrified models will sit on the Canoo skateboard.

Canoo unveiled its first electric vehicle for subscription only in September 2019, just 19 months after the company’s founding in December 2017. The company’s proprietary skateboard architecture, which directly houses the batteries and electric drivetrain, has enabled Canoo to reimagine EV design in a way that challenges traditional automotive shape and functionality.

The company recently opened the waitlist for its first vehicle. This is a major milestone in its young history and the culmination of the efforts of 300+ experts working to deliver a proof of concept of Canoo’s backbone architectural systems. Canoo’s first vehicle, to be launched in 2021, will be designed for a world in which transportation is becoming increasingly electric, shared and autonomous.

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Canoo takes a different approach to EV engineering and marketing

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‘Passenger safety’ in a motor vehicle would be expected to relate to protection during accidents and perhaps the way interior features are designed so as not to cause injuries. Some examples would be the shape of switches and how they project from the dashboard and the type of materials used in areas where the head may hit during a violent accident.

Now, with the outbreak of the coronavirus, one carmaker is adding protection from harmful substances in the air inside the car to ‘passenger safety’ requirements. The carmaker is Geely Auto which has allocated 370 million RMB (about RM220 million) of funding to further the development of ‘healthy, intelligent vehicles’.

The initiative, announced recently not only adds a new dimension to Geely’s understanding of ‘passenger safety’ but also represents a new development direction for automobiles. Until now, addressing air quality in the cabin has been mainly through the use of filters in the ventilation system. Some cars also have a system using nanoe-technology with fine e-ion particles said to be able to deactivate airborne bacteria.

Geely MPV
Geely Auto’s global R&D and design networks will jointly  research new environmentally-sustainable materials with anti-bacterial and anti-viral properties which can be used within air-conditioner systems and on frequently touched surfaces such as buttons and handles.

Geely MPV

The development of a ‘healthier’ car differs from specialized medical vehicles in that Geely’s products are made for ordinary consumers. A car with comprehensive virus protection not only requires the capability to isolate harmful substances in the air, and it must be able to quickly and effectively purify cabin air for occupants.

Geely Auto’s global R&D and design networks based in Europe, USA and China will jointly move to develop and research new environmentally-sustainable materials with anti-bacterial and anti-viral properties which can be used within air-conditioner systems and on frequently touched surfaces such as buttons and handles.

Geely
While it carries out R&D to make cars healthier for passengers, Geely Auto is busy helping in various ways in China, including donating 50 of its latest MPV models to be used by frontline medical workers in the Wuhan region.

Geely Auto will make full use of its global R&D system and resources as well as cooperate with professional medical and scientific research institutions to set up special project teams to work on the new research.

Volvo Cars, also a member of the Zhejiang Geely Holding Group like Geely Auto, would be able to contribute a lot of its experience in this area as it would surely have for other safety aspects. For decades, it has paid attention to air quality inside its cars and developed features like the Clean Zone Interior Package and the Interior Air Quality System (IAQS) to maintain high air quality in the passenger compartment. The IAQS is a fully automatic air quality system that separates gases and particles to reduce the levels of odours and contaminants in the passenger compartment.

CleanZone in the Volvo XC60
For many years, Volvo Cars has offered air quality systems in its cars.

“Epidemic prevention is a job that requires the long-term effort of wider society. As the most common mode of transportation, consumers spend a considerable amount time in their cars, akin to a ‘second home’. Only by making healthier products can we meet consumer demand for better quality of life,” said An Conghui, President of Geely Holding Group and President & CEO of Geely Auto Group.

“Based on the automotive industry’s development direction built around electrified, connectivity, intelligence, and shared mobility, auto companies should commit to developing products that help protect the health of drivers and passengers. This will become one of Geely Auto key long-term development objectives,” he added.

Meanwhile, the Geely Holding Group joined hands with the Li Shufu Foundation to set up a special 200 million RMB (about RM118.4 million) fund in support of the new coronavirus prevention and control, with a focus on the mass purchasing of much-needed medical supplies for China in the short term.

