(JW Insights) Aug 8 -- Chinese lithium battery manufacturer EVE Energy (亿纬锂能) held a groundbreaking ceremony on August 7 for its new manufacturing facility in Kedah, Malaysia, with an initial investment of $422 million, Xinhua reported.

In a joint statement, the company and Malaysian Investment Development Authority (MIDA) said that the new manufacturing facility, which will be EVE's 53rd, will focus on the production of cylindrical lithium-ion batteries to support power tools and electric two-wheelers manufacturing in the country and across Southeast Asia.

EVE Energy Malaysia director Joe Chen said that relying on EVE's domestic advantages and operational experience, the firm will build a cylindrical battery production base in Malaysia to support the production of electric two-wheelers and power tools in Malaysia.

"This is an important milestone for EVE to expand our global businesses, enhance our comprehensive competitiveness, and to further grow our global market share. And most importantly, to let us contribute to the development of the electrical power ecosystem in Malaysia," he said.

Meanwhile, MIDA deputy chief executive officer (investment development) Lim Bee Vian said that the investment marks a crucial milestone that not only benefits EVE but also paves the way for more companies to invest in Malaysia in the electric vehicle (EV) industry and its ecosystems.

"By establishing this cylindrical battery manufacturing plant in Malaysia, we demonstrate our commitment to competitiveness in the international market," she noted, according to the Xinhua report.

(Yuan XY/Gao J)