Shah Alam, 19 Oct 2011 – UMW Lubricant International Sdn. Bhd. (ULI), a wholly-owned subsidiary of the UMW Group, today unveiled REPSOL’s range of lubricants for the automotive industry. While the Repsol name is synonymous with motorcycle lubricants due to its long association with MotoGP, the brand carries a wider range of products including lubricants for passenger and commercial vehicles as well as industrial use.
The principal agency agreement with Repsol YPF Lubricantes Y Especialidades, S.A. (REPSOL) on for the appointment of ULI as the exclusive Principal Agent was signed in November last year, during the last round of the MotoGP Championship in Valencia, Spain. The agreement includes the distribution of REPSOL lubricants for automotive, motorcycle, and industrial use as well as ancillary products manufactured or sold by REPSOL. This exclusive distributorship covers Malaysia, Singapore, Brunei, Papua New Guinea, Myanmar, and China.
UMW and REPSOL have likened the deal to a ‘marriage’ where REPSOL has found the perfect strategic partner in UMW to help its market penetration into Asia as part of its international expansion plan. UMW, on the other hand, with its strong presence in Asia, extensive experience in managing partners and financial stability, has found a world class brand and committed partner in REPSOL. Datuk Syed Hisham Syed Wazir, President & Group CEO, UMW Holdings Berhad remarked, ”We are very happy with this alliance with Repsol. Like in any marriage, the first year is the most important, where each partner gets to know one another better so that they can, together, weather any challenges they may face in the future.”
Since its introduction into the Malaysian market in June 2011, ULI has imported more than 530 tonnes of lubricant oil meant for passenger vehicles, motorcycles, and diesel powered engines.
“We have set a target of 3,700 tonnes for 2012 to cater for the growing needs of the motorcycle and passenger car sectors, as well as diesel engines including automatic transmission fluid and other industrial products”, said Datuk Syed Hisham. Sales of Repsol in Malaysia have been very encouraging since its introduction in June due to its renowned quality and strong international brand identity. ULI hopes to capture at least 3% of the market share by the end of 2012 through a series of on-ground activities scheduled for kick-off during the upcoming MotoGP in Sepang. The event will mark ULI’s maiden stage appearance with Repsol, where a convoy of more than 300 bikers will track the journey to the circuit on 23rd October. Scheduled appearances by Repsol riders are also expected at ULI’s promotional booth and Corporate Suite at SIC along with other promotional fun-filled activities.
“We would like to position Repsol as a premium quality lubricant that will compete with existing major players in the lubricant industry. Given its long-time association with MotoGP, we are going to leverage on this and aggressively promote Repsol products for the wider passenger vehicle market. We will appoint nationwide distributors and dealers, and target to have more than 200 outlets by the end of 2011”, added Datuk Syed Hisham.
Sales of Repsol lubricants are expected to reach 20,000 tonnes per year within Malaysia and China by 2015. REPSOL currently markets its lubricants directly and through distributors in over 60 countries in America, Europe and Asia. In Asia, the company is present in Indonesia, Japan, Philippines and Taiwan, where it produces and distributes locally.
REPSOL is Spain’s largest integrated oil and gas company with principal operations in Latin America, the Middle East and North Africa as well as operations in over 30 countries in upstream, downstream and LNG businesses.