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At first glance, it looks like a normal mirror, but it isn’t. It is a 3D-printed part, a technology that CUPRA has begun to implement in the development of the new Leon Competition racing car in collaboration with HP. Greater agility, efficiency and flexibility are the benefits of a system that is set to revolutionise car development.

2020 CUPRA Leon Competition

2020 CUPRA Leon Competition

“For the new CUPRA Leon Competition, we modelled the steering wheel’s centre control module, the bonnet air vents, door mirrors and the brake and water-cooling inlets,” explained Xavi Serra, the Head of technical development at CUPRA Racing. “These parts were produced using HP’s industrial-grade Jet Fusion 5200 3D printing solution and included in the demanding development tests put to the new racing model.”

More efficiency, greater speed
The main goal with this technology, which offers multiple benefits, is to have a lot of parts in a short time. Engineers can quickly test a wide variety of designs and furthermore, since vehicle development is now done in parallel, this technology enables quicker response to any changes in the design process.

“The work with CUPRA demonstrates the power of 3D printing and digital manufacturing – changing the way the world designs and manufactures,” said Virginia Palacios, Head of Systems Product Management, 3D Printing & Digital Manufacturing, HP Inc.

Wind-tested 3D parts
In TCR competition, the door mirror is a part which, according to the rules, must have the same shape as the production car. But the CUPRA engineers went one step further. “We wanted to add an additional function, which is to cool the driver. We therefore had to design an air intake in the maximum pressure zone to achieve this effect,” said Xavi.

The place where these materials are tested is the wind tunnel, where the 3D-printed parts are verified in exactly the same way as the rest. “The bigger the variety of parts we can test in this facility, the better. It enables us to make much faster progress,” he added.

2020 CUPRA Competition
The new Leon Competition with its 3D printed parts was tested to the limit on the Portimao track in Portugal.

2020 CUPRA Competition

As it is a racing car, the final phase of development can only be carried out in one place: the circuit. “The results were excellent, and some were even surprising, because we were looking to push the material to its limits,” the CUPRA engineer reported.

Making complex ideas a reality – fast
“3D printing is going to signal a turning point in the automotive industry by accelerating lead times and HP 3D technology is helping designers create parts that could not be produced with other technologies,” said Palacios, predicting that the technology will continue to be key in countless fields to make the most complex ideas a reality.

Watch: Onboard a race-spec Seat Cupra around Sepang Circuit!

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The origin of the camouflage comes from a military tactic used on ships during World War I, known as the ‘Dazzle Camouflage’. It consisted of painting ships with black and white geometric patterns to blur their shapes and confuse the enemy. “The story goes that the artists who designed these camouflage patterns drew inspiration from Cubist paintings,” explained Edgar Aneas, an expert in vehicle camouflage.

Since the 1980s, carmakers have also used the same principle to camouflage their prototypes, especially when the vehicles need to be driven on public roads. Initially, the camouflage was simple – just black film taped onto the vehicle to conceal special styling elements. Sometimes, extra panels might be added to alter the shape and mislead competitors as to the actual design of the new model.

2020 SEAT LEON camouflage

Over time, there was a need to make the camouflage more effective because computer software was becoming sophisticated and the design under the simple camouflage could be made more visible. This led to the patchy type of camouflage, not unlike that used for military clothing to reduce visibility of a soldier in the jungle or desert. Each brand uses its own camouflage and some even patent the design.

Inspired by Modernism and Barcelona
SEAT, the Spanish carmaker in the Volkswagen Group, has been using a unique camouflage for its all-new Leon model which will have its global premiere today. Official and unofficial pictures have shown the car wrapped in a broken tile vinyl inspired by Modernism and the city of Barcelona, the home of SEAT.

“The new SEAT Leon has a lot of personality and is very difficult to camouflage because it’s a sculpture on wheels that expresses SEAT’s emotional nature. The Leon was born here and because of the special relationship we have with Barcelona, we looked to the city for inspiration,” explained Jordi Font, head of SEAT’s Colour & Trim Development.

