PERODUA is increasing its capital expenditure (CAPEX) to RM1.6 billion this year.

The amount is more than double of that in 2024 which was RM797.5 million. 

The national automaker says they are reinvesting in their capabilities with the biggest chunk of 2025's CAPEX investment reserved for plant improvements, increase stamping capacity, new model development and tooling.

Perodua president and chief executive officer Datuk Sri Zainal Abidin Ahmad said these investments will consolidate manufacturing capacity (inclusive of their vendors), level up service quality and productivity, and solidify R&D product planning and new model development capabilities.

He said the year 2025 will be Perodua’s springboard for its future with emphasis on self-reliance in terms of production capabilities, especially in developing future products. 

Zainal noted that Perodua went beyond its manufacturing capabilities with 368,100 vehicles made in 2024, which is more than the 320,000-capacity for both its plants. 

“The 368,100-unit record was achieved by minimising downtime, keeping to the maintenance schedule, dynamic planning and coordination between our vendors and dealers and being agile in overcoming challenges,” Zainal said.  

Currently, the company is accelerating its people’s capabilities to achieve greater self-reliance, though this will however result in lower production and sales this year.

 
“For 2025, we foresee our production numbers declining 4.9% to 350,000 units from 368,100 units made in 2024. This reduction would see registration slowing by 3.7% to 345,000 units from 358,102 units last year. 

“Despite our planned slowdown in production and sales, demand for our vehicles remains healthy with current outstanding booking at 68,000 units, of which 28,000 bookings have letters of undertaking issued without stock,” Zainal reassured. 

On Perodua’s after sales business, Zainal said they are expected to further improve their intake volume this year to 3.7 million vehicles, up 7.6% from the 3.4 million intakes recorded in 2024. 

He added that Perodua will also continue to prioritise delivery while keeping to the compact car company’s quality and safety standards. 

Furthermore, Perodua will continue to support the country’s automotive ecosystem with an estimated local component purchase of RM10.8 billion from Malaysian vendors. 

“In addition to auto component purchase, we are working closely with the government to further enhance our vendors’ and dealers’ capabilities so that they can remain competitive in this industry. 

“This include further exploring Industry 4.0’s potential in maximising efficiencies within their operations, conduct training and provide other assistance for sustainable growth.

“The year 2025 will be an exciting time for us as we prepare ourselves and our partners for the changes that are coming. We believe when these changes are completed, we would be able to further strengthen our current position in this country and this region,” Zainal concluded.