Bermaz Auto has called time on its plan to distribute Deepal electric vehicles in Malaysia, less than two years after securing the brand.
In a Bursa Malaysia filing, the company said its 85%-owned subsidiary Bermaz Changan Sdn Bhd had entered into a termination agreement with Mobitech Co Ltd of China. Mobitech is a wholly owned subsidiary of Chongqing Changan Automobile Co Ltd.
The termination takes effect immediately and covers the Deepal distributorship, including vehicle distribution, spare parts and after-sales services in Malaysia.
Bermaz Auto said Bermaz Changan had been in talks with Changan Automobile over the models to be introduced and their expected retail pricing. It cited Malaysia’s EV price war as part of the backdrop.
After negotiations, the parties decided not to proceed with the Deepal distributorship.
Bermaz Changan was appointed as the Malaysian distributor for Deepal EVs in November 2024. At the time, Bermaz Auto said the planned models for Malaysia were the Deepal S05 compact SUV and S07 mid-size SUV.
The company said Bermaz Changan had not started business operations since its incorporation in November 2024.
Bermaz Auto also said the termination is not expected to have any material financial or operational impact on the group for the current financial year.