2020 SEAT LEON camouflage

Developing a new design – the challenge
“This is the first time we didn’t use conventional camouflage. It was a challenge, because the main goal is to distort the shapes of the car. We worked on several versions to blur the lines but send a clear message – that we are Barcelona, that we are Mediterranean, and that we are colourful. We want to give meaning to our sculpture,” he said.

Not only does the camouflage have an aesthetic function but it must also withstand extreme weather and driving conditions. The material used is a special cast vinyl that resists these conditions.

2020 SEAT LEON

“The cars are camouflaged so that they can be tested in different weather situations, sub-zero temperatures, long exposure to the elements, rain and desert heat. This vinyl is made with a very durable material and has special characteristics that prevent it from peeling off or deteriorating,” noted Aneas, the camouflage expert.

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2019 was a great year for Perodua as it surpassed all previous sales volumes with a total number of 240,341 vehicles delivered. The volume was 5.8% higher than the figure for 2018 which had been the prior record. The Malaysian Automotive Association (MAA) will be releasing the full year’s sales data tomorrow but by Perodua’s own estimates that the Total Industry Volume (TIV) for 2019 was 604,775 units, the Malaysian carmaker’s share would have been 40%, an increase of 2% from 2018.

Announcing the achievement, Perodua’s President & CEO, Dato’ Zainal Abidin Ahmad, said that all five models in its range – the Alza, Aruz, Bezza, Axia and Myvi – were segment leaders, with the Aruz notable for being Malaysia’s best-selling SUV with 30,115 units sold.

Perodua showroom

Export growth to get more attention
Continuing with its efforts on exports, the total volume sold in other countries last year was around 2,825 units, of which 1,800 units of the Myvi were purchased by Daihatsu and sold under its brand in Indonesia. To date, Perodua exports to 7 countries and Sri Lanka is its second largest overseas market where the Bezza was the bestselling sedan in the sub-1.0 litre segment.

Perodua in Mauritius
The latest Myvi introduced in Mauritius attracted a lot of attention.

“While our exports remained modest, we are making good progress in establishing our brand overseas and are looking at further improving the numbers this year,” said Dato’ Zainal. He said that the government has urged Perodua to export more of its vehicles. However, there needs to be proper market studies to ensure that the products are the right ones (at the right price levels) and the marketing done properly. Since 2018, Perodua has stepped up its attention to exports after having been busy on its transformation and cost-competitiveness activities earlier.

Healthy aftersales business continues
Given the position at the lowest end of the market with the most affordable vehicles, it would seem that Perodua customers are probably going to buy one or two and then move upwards to other brands as their personal financial circumstances improve. They would also be less likely to continue using the aftersales services available from Perodua, believing that it’s cheaper to go to the smaller independent workshops.

Perodua service centre

However, Perodua’s figures show that there is a fairly high rate of retention in the aftersales business. Since 2015, service intake has grown by some 20% and while this would also be in tandem with the rising annual sales volume, there are still many owners who continue to return to Perodua’s service centres even after many years. Last year, the service centres nationwide handled over 2.35 million vehicles.

“We have the largest vehicle sales and service network in Malaysia. Our intention is not so much to expand further but to enhance the facilities we already have by working closely with our dealers for the benefit of our valued customers,” said Dato’ Zainal. “In this respect, the company is working with its dealers, which currently make up 75% of its sales and service network, to invest and upgrade facilities.”

Supporting local suppliers
Both Perodua and Proton have had the obligation of helping to develop the domestic automotive industry, particularly the suppliers so that parts and systems can be obtained locally. Perodua has been diligent at this and has consistently helped its suppliers to grow and remain ‘healthy’. Even in difficult market conditions when sales have slowed down, Perodua has stepped in to assist in various ways so that the vendors do not have serious financial problems that impact their ability to deliver on time and maintain quality.

Transmission production
Transmission production at a factory in Negeri Sembilan.

Last year, Perodua purchased around RM5.4 billion worth of parts from suppliers and at least 90% of the parts in its vehicles are local content. The suppliers themselves not only enjoy steady business from Perodua but a few are also supplying to Daihatsu factories overseas, an indication that Malaysian suppliers can also produce world-class products that meet the stringent quality demands of Japanese manufacturers.

