Avis Malaysia predicts rise in corporate non-commercial EV leasing demand

SHAH ALAM: DRB-HICOM EZ Drive Sdn Bhd (also known as Avis Malaysia), a mobility solutions provider, projects increasing demand for electric vehicles in the corporate non-commercial leasing segment this year, driven by government-friendly policies.

Avis Malaysia CEO Mohd Syahrul Yusuf said the forecast aligns with the jump in demand for EV models in 2024 within the company’s non-commercial leasing fleet.

“Using EVs will contribute to corporate ESG (environmental, social and governance) compliance, while also helping to reduce fuel costs borne by the company for its fleet. Of course, this will be subject to the readiness of the infrastructure in Malaysia, but the savings will be there,” he said in an interview with Bernama at EON headquarters recently.

DRB-HICOM EZ Drive, a subsidiary of EON Bhd, is the Malaysian licensee for Avis.

Mohd Syahrul revealed that Avis Malaysia aims to increase customer growth by 10% this year, including growth in its car rental business.

“Because of the growing demand for EVs and, at the same time, when we talk about major projects – they do not buy their vehicles; they lease them – we see the potential, along with the booming Malaysian tourism landscape post-Covid-19,” he said.

Avis Malaysia’s fleet of 4,200 vehicles includes options such as standard cars, trucks, buses, and luxury models, catering to diverse operational needs.

Established in 1972, Avis Malaysia was acquired by DRB-HICOM Bhd through EON Bhd in June 2014.

The company now operates 18 rental locations and two site offices nationwide, offering a full suite of mobility services, including vehicle rental, leasing, and fleet management. Its eco-friendly fleet includes models such as the Audi Q8 e-tron, Tesla Model 3 and Model Y, providing businesses with sustainable transport choices.

Mohd Syahrul also highlighted the growing popularity of vehicle leasing in the corporate sector, driven by Avis Malaysia as a mobility solution provider, to lead the creation of a transportation ecosystem that is not only seamless but also sustainable and tailored to the customer’s needs.

Leasing could also provide hassle-free, peace of mind, and no surprise costs, while also enhancing capital expenditure flexibility and improving cash flow management, he explained.

“As part of Malaysia’s leading automotive group, we pass on benefits to our customers, including maintenance services and assistance tailored to their leasing packages,” he said.

He added that all vehicles in Avis Malaysia’s fleet are licensed by the Land Public Transport Agency, undergo mandatory six-month inspections, and come with enhanced insurance coverage.

Additionally, businesses can opt for telematics and fleet management solutions to monitor vehicle usage and optimise efficiency.