Bermaz Auto to Produce New Mazda CX-5 by Mid-2027
The company plans to shift to local assembly for the third-generation SUV, which will serve multiple regional markets.
Updated on Oct. 20, 2026 in Car Types
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Bermaz Auto is set to begin local assembly of the third-generation Mazda CX-5 by mid-2027. This production move will supply the vehicle to Malaysia, Thailand, Indonesia, the Philippines, Cambodia, and Laos.
Why it matters
Regional manufacturing is necessary for Bermaz Auto to meet a 40% cost content threshold required for preferential trade treatment. The move also streamlines the product lineup to prioritize upcoming electrified models over combustion-heavy variants.
The new CX-5 is projected to reach 60% local cost content. Meanwhile, the automaker will discontinue the 2.5-litre turbocharged engine variant while maintaining the 2.0-litre model with ongoing updates.
The players
Bermaz Auto
Bermaz Auto is an automotive group that manages the distribution and local assembly of Mazda vehicles in the region.
Mazda
Mazda is a Japanese automotive manufacturer known for its engineering focus on internal combustion efficiency and vehicle design.
The details
The shift to local production requires the regional supply chain to reach sufficient readiness levels to support the manufacturing goals. This transition allows the company to integrate new electrified products into its regional portfolio more effectively.
Timeline
Mid-2027: Targeted start for local assembly of the new CX-5.
Roadmap
This production shift aligns Bermaz Auto with the ASEAN Free Trade Area regional cost content requirements to secure competitive trade advantages. It reflects a broader industry trend of localizing production to mitigate trade costs and prepare for the transition toward electrified vehicle lineups.
Shoppers can expect continued availability of the 2.0-litre CX-5 as the company updates the model. However, those seeking the 2.5-litre turbocharged variant will need to consider purchasing before the planned phase-out occurs.
The takeaway
Automakers are increasingly localizing supply chains to meet regional trade thresholds and optimize their path to electrification. Customers should monitor model updates as manufacturers prune high-displacement engines in favor of more efficient, locally-supported platforms.
Further reading
For more information on industry manufacturing shifts, visit the Car Types section.
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