Neta Malaysia will repurchase your Neta V or Neta X if spare parts are no longer available. This bold promise is one of several interesting points inside the latest statement from the exclusive distributor of Neta in Malaysia, Intro Synergy.
In the statement, Intro Synergy has announced its intention to restructure its operation, in line with the restructuring process of Neta’s parent company, Hozon Auto. However, no timeline was mentioned by the company which is a joint venture between Go Auto and Careplus Group.
Despite the restructuring process, Intro Synergy said that it has “the expertise” to guarantee a sufficient amount of spare parts during the lifecycle of Neta vehicles. The company also insists that all of their service centres are operational as usual and will honour all the warranties that have been provided to customers.
Neta Malaysia is switching to the direct-to-consumer model
Meanwhile, the statement also revealed Intro Synergy’s plan to move away from the existing dealership business model. Instead, the company is looking to implement the direct-to-consumer approach to help reduce its costs and become more competitive.
The statement did not provide much details regarding the shift aside from that it will likely be skewed towards digital sales channels. Intro Synergy also pointed out this direct-to-consumer approach has been adopted by other “leading EV brands” which we believe is a reference to Tesla.
For the benefit of those who are not aware of Tesla’s business model, the company sold its EVs directly to customers even in Malaysia. On the other hand, Neta dealerships in Malaysia are run by several companies such as NexV Synergy (Seremban), KCM Group (Ampang), Jac Auto EV (Ipoh), Seni Akasia (Sabah), and many more, depending on their locations.
Tesla also operates its own service centre, although the American company does partner with other parties for physical repairs through the Tesla Approved Body Shop programme.
Back to Neta and Intro Synergy, the statement did not specifically address what is going to happen to existing Neta dealerships in Malaysia. That being said, NexV Synergy, which is a fully-owned subsidiary of CarePlus Group, is already working to expand its offering with EVs from other brands.
This was noted in a recent circular to CarePlus Group’s shareholders that was filed with Bursa Malaysia earlier this month. However, the company has yet to sign any dealership deals with other EV brands so far.
What is going to happen to Neta CKD plant in Malaysia?
From what we gather so far, the restructuring of Neta and Intro Synergy will not affect the CKD plant at the Chembong Industrial Area in Rembau, Negeri Sembilan. To be clear though, the facility does not belong to Neta anyway – the brand is just one of its “clients”.
Designed to support both passenger and commercial New Energy Vehicles, the plant belongs to NexV Manufacturing which is yet another joint venture between Go Auto and Careplus Group. Unlike Intro Synergy, whereby it was a minor shareholder, Careplus Group holds the majority share in this particular venture.
The company is currently working to raise funds of up to RM55.4 million in order to complete the Phase 1 construction of the new facility. The plant’s assembly line and pre-delivery inspection buildings are being built under this phase as well as a dedicated test track.
Originally said to be operational by Q1 2025, the plant is currently 52% done, and the construction is expected to be completed only by the end of 2025. Once operational, the facility will be able to assemble up to 30,000 passenger vehicles, 10,000 vans/pickups, and 1,000 buses/trucks.
In the same circular to the shareholders, Careplus Group noted that Dongfeng has appointed NexV Manufacturing as a contract assembler in January 2025. At the same time, the company is also actively looking to collaborate with other brands.
