KUALA LUMPUR: The Ministry of Investment, Trade and Industry downplays a report that US electric car maker Tesla has pulled the plug on plans to build a factory in either Thailand, Indonesia or Malaysia.

A ministry source said the report by a Thai daily was not an official statement from Tesla and lacked confirmation from the company itself.

"This report is not an official statement from Tesla, but quotes an unnamed source. Confirmation on the report would have to come from Tesla," the source said.

Yesterday, Thai daily The Nation reported that Tesla had scrapped plans to set up an electric vehicle (EV) factory in the region, with Thailand, Malaysia and Indonesia as potential locations.

"Tesla is currently only discussing charging stations, with the factory plans suspended worldwide. They are not proceeding in Malaysia, Indonesia, or anywhere else except for China, America and Germany, the government source told The Nation.

The daily added that the decision was part of Tesla's withdrawal of investment across Asia and beyond.

Last July, Prime Minister Datuk Seri Anwar Ibrahim announced large-scale investments from Tesla and one of Elon Musk's other hi-tech ventures, SpaceX, in Malaysia.

Anwar said this would create tens of thousands of high-value jobs.

Tesla would later set up its Malaysian headquarters as well as service centres in Selangor.

Industry observers said there was no previous mention of plans to establish an EV factory in Malaysia, although Indonesian and Thai officials had gone public in trying to woo Tesla to set up one in their country.

"For Thailand, a big disappointment. But for Malaysia, it makes no difference unless someone was so sure Tesla would put its plant here," an observer said.

https://www.nst.com.my/business/corporate/2024/08/1088331/ministry-downplays-report-tesla-shelved-plans-southeast-asian