Thousands
of new jobs are expected to be created as Geely is targeting to produce
500,000 cars for the South-east Asian market alone by 2020. — Reuters
picTANJUNG MALIM, July 23 — Tanjung Malim, home of national car maker Proton, is set to become Malaysia’s next boom town, thanks to the recent acquisition of virtually half of its equity by China’s Zhejiang Geely Holdings Group.
Thousands of new jobs are expected to be created with the economic spillover effects transforming the quiet Perak town
and beyond as Geely, backed by its world class research and development
and design centres, is targeting to produce 500,000 cars for the
South-east Asian market alone by 2020.
Malaysia will by then become the right-hand drive production hub for
Geely in the Asean region, thus allowing Tanjung Malim to run its
maximum capacity, including the assembly of Volvo cars.
Yet another bonus for Proton following its tie-up with Geely that was
sealed recently is getting the exclusive rights to Geely’s products and
latest technology and access to markets beyond South-east Asia and
China, the world’s largest car market with annual sales at a staggering
28 million.
Some 2.1 million cars were sold in Asean countries in 2016, up 85 per cent from 2006.
One man grinning from ear to ear about Tanjung Malim’s prospects in the
near future is Mohd Syukri Azaari, the President of the District
Council, who said when Proton set up its plant here in 2000, it led to
the creation of Proton City and the new 320-hectare campus of Universiti
Perguruan Sultan Idris, the university which produces graduate
teachers.
Proton is the biggest employer here with over 2,000 jobs, half of them
locals and with tremendous impact on Tanjung Malim’s economy.
“This led to the Slim River sub-district to be upgraded to the new
Muallim district last year and new municipalities like Bandar Behrang
2020 and Kota Malim Prima,” he told Bernama.
Mohd Syukri was most pleased with the revenue collection of his
district council before and in the post-Proton era. In 1999, its
collection was a mere RM4 million but so far this alone, it has gone up
to RM15 million.
“When we at the council heard about Proton going into strategic
partnership with Geely of China, we can already visualise that an
economic tsunami will happen in Tanjung Malim,” he added.
On another front, the number of landed property here has doubled to 20,000 after Proton’s existence here.
He expected the Tanjung Malim District Council to earn a revenue of
RM20 million in the near future with the population rising to 100,000
once all of Proton’s expansion plans got under way, compared with 70,000
now and 40,000 prior the emergence of the auto industry here.
“It is even possible to upgrade the District Council status to that of a
Municipal Council and this will facilitate the government’s plan to
create the proposed 1Malaysia Youth City here,” he said. — Bernama
Calvin comments:
Geely being the Star Rising Performing Stock on Hong Kong Bourse saw a
275% rise in its share price to be No. 1 due to its immense profits
garnered after its acquisition of Volvo.
So Geely is in Multi year expansion - first JV with Proton in Malaysia.
Next on the agenda will be the Transformation of Tg Malim as an export
Hub for Cars to ASEAN 10 Nations & more than 100 countries
worldwide.
The Influx of Massive Investments & Flood of over 60,000 Proton
Staff alone will cause Multi Year Boom emanating from Tg Malim to all
its surrounding territories.
Among those that will benefit directly are 250 Proton Vendors that
produce all kinds os parts for Proton - ranging from Car Plastic
Dashbord, Bumpers & Spoilers, Headlamps, Taillamps, Reverse Sensors,
Remote Control Alarms, Selt Belts, ABS Brakes, Brake pads, batteries,
wipers, windscreen, side mirror, back mirror, tyres, rims, radio, fabric
seats, leather seats, floor mats, and a myriad of other parts.
Many factories are expected to relocate here.
And Companies with Landbanks in or near Tg Malim will also benefit greatly for these reasons
1) More demand for shops, industrial supporting factories, houses,
recreations, places of entertainment, restaurants, petrol pump stations,
hair saloons & many other businesses that cater to human needs.
2) This will cause a rise of Land Prices & Property prices as a natural consequent.
You don't need rocket science to understand this corelation.
And these are the Stocks to pay attention to
1) DRB - It owns 4,000 Acres in Proton City
2) MAJU PERAK - It owns adjoining lands to Proton City
3) L&G - it owns 2,494 acres of Freehold Lands in Kerling. The Book Value of these Lands are only 44.3 sen psf now.
And this map shows how near it is to Tg Malim
15 min (14.2 km) via Route 1
L&G has also just acquired a whole Township in Serendah at the price of 81 sen psf. It has a total of 167 acres
See
40 min (44.5 km) via Route 1
4) TALAMT - it has Landbanks in Bkt Beruntung & Bkt Sentosa
See
27 min (34.9 km) via Lebuhraya Utara - Selatan/AH2/E1
5) BINA PURI - It owns the Lattar Highway (50%)
41 min (58.1 km) via Lebuhraya Utara - Selatan/AH2/E1
6) BJ CORP - It owns 3,200 Acres Lands in Bandar Bistari Jaya
43 min (51.6 km) via B33 and Lebuhraya Utara - Selatan/AH2/E1
All these Stocks are currently overlooked and neglected.
SO TAKE POSITION EARLY
REGARDS, Calvin Tan, Singapore
http://klse.i3investor.com/blogs/www.eaglevisioninvest.com/128536.jsp
