Malaysian vehicle assembler and distributor Tan Chong Motor Holdings plans to invest MYR285m (US$92m) in a new vehicle plant in Sabah on the island of Borneo, according to a company statement.

The company, which assembles and distributes Nissan vehicles and UD Trucks, has just received government approval to assemble luxury vehicles (more than 1.8L) on the island that cost at least MYR150,000 (US$48,300) as well as commercial vehicles.

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Assembly location will be the Kota Kinabalu Industrial Park.

Tan Chong said it wants to open up the Borneo market and plans to build 4WD vehicles. The plant will have the capacity to produce 3,000 vehicles per year.

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