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VW to manufacture cars in Malaysia

Volkswagen will start producing cars in Malaysia from 2012.

The German car manufacturer Volkswagen has announced it will start producing some of its cars in Malaysia.

It has joined forces with the local auto group DRB-Hicom Berhad who supplied 70% of the investment.

The VW group, which includes brands such as Audi, Skoda and Seat, aims to boost sales and production in Southeast Asia to between 40,000 and 50,000 over the next few years.

Jennifer Pak reports.