DALIAN: Sabah stands poised to emerge as a commercial vehicle assembly hub for Borneo, thanks to a strategic partnership between Chinese giant Dongfeng and Kim Teck Cheong Consolidated Berhad (KTC). The deal promises around 1,000 jobs and a boost to the state’s industrial and logistics sectors.
Plans include building an assembly plant in Sabah to serve markets in Sabah, Sarawak, and Indonesia.
The proposal arose during a video conference between Dongfeng executives in Wuhan and a Sabah delegation in Dalian, led by Deputy Chief Minister and Minister of Industrial Development, Entrepreneurship, and Transportation, Datuk Ewon Benedick.
Dongfeng’s senior management sought Sabah government backing for the joint venture with KTC.
Ewon welcomed the investment, calling it a perfect fit for the state’s industrial and trade ambitions. He suggested Kota Belud Industrial Park as the ideal site.
“We welcome such investments, which align with Sabah’s drive to bolster industry, logistics, and trade,” he said in a video message.
“The plant will generate local jobs, enable technology transfer, skills training, and automotive talent development.”
Sabah attendees included Chief Coordinating Officer of the Sabah Maju Jaya (SMJ) Secretariat, Datuk Rosmadi Sulai; Permanent Secretary of the Ministry, Datuk Thomas Logijin; and Sabah Ports Authority Chairman, Datuk Donald Peter Mojuntin.
Dongfeng was represented by General Manager Yu Tao, Assistant General Manager Zhang Yifan, Asia-Pacific RHD Director Cheng Xiao, and Malaysia Sales Director Zhou Yexiong.
KTC Managing Director Dexter Lau noted the firm has secured RM30 million in initial Dongfeng purchases. Dongfeng aims for a top-three spot in East Malaysia’s commercial vehicle market within two years.
“Sabah enters a new industrial era, assembling light trucks and heavy machinery to fuel business growth and logistics,” Lau said.
“This could make Sabah home to Borneo’s first such plant.”
The venture is projected to create 1,000 jobs in operations, technical roles, and assembly. Dongfeng pledged technology transfer and training for locals.
Lau highlighted synergies with Sabah’s blue economy and manufacturing goals, using port infrastructure for ASEAN exports.
Dongfeng chose KTC for its robust capabilities and logistics network. With government and KTC support, it eyes regional leadership and a top-three East Malaysia ranking within three years.-pr/BNN
