BMW and its local partner Sime Darby Motor opened a new engine assembly plant in Malaysia this week to cater for growing regional demand for its vehicles.

The SDAE Engine Assembly Facility – a 8,500 sq m plant built on a six acre plot in the Padang Meha district of Kulim in Kedah state, is operated in partnership with the Malaysian company's Sime Darby Auto Engineering (SDAE) subsidiary and BMW Group Malaysia.

Discover B2B Marketing That Performs

Combine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.

Find out more

The MYR132m (US$33.6m) factory has an annual capacity of 10,000 engines per year on a single shift and employs 60 workers initially. A second shift can be introduced later if needed to double capacity. 

The facility produces three- and four-cylinder petrol and diesel engines for locally assembled vehicles, including plug-in hybrids, to be sold in Malaysia and exported to other regional markets.

The assembly plant will use engine parts imported mostly from Germany and has EST tightening and Dosing and Bonding Technology (DoboTech) machines olus hydraulic valve play compensation and leak test equipment.

Just Auto Excellence Awards - Nominations Closed

Nominations are now closed for the Just Auto Technology Excellence Awards. A big thanks to all the organisations that entered – your response has been outstanding, showcasing exceptional innovation, leadership, and impact.

Excellence in Action
Continental has secured the Window Displays Innovation Award in the 2025 Just Auto Excellence Awards for its Window Projection solution, transforming side windows into dynamic, data-rich canvases. Discover how this compact projection technology and intelligent software are reshaping in-car UX and opening fresh revenue streams for OEMs and mobility providers.

Discover the Impact