20/05/2025

BIZ & FINANCE TUESDAY | MAY 20, 2025

READ OUR

HERE

14

Malaysian Paper

/thesun

KUALA LUMPUR: Malayan Flour Mills Bhd (MFM) has earmarked RM215 million for Malayan Flour Mills allocates RM215m for capex in FY25 o Company to expand poultry integration, flour trading operations in Malaysia and Vietnam Ű BY HAYATUN RAZAK sunbiz@thesundaily.com

Malaysia Autoshow 2025 attracts RM1.7b potential sales KUALA LUMPUR: The Malaysia Autoshow 2025 (MAS 2025) concluded the series’ most successful edition yet, attracting a record breaking 294,062 visitors with RM1.72 billion in potential sales, said the Malaysia Automotive Robotics and IoT Institute (MARii). In a statement yesterday, the government agency said the potential sales was generated from 3,194 vehicle bookings and 1,512 prospective trade-ins, along with an impressive 18,824 sales leads. “Held from May 9 to 15 at the Malaysia Agro Exposition Park Serdang, MAS 2025 featured over 200 exhibitors and more than 500 vehicles across 50,000 square metres. “With the theme “Shifting the Future,” this year’s show not only broke attendance records but also deepened public understanding of the rapidly evolving mobility ecosystem,” it said. MAS 2025 drew a record 294,062 visitors, a 31% increase compared to 2024, surpassing all previous attendance records on its final day, largely driven by the extension of the event by two additional days. The event featured 48 new vehicle launches and previews, along with 10,916 test drives on the outdoor track. “Electrified vehicles (EV), plug-in hybrid electric vehicles and hybrid electric vehicles made up 51% of all models displayed, highlighting the shift to greener mobility,” it said. In a further stride towards next-generation mobility, MARii noted that MAS 2025 also saw the official launch of the Voluntary NxGV Labelling Scheme, aimed at certifying vehicles that meet Malaysia’s high standards for sustainability, safety and innovation. It added that MAS 2025 marked a major regional milestone with the Asean Unity Drive 2025, a groundbreaking 10,432km EV convoy across nine Asean nations, officially recognised by Asean Records. MARii said the Malaysia Autoshow will return in 2027, potentially in a new setting to offer an even better experience for visitors and industry players. “The event will continue to evolve as the premier regional platform for mobility, innovation, and clean transport technologies,” it added. – Bernama PwC Malaysia, MARii in tie-up on auto industry knowledge, advancement PETALING JAYA: PwC Malaysia and the Malaysia Automotive Robotics & IoT Institute (MARii) yesterday signed a memorandum of understanding (MoU) to advance the automotive sector in Malaysia and the broader Asean region. The MoU signed at the PwC Automotive Asean Conference formalises a partnership that facilitates knowledge exchange and industry advancement between PwC Malaysia and MARii. PwC Malaysia executive chair Nurul A’in Abdul Latif said:“We are excited to partner with MARii to drive industry transformation and provide advisory support, through our expertise in automotive deals ranging from strategic planning to execution and post-deal integration.” MARii CEO Azrul Reza Aziz said Malaysia’s long-term industrial strength will depend not only on scale alone, but on their ability to shape and sustain ecosystems that are cohesive and forward-looking. As mobility technologies evolve, he added the country’s priority is to ensure innovation translates into real industrial capability and by partnering with PwC Malaysia, they are adding deeper data capabilities and global perspectives to their work, so that national policies can be more responsive to real market trends and investor needs.

capital expenditure (capex) in the financial year ending Dec 31, 2025 (FY25) to expand its poultry integration and flour trading operations in Malaysia and Vietnam. The capex will be financed through a combination of internally generated funds and borrowings. Of the total, RM160 million will be allocated to the group’s poultry integration segment. This includes RM100 million for the expansion and upgrading of farming infrastructure – such as construction of parent farms

that are more efficient and better suited to extreme weather conditions. “With the climate-con trolled houses we have finalised in terms of design and costing, we believe this will result in better efficiency, particularly under harsher climate conditions,” Teh said. He highlighted the com pany’s logistics advantage through having its own jetty, which enables bulk importation of poultry feed. “This allows us to add value

