Nestlé has expanded its manufacturing capabilities in Malaysia with the addition of a new coffee concentrate production line at its Sri Muda factory, marking the company’s first such line in Asia.

The investment is aimed at meeting rising demand for cold coffee across the region, particularly among younger consumers seeking premium, café-style beverages for at-home and on-the-go consumption.

The new line will supply both domestic and international markets, including Singapore, Oceania and the Middle East and North Africa (MENA) region, with potential expansion into Europe.

According to the company, Malaysia’s central location and proximity to coffee-growing regions make the Sri Muda plant a strategic hub for Nestlé’s regional supply chain, enabling faster distribution across Asia and beyond. The Sri Muda site already produces well-known brands such as Milo and Nescafé, and benefits from extensive expertise in liquid manufacturing.

Axel Touzet, head of Nestlé's strategic coffee business unit, said: "This investment reflects our ambition to become a leader in the rapidly expanding cold coffee segment, especially among younger consumers, who are looking for premium, café-style experiences, both at home and on the go. This factory is perfectly positioned to meet the increasing demand for Nescafé espresso concentrate in Asia."