Dato’ Zainal said he welcomed the healthy competition from Proton as it will only serve to motivate and strengthen Perodua. Furthermore, as Proton’s volumes rise, the suppliers will also prosper and be able to achieve better economies of scale with bigger orders from both carmakers. This will also help them lower their prices, a win-win situation for manufacturer and supplier.

Looking ahead
While the government expects GDP growth to be 4.8% in 2020, Perodua is cautious about its sales performance at this time until some issues – like the new National Automotive Policy – are clearer. So for now, the forecast for numbers remains at 240,000 with a market share target of 40%. Production volume is planned to rise by 4.1% or 10,000 units in anticipation of increased exports as well as fulfilling the backlog of orders for certain models.

Perodua Kancil
Providing affordable cars for Malaysians has been one of Perodua’s constant objectives from the time it started.

With regard to price increases predicted in the near future (due to a revision of taxation for vehicles), Dato’ Zainal gave assurance that this won’t happen for Perodua products right away. “Our mission has always been to provide affordable vehicles and we would not just pass on any increases to customers. We will address the situation by ‘counter-measures’ to try to keep prices stable for as long as possible,” he explained.

On new models to be launched, he did not elaborate on specific models although the market is buzzing with rumours of a new compact SUV designated the D55L. This is said to be based on the Daihatsu Rocky launched in Japan last year and sits on the DNGA (Daihatsu New Generation Architecture) platform.

Daihatsu Rocky
New Daihatsu Rocky launched in Japan last year is expected to be the basis of a new compact SUV model. How close will the Perodua version look to this?

However, Dato’ Zainal did share with us the product direction of the company which takes into account industry trends which could give clues to what the future product will have. In the slide, there were four subjects – Connected, Autonomous, Shared Services and Electric. These hint at features like cruise control which is a form of autonomous operation and might even be advanced cruise control with adaptive speeds. As it is, the A.S.A. driver assistance system already has autonomous capability such as automatic braking so Perodua may be able to get more advanced systems at a cost which allows them to be offered without raising the price.

‘Electric’ doesn’t necessarily mean an electric powertrain and Dato’ Zainal mentioned ‘downsizing’, the industry trend of reducing engine sizes but maintaining or improving performance through using direct fuel injection or turbocharging. Well, as it is, Perodua engines started off with an 850 cc engine in the Kancil and its range has had the smallest engines all this while. So they can’t get any smaller but adding an electric motor as a hybrid powertrain or using an electric compressor could be under study now.

Much of the advanced technology development would be done either by Daihatsu, its technical partner, or the suppliers. But where design and upper body development are concerned, Perodua R&D aims to further increase its capabilities. Since the development of the first Myvi, when Perodua was a ‘junior partner’ in the project which also involved Daihatsu and Toyota, the Malaysian carmaker’s capabilities have grown steadily. It reached a point where Malaysians could develop the Bezza sedan which is a model that you will not find in the Daihatsu range. Bear in mind that even adding a boot to the Axia involved engineering competence and it was not just a ‘cut-and-weld’ exercise.

Dato’ Zainal revealed that Daihatsu Indonesia has also called on Perodua R&D to assist in product development for models sold in Indonesia. He said that it is hoped that Perodua can become the ASEAN hub for Daihatsu where R&D is concerned. While Daihatsu’s operations in Indonesia are larger, they are more focused on production whereas Perodua has made bigger investments on R&D facilities.

Perodua
Aerial view of the Perodua complex

“We have invested RM1.4 billion to date, which is higher than what Indonesia has spent on R&D, and we plan to continue investments in this area. Some of the money will go into extending the test track to 5 kms so that testing can be more comprehensive. Therefore, we hope that Daihatsu will consider making Perodua its R&D hub for ASEAN while Indonesia could be a production hub,” he said.

Perodua has a strong position as market leader, which it certainly deserves. But it is not going to take this dominance for granted and ‘relax’ and even though Proton, its closest rival, is intent on regaining its No.1 position, Perodua will stay focused with its own strategic plans for the coming years.

Perodua centralises production of parts for old models with RM7 million investment

PISTON.MY

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