Nexen Tire to Enhance Business Structure in Malaysia and Accelerate ASEAN Market Expansion

Large Brand Shop Opened in Kuala Lumpur

Nexen Tire announced on August 3 that it will accelerate its strategy in the ASEAN market by strengthening its local business structure encompassing sales, distribution, and logistics in Malaysia. The company plans to expand its brand shops, transition its local sales subsidiary, and is reviewing the establishment of a logistics center to lay the groundwork for further expansion into the Southeast Asian market.

Nexen Tire recently renovated a large brand shop in the Sri Petaling area, south of Kuala Lumpur, the capital of Malaysia. Since 2022, Nexen Tire has established more than 60 brand shops in the local market, and this year, the company plans to open an additional 20 locations to further enhance brand awareness and market share.

These brand shops are local partner stores that reflect Nexen Tire's brand identity and are the result of the company's "shop branding" strategy implemented in global markets. This strategy involves unifying store signs, interiors, and displays with a purple-based color scheme, ensuring easily recognizable exteriors and providing consumers with a consistent brand experience wherever they go.

At the same time, the sales structure in Malaysia will be significantly upgraded. Starting with production volumes in August, Nexen Tire will convert its Malaysian subsidiary into a reselling company directly handling local distribution. The company aims to bolster its responsiveness to local markets and improve distribution efficiency. In addition, Nexen Tire is reviewing the establishment of a regional logistics center aiming for an opening in the first half of next year to secure a stable product supply chain. By progressively developing its sales foothold, core players, and logistics infrastructure, Nexen Tire plans to complete a fully localized business structure.

Malaysia is considered one of the major automotive markets in ASEAN and is regarded as a key strategic base for entering Southeast Asia. Nexen Tire plans to capitalize on its proven quality competitiveness, having supplied original equipment (OE) tires to global premium automakers such as Mercedes-Benz, BMW, Porsche, and Audi, to actively target the local market. Based on this foundation, the company aims to expand its business across the wider Southeast Asian market, which holds high growth potential.

A Nexen Tire representative said, "Expanding our brand shops, transitioning our sales subsidiary, and establishing a logistics center demonstrate Nexen Tire's long-term investment commitment and vision for the Malaysian market. We plan to continue to strengthen our brand presence in the ASEAN market through a business system closely tailored to local needs."

This content was produced with the assistance of AI translation services.