It was almost like being chastised by a teacher, but in a good way, when Angel Legarda (above, right), the vice-president of plant production for Mercedes-Benz Malaysia (MBM), mentioned to the assembled media that we were NOT at an ‘assembly plant’, but rather a ‘production plant’, during the press conference of its recent 10th Anniversary. It certainly brought home the message very clearly that’s for sure.
Indeed the plant in Pekan where Mercedes-Benz produces the C-, E- and S-Class is a lot more than just a place where Merc parts get slapped together out of a crate. Alongside the aforementioned cars, the plant also produces Mercedes-Benz and Mitsubishi FUSO commercial vehicles. “As we mark a decade of progress, success and quality at our local production facility, we are also forward looking, and even more motivated by recent developments in Malaysia’s automotive sector” said MBM President and CEO, Roland Folger (above, second from left).
“In line with our strategy, Mercedes-Benz Malaysia continues to invest not just in Pekan, but also in our business as a whole. It is certainly a reflection of the encouraging demand we continue to receive from the Malaysian market. Our priority is to our customers and we remain committed to delivering vehicles of the best quality and providing world-class service,” he added.
The invited media recently got to experience first-hand the goings-on behind the walls of this 339,000sq.m plant that sits on 895,000sq.m of land, over in Pekan, Pahang, when we were invited by MBM to drive up with them to celebrate its 10th Anniversary there.
One of six Daimler Mercedes-Benz passenger cars CKD production plants in the world, the facility in Pekan is equipped with the latest technology and produces the aforementioned three passenger car models, and recently the first-of-its-kind luxury vehicle, the S400L Hybrid, which by the way, is sold-out till the end of 2015! So, following overwhelming response to the S400L Hybrid, MBM is working closely with its German counterparts to increase supply of the S400L. Meanwhile, the Pekan production plant continues to meet existing demands having produced 264 units of the S400L Hybrid as at July this year.
Folger added, “Malaysia is an important market for Mercedes-Benz and Daimler, and we are always looking for opportunities to enhance our presence in the country. The success of the S400L Hybrid is a prime example of the potential this country offers and this certainly helps us serve our customers better. We look forward to working closely with the government and authorities to enhance the automotive sector.”
Aside from the addition of subassemblies and high-voltage (HV) facilities to the S-class line, the Mercedes-Benz Malaysia plant has also made changes to the commercial vehicle line by relocating body shop and frame assembly. In total, Mercedes-Benz Malaysia invested RM18 million to accommodate these latest developments.
Mercedes-Benz Malaysia, Vice President Production Plant, Angel Legarda, said the plant has remained on-track and continues to produce quality vehicles that represent the best of the Mercedes-Benz brand. “The 2013 to 2014 period has certainly been exciting for the Pekan plant, especially as we achieve our 10th anniversary. Since the plant’s full year of operations in 2005, we have steadily increased our yearly output with a steady growth rate in our production. To date, we have produced over 34,000 passenger cars and over 18,700 commercial vehicles, which include both Mercedes-Benz and FUSO brands.”
In 2013 alone, the Mercedes-Benz Malaysia plant produced a total of 4,083 passenger car units and 2,892 commercial vehicle units. Recording a growth rate of 11% for passenger cars and 14% for commercial vehicles, Mercedes-Benz Malaysia is looking towards maintaining this trend. Half way through 2014, Mercedes-Benz Malaysia has credited the S-class and C-class models for its phenomenal results, recording a 24% increase to 4,536 units this year.
The guest of honour at the 10th anniversary of Mercedes Benz Malaysia’s Pekan production plant was Deputy Minister of International Trade and Industry, YB. Dato’ Lee Chee Leong. Also in attendance werethe CEO of the East Coast Economic Region (ECER), Dato’ Jebasingam Issace John, Ybhg Dato’ Radzaif Mohamed, Senior Group Director of Automotive Distribution & Manufacturing, DRB-Hicom Berhad and Encik Shamsuddin Bin Mohamed Yusof, CEO Hicom Automotive Manufacturers Malaysia Sdn Bhd.
As further proof of its commitment to local-production of Mercedes-Benz vehicles in Malaysia, MBM also announced the ground-breaking of a new 175,000sq.ft customized new warehouse located 3km from the Pekan plant. It will be used to house all the kits for assembling the various Merc passenger cars as well as Merc and Mitsubishi FUSO commercial vehicles.
FAST FACTS IN NUMBERS PER CAR
– approximately 3,800 spot-welds
– 46 spot-weld guns used
– more than 50 clinching points
– 190 rivets
– 450 studs welded to the body
– 1,200 operators trained in basic hybrid tech for S400h
– 10 specialists trained for High Voltage (SfHV)
PEKAN PLANT FAST FACTS
– 10-years in operation
– 895,000 square meters total land area
– 339,000 square meters built-up area
– 1,079 locals employed
– 2 foreign supervisors
– 3 assembly lines
– 34,273 passenger vehicles produced thus far
– 18,746 commercial vehicles produced thus far
– RM250 million invested by MBM for Pekan Plant since 2004
