Zakirin
KUALA LUMPUR, 19 August 2026 — BYD Malaysia Sdn Bhd and Bursa Malaysia-listed bus manufacturer Bus Cap Berhad have signed a memorandum of understanding (MoU) to collaborate on the local assembly and manufacturing of electric buses in Malaysia. Signed in Shenzhen, China, the agreement outlines the proposed development of a localized commercial electric vehicle manufacturing facility in Perak.
Scope of the Agreement
The preliminary agreement establishes a framework for cooperation between the two companies across several commercial and operational areas:
- Manufacturing and Assembly: Assessing the feasibility of setting up localized Completely Knocked Down (CKD) assembly operations for electric city buses and coaches in Perak.
- Distribution and Support: Collaborating on vehicle sales, marketing channels, local supply chain integration, and aftersales maintenance networks.
- Future Expansion: Evaluating the potential expansion into broader new energy commercial vehicle (NECV) segments over time—including electric trucks, electric vans/minibuses, electric forklifts, and rail-transit solutions—subject to market demand and definitive contracts.
Key Operational Context
| Parameter | Details |
| Partner Entities | BYD Malaysia Sdn Bhd & Bus Cap Berhad |
| Proposed Facility Location | Perak, Malaysia |
| Primary Vehicle Scope | Electric buses (city buses and intercity coaches) |
| Secondary Potential Scope | Electric commercial trucks, vans, forklifts, and rail-transit systems |
| Manufacturing Base | Sin Hock Leong Coach Works (SHL Coach), established in 1968 |
| Regulatory Status | Subject to technical feasibility studies, commercial terms, and definitive agreements |
Industrial and Policy Context
The proposed collaboration utilizes the manufacturing infrastructure of Bus Cap’s operating subsidiary, Sin Hock Leong Coach Works Sdn Bhd (SHL Coach), which has operated bus body manufacturing facilities in Ipoh, Perak since 1968.
The initiative aligns with domestic transport decarbonization policies under the National Energy Transition Roadmap (NETR), alongside public transit fleet transitions—including Prasarana Malaysia Berhad’s target to transition toward a fully electrified bus fleet by 2037.
Executive Commentary
- Bernard Ng Chong Yan, Executive Director of Bus Cap Berhad, stated that the partnership aims to evaluate combining BYD’s battery and electric powertrain technologies with Bus Cap’s local body-building and chassis integration capabilities to transition toward zero-emission commercial vehicles.
- Representatives of BYD Malaysia noted that establishing local assembly operations in Perak serves to support commercial vehicle electrification in Malaysia while assessing broader regional deployment opportunities across Southeast Asia.
