BUSINESS

Leapmotor Taps Stellantis’ Malaysia Plant to Make EVs for Southeast Asia

Published: Apr. 21, 2025 7:27 p.m. GMT+8

00:00

00:00/00:00

Listen to this article 1x

Stellantis and Leapmotor announced on April 18 that the Chinese startup will produce EVs in Malaysia. Photo: Stellantis Group

Chinese electric-vehicle (EV) maker Zhejiang Leapmotor Technology Co. Ltd. has announced plans to start making cars for the Southeast Asian market in Malaysia through a deal with its European partner Stellantis NV.

The two companies aim to begin producing Leapmotor’s C10 SUV at a Stellantis plant in Gurun in the state of Kedah by the end of 2025, with an initial investment of 5 million euros ($5.35 million), according to a joint statement released on Friday.

You've accessed an article available only to subscribers

Subscribe today for just $.99.

VIEW OPTIONS

Unlock exclusive discounts with a Caixin group subscription — ideal for teams and organizations.

Subscribe to both Caixin Global and The Wall Street Journal — for the price of one.

Share this article

Open WeChat and scan the QR code

DIGEST HUB

Digest Hub

Back

Explore the story in 30 seconds

Zhejiang Leapmotor and Stellantis plan to produce Leapmotor’s C10 SUV in Malaysia by end-2025, investing €5 million and targeting the ASEAN market from Stellantis’ Gurun plant.
Challenges for EV success in Malaysia include limited charging infrastructure and heavy fossil fuel dependence; Chinese automakers like Chery and Geely are also expanding local operations.
Stellantis bought 21% of Leapmotor for $1.6 billion and now controls 51% of their joint venture; Stellantis’ Asia-Pacific sales fell 60.4% in 2024.

AI generated, for reference only

Who’s Who

Zhejiang Leapmotor Technology Co. Ltd.: Zhejiang Leapmotor Technology Co. Ltd. is a Chinese electric-vehicle (EV) maker founded in 2015 and listed in Hong Kong in 2022. In October 2023, it formed a partnership with Stellantis, which bought a 21% stake for $1.6 billion. Together, they established Leapmotor International, focused on overseas production and sales of Leapmotor EVs, with Stellantis holding a 51% stake in the joint venture.

Stellantis NV: Stellantis NV is a European auto giant and maker of brands such as Chrysler, Fiat, Jeep, and Peugeot. In October 2023, Stellantis bought a 21% stake in Chinese EV maker Leapmotor for $1.6 billion and formed a joint venture, Leapmotor International, to manufacture and sell Leapmotor’s electric vehicles overseas. Stellantis aims to boost its presence and sales in Asia, where its market share has been small.

Chery Automobile Co. Ltd.: In June 2024, Chery Automobile Co. Ltd.’s first locally-assembled Jaecoo J7, a premium off-road SUV, rolled off the production line at the company’s factory in Shah Alam, Malaysia, marking the Chinese automaker’s local manufacturing expansion.

Zhejiang Geely Holding Group Co. Ltd.: Zhejiang Geely Holding Group Co. Ltd. is collaborating with the major shareholder of Malaysian carmaker Proton Holdings Bhd to develop an auto hub in Tanjung Malim, Malaysia. Geely’s goal is to produce 500,000 cars annually at this hub by 2035, with half of that output intended for export.

Proton Holdings Bhd: Proton Holdings Bhd is a Malaysian carmaker. Zhejiang Geely Holding Group Co. Ltd. is working with Proton’s major shareholder to develop an auto hub in Tanjung Malim, targeting the production of 500,000 cars per year by 2035, with 50% intended for export.

Leapmotor International: Leapmotor International is a joint venture between Chinese EV maker Leapmotor and Stellantis, established after Stellantis bought a 21% stake in Leapmotor in October 2023. Stellantis owns 51% of the JV, which is exclusively responsible for manufacturing and selling Leapmotor’s electric cars overseas. In July 2024, Leapmotor International began exporting vehicles to Europe and has since expanded its sales network to the Middle East, Africa, South America, and Asia-Pacific.

AI generated, for reference only