meet the growing demand for flour and flour-related products in both Malaysia and Vietnam. “We are encouraged by the strong performance in our flour business in these key markets, and we believe that this growth trajectory is sustainable. The investments in automation and capacity expansion are timely, positioning us to capture future demand. “On the flour mills, as you can see, our operations in Malaysia and Vietnam are performing very positively. As we grow capacity to meet market demand, we also aim to be cost-efficient. I believe we are on the right track.” Teh added that MFM’s flour plant in northern Vietnam is operating near full capacity which prompted the board to approve a new 500-tonne-per-day mill to support future demand. “Since it’s maxed out, and the Vietnam economy – pending everything moves well – is still projecting an 8% growth rate, we see prospects for these two investments.” MFM’s Vietnam flour operations posted over RM2 billion in revenue in 2024, contributing RM250 million in profit. “We are encouraged by the strong performance in our flour business in these key markets, and we believe that this growth trajectory is sustainable. The investments in automation and capacity expansion are timely, positioning us to capture future demand,” Teh said. He reaffirmed MFM’s long-term optimism for both its flour and poultry businesses, citing continued investments in infrastructure and technology as key to strengthening the group’s competitive edge. “Our commitment to automation, capacity expansion, and infrastructure upgrades reflects our goal of becoming a leading staple foods supplier in the countries where we operate, while driving sustainable growth for the group,” he added. “Additive technology allows us to complete repairs up to 60% faster and with a signi ficantly smaller footprint, enabling quicker aircraft turnaround for our customers,” Nakul said. To support increasing demand, he said the company continues to upskill its workforce in emerging aviation technologies such as automation, robotics, and additive manu facturing. On the sustainability front, Nakul said that all GE Aerospace and CFM engines are certified to operate on approved sustainable aviation fuel (SAF) blends, with 10 engine models tested with 100% SAF to date. “GE Aerospace also works closely with fuel producers, regulators and policymakers to accelerate SAF adoption and affordability,” he added. GE Aerospace is a global provider of jet and turboprop engines as well as integrated systems for commercial, military, business and general aviation aircraft.

and hatcheries – in collaboration with its joint venture partner. The remaining RM60 million will be used to upgrade existing farms to enhance productivity and supply chain efficiency. Executive deputy chairman and managing director Teh Wee Chye ( pic ) said MFM is expanding its poultry business with government support because Malaysia still relies heavily on imported chicken and does not produce enough domestically to meet demand. “For poultry integration, we are also working closely with the government. We see further upside in growth because poultry remains the most affordable source of protein,” he said at a press conference after its AGM yesterday. Teh said MFM is partnering with Tyson Foods to modernise its farming operations, as around 60–70% of chicken coops in Malaysia still operate under open-house systems, which are increasingly vulnerable to climate change. “Open houses tend to experience higher mortality rates, whereas closed, climate-controlled houses will definitely perform better.” MFM has completed the design and cost planning for the climate-controlled houses, which feature temperature control systems

to the business, especially since we have our own jetty, enabling us to bring in combo shipments of corn and soya meal, and helping to reduce our cash conversion cycle,” he said. MFM’s investment also extends to its flour and grain trading segment, which will receive RM55 million to expand capacity and enhance operational efficiency in key markets. This includes RM20 million for automation upgrades at MFM’s flour mills in Lumut and Pasir Gudang to reduce manual labour, boost efficiency and ensure consistent product quality. In Vietnam, MFM plans to scale up operations with a total investment of RM34 million – comprising RM21 million for capacity expansion and operational up grades at its northern Vietnam plant, and RM13 million for the ongoing construction of flour silos and blending facilities in the southern region. The RM55 million investment is jointly funded by MFM and its partners: RM20.4 million from MFM, RM20.9 million from Vima, RM13.1 million from Mekong and RM600,000 from DSM. Teh said these investments are critical to strengthening production capacity and operational efficiency to enable them to “As demand continues to rise, we are committed to investing in infrastructure and talent development,” he said. He also noted that the company invested US$45 million in the Asia-Pacific region in 2023, reflecting its commitment to streng thening its repair technologies and reducing turnaround times. “This regional investment forms part of GE Aerospace’s US$250 million global MRO and component repair investment in 2024, contributing to a broader five-year US$1 billion commitment,” he pointed out. Nakul further said that these funds were being used to expand facilities, enhance safety measures and acquire new test cells, tooling as well as equipment across facilities in Singapore, Malaysia, Taiwan and South Korea. Within Southeast Asia, GE Aerospace’s footprint includes its Singapore facility which accounts for over 60% of the company’s global

GE Aerospace charts course for expansion in Asia-Pacific BEIJING: GE Aerospace plans to expand its operations in Malaysia and across the Asia Pacific region as it strengthens its maintenance, repair, and overhaul (MRO) capabilities to meet rising global aviation demand. US$80 million (RM344 million) investment to upgrade the Subang facility, which enabled the introduction of MRO services for the CFM LEAP engine. It is the first such capability for GE Aerospace outside the United States. repair volumes and is a pioneer in using additive manufacturing technology to repair jet engine components.

GE Aerospace vice-president of sales for Asia-Pacific, Nakul Gupta, said Malaysia remains a strategic hub for the company, with its Subang facility playing a central role in both regional and global operations. “Established in 1997 as a Centre of Excellence for CFM56 engines, our Malaysia site has evolved into a critical MRO hub supporting over 50 airlines worldwide. “It now serves as the Asia Centre of Excellence for LEAP MRO services and employs over 700 skilled professionals,” he told Bernama recently, adding that the provider of jet and turboprop engines is looking to grow its capacity further. The expansion is supported by the company’s proprietary “Flight Deck” operating model and is expected to generate more high skilled jobs in Malaysia. In 2018, GE Aerospace made a significant