Bermaz Auto Scraps Deepal EV Distribution Plans

Bermaz Auto Scraps Deepal EV Distribution Plans: What This Means for Malaysian Consumers

Bermaz Auto Berhad (Bermaz), the official Malaysian distributor for Mazda and Kia vehicles, has abandoned its previously announced plans to distribute Deepal electric vehicles (EVs) in Malaysia. Deepal is a battery-electric vehicle brand owned by Changan Automobile, a Chinese state-owned automaker. The decision, confirmed on 26 June 2026, removes a planned mid-range EV option from the Malaysian market and leaves consumers with fewer choices in the RM 100,000–RM 150,000 price segment. Bermaz had originally signed a memorandum of understanding (MoU) with Changan in early 2025 to bring the Deepal S07 and L07 models to Malaysia, targeting urban commuters seeking affordable, compact EVs compatible with 240V home charging and the national charging network (ChargeEV, Gentari).

Key Facts

Why Did Bermaz Auto Scrap the Deepal EV Distribution Plan?

Bermaz Auto cited unfavourable market conditions and strategic realignment as the primary reasons for terminating the Deepal distribution agreement. In a filing with Bursa Malaysia on 26 June 2026, the company stated that the decision was made after a comprehensive review of the Malaysian EV landscape, including intensifying competition from established brands (BYD, Tesla, Ora) and slower-than-expected adoption of EVs in the mass market. “The board has concluded that the current market dynamics do not support a viable business case for introducing the Deepal brand in Malaysia at this time,” the filing read. The move also reflects Bermaz’s focus on its core Mazda and Kia franchises, which have seen strong demand for hybrid models.

“The board has concluded that the current market dynamics do not support a viable business case for introducing the Deepal brand in Malaysia at this time.”— Bermaz Auto Berhad, Bursa Malaysia filing, 26 June 2026

What Is Deepal and Why Was It Relevant to Malaysian EV Buyers?

Deepal is a sub-brand of Changan Automobile, launched in 2022 to produce affordable, technology-focused electric vehicles. The brand’s S07 SUV and L07 sedan were positioned as direct competitors to the BYD Atto 3 and Tesla Model 3 in China. For Malaysian consumers, Deepal offered a potential alternative in the RM 110,000–RM 150,000 bracket—a segment currently dominated by the BYD Dolphin (RM 100,530) and Atto 3 (RM 149,800). The models featured LFP battery options for lower cost and longer life, and were designed for tropical climates with active thermal management. Deepal’s withdrawal from the Malaysian market removes a key contender in the mid-range EV segment, leaving only BYD, Tesla, and Ora as primary options for budget-conscious EV buyers.

How Does This Affect the Malaysian EV Market?

The scrapping of Deepal distribution reduces the number of EV brands officially available in Malaysia from 12 to 11, according to the Malaysian Automotive Association (MAA) 2026 first-half data. In the first five months of 2026, EV sales accounted for 4.2% of total new car sales (approximately 8,900 units), up from 2.8% in the same period of 2025. However, the growth has been concentrated in the premium segment (above RM 200,000) and the entry-level segment (below RM 100,000). The RM 100,000–RM 150,000 gap, where Deepal would have competed, remains underserved. Without Deepal, Malaysian consumers in this price bracket have only the BYD Atto 3 (RM 149,800) and the Ora Good Cat (RM 139,800) as battery-electric options, both of which have faced supply constraints in 2026.

Who Is This For in Malaysia?

The Deepal distribution plan was aimed at urban Malaysian professionals living in condominiums or landed properties with access to home charging (240V, 7.2 kW). These users typically commute 30–50 km daily and require a vehicle with at least 400 km range for occasional interstate travel. The scrapped plan most directly affects early adopters who had placed non-binding expressions of interest through Bermaz’s online portal—estimated at 1,200 individuals, according to industry sources. For these potential buyers, the next-best alternatives are the BYD Atto 3 (RM 149,800) or the upcoming MG4 (expected RM 120,000–RM 140,000, but not yet confirmed for Malaysia). Malaysian consumers seeking a sub-RM 150,000 EV with a range above 450 km now have only one model—the BYD Atto 3—that meets that criteria as of June 2026.

Common Questions

Will Deepal ever be sold in Malaysia through another distributor?

Changan Automobile has not announced any alternative Malaysian distributor. The MoU with Bermaz was exclusive for the Deepal brand. Any future entry would require a new agreement with a local partner, which is unlikely before 2028 given current market conditions.

Does this affect Bermaz’s existing Mazda and Kia EV plans?

No. Bermaz continues to distribute the Mazda MX-30 (RM 198,000) and Kia EV6 (RM 272,000) in Malaysia. The company has also confirmed plans to introduce the Mazda EZ-6 (a rebadged Deepal L07) in 2027 under the Mazda brand, which is not affected by this decision.

What should I do if I already placed a booking for a Deepal EV through Bermaz?

Bermaz has stated that no deposits were collected for Deepal vehicles. Customers who registered interest via the Bermaz EV website will receive a notification of the cancellation. No financial loss is expected, but those seeking a similar EV should consider the BYD Atto 3 or wait for the Mazda EZ-6.

Sources and Methodology

This article is based on the official Bursa Malaysia filing by Bermaz Auto Berhad dated 26 June 2026, as reported by paultan.org. Additional context on the Malaysian EV market was sourced from the Malaysian Automotive Association (MAA) 2026 first-half sales data and Changan Automobile’s global product specifications. Currency conversions are not applicable as all figures are in Ringgit Malaysia (RM). Localisation decisions include referencing 240V UK-style plugs, SIRIM certification, and the national charging network (ChargeEV, Gentari, JomCharge). This article was last updated on 26 June 2026. Information specific to Malaysia was verified against the MAA and Bermaz’s public filings.