Minister of International Trade and Industry Tan Sri Muhyiddin Yassin says Proton’s vendor system will have to be discussed as an independent study conducted by a Japanese company revealed that parts prices in Malaysia were up to 50% higher compared to parts sourced for Japan. He found this to be very odd.
I can think of a few reasons why this is happening – cronyism and monopoly protection could be one reason, the another could be the lack of economies of scale by local component suppliers as they do not have the large orders book of Japanese component suppliers who are supplying components in much larger volumes.
I am pretty sure that the 50% higher price is not because our local components have 50% higher quality.
After dabbling for years in the IT industry, Paul Tan initially began this site as a general blog covering various topics of personal interest. With an increasing number of readers paying rapt attention to the motoring stories, one thing led to another and the rest, as they say, is history. An avid electronic gadget aficionado as well as big-time coffee lover, he's also the executive producer of the Driven motoring TV programme.
Why need study anymore? Even the auntie cleaning the toilet knows that its was becoz of cronyism and monopoly protection.
Well, maybe they should have a study that studies a study, then a study that studies study. After all the studies……Semuanya OK.
Long time know already… That why most people living near the border even Johor ppl also went to Singapore to buy original spare parts from Japan… If the parts can save 50%, think of the cars made in Malaysia can save?!? New Saga for RM18k? Wah 50% Cheap! In my dreams… 50% more quality? Well, i think those ppl in Japan might be driving the new Proton Saga already and not others… Besides that fake stuff are also a lot in market selling as original, so becarefull car owners…
50% more expensive, 50% more corruption!
yeah…..
Long long time ago everybody know already but now only this guy talking, why? UMNO election is around the corner. Somebody must be seen working, ops! sorry, TALKING perhaps. This is one of the reasons VW and Proton unable to merge. If the deal went through, most of the vendors(cronies) if not all closed shops.
50% moe evpensive, 50% more corrupt. – CORRECT, CORRECT,CORRECT.
ah ya y like that one make in china more cheaper 50% cheaper then Japan and 85% cheaper then Malaysia .Yeah Malaysia BOleh we have Cronies and tht why can make use of the Quota of 4 wifes.
Proud of BUATAN MALAYSIA
Rumours from the grape vine, Proton vendors cuts cost, one example by reducing thickness of bumper. Bumper specs does not meet required auto standards in order to maximize profit & at the same time to pay kopi money to proton officials.
50% corruption cost 50% lower quality = < Tata, Maruti, Skoda, China cars
No need for any disscussion. Just bought the cheap one. It makes sense in term of business. this what the kebocoran and ketirisan is all about. the rakyat who suffer. Sigh.
Absoluately agreed. 50%higer price somehow can be said that it’s 50% less quality as compare to others….so disappointed nowadays with Proton
ohh goshh…thats mean along this time the Potong owner pay 50% more for their useless Waja power window,Bocor-ing Iswara tail lamp,& more never ending story on their Potong model issue is coming ahead…i wonder if the Potong importer country like Thailand,Singapore,& Indon saw this news,what would they think? Maybe one simple yet meaningfull word will be enough to explain it : CORRUPTION!!
Ehhh …. it took 20 years for them to find this out ar? Kinda late isn’t it? Not only that the parts cost 50% dearer, they are also 50% of a lesser quality. I notice that just the so-called “original” Proton oil-filter gets clogged more easily than equivalent Taiwanese oil-filter. We are paying for a 20-year-old technology, how pathetic is that?
Nothing to do with economies of scales, or ROI on tools or dies invested by the vendors. It is purely “kebocoran” here. Stealing from the buyers !
One does wonder whether our MPs are that ignorant or simply naive to have not thought of this “trick up the sleeves” move ever since Proton came into being.
There are excessive mark-ups by part suppliers too
I import most of the parts for my cars myself. Even buying in very small quantities I can save a lot than buying locally. Not all parts are cheaper by importing yourself though..
The cronyism and corruption doesn’t stop there . . . government will hire a consulting company to confirm the situation, then they’ll hire another firm to come up with recommendations, then another to implement the solution . . .
This because of the Idiot government with the idiot strategy…plan…all know rasuah rasuah only…who care what car u buy…they earn and their pocket is full enough..no care u died or not…
Dun say about engine…engine technology we lose to Japan because their history is far far away compare with Malaysia…
U see Toyota Vios…if without TAX…other country sell how much? Rm 40k-Rm50k….somemore is full specs…They sell Rm 50k..have earn somemore…so you can think from Toyota factory come out the cost is how much…Rm 30k-Rm40k…with this good quality…
Malaysia…Gen2…Rm 5xk…with what quality? Drive for 1 or 2 months…Malaysia car come out with a lot sounds..absorber sounds…dashboard sounds…wind sounds…yik yik yik..ke rong ke rong…different kind of sounds come out…later windows cannot open…alarm a bit weird…
Summary..Malaysia Car is more expensive…and the quality is more worst than import car.
The easy way..Proton Open Tender for all manufacture for spare part factory…Who give the good quality and cheap price who get the contract to supply spare parts?
But now what we can see is no open tender for all…Proton give contract to those all have bit relationship supplier with them..from here…earn some earn abit…their pocket money is full and overload.
Another way, if spare part still expensive and low quality supply by Malaysia Supplier…cancel all…order stock from Japan, Import all the spare part. WHY NOT ? Cheaper than Malaysia Supplier and High Quality alot alot compare with Malaysia Supplier.
if you realized what the Potong R&D fund is used for, you will vomit blood…..the professors are bringing a team of student to develope something very common and widely have in the market, that the purpose is only the get fund….now u see the real story. It is all cutting money at the back for the country in each level. How come ACA never go check Potong?
Shh… ACA also work for PM laa…
Anyway Thx to all those ppl who support BN! With BN – Khazanah supporting Proton will always be Protected. Yeah! I am pround with Proton which 50% expensive in parts and not 50% more better quality compare to Japanese competitors…
That why i finally know why VW kena reject and go to Thailand, can u imagine later the Golt GTi come out 50% even more expensive in cost making in Malaysia compare to it’s home country, Germany?
I can’t see any car manufacturer in the world more stupid/corrupted than Proton…..
close down proton
when the buying stops, proton will too
LittleFire 85…
Like wat u say…50% more expensive than Japan Spare part…quality…no more better 50%….
WHen i saw this…Hahaha..i laugh like hell…No need more better 50%…same quality like Japan spare part…we need curi curi ketawa already…if expensive 50% and quality same with Japan spare part…or quality…I will proud to Proton..the real is 50% more expensive..quality…50% more worst than the current Japan Car…
is 50% worst…not same quality with Japan…In this world only just have Idiot Malaysia GOvernment…BN…
What Malaysia have?Idiot Government always say other country petrol is expensive..Malaysia is cheap..so increase to Rm 2.70…but You think…other country car sell so expensive?
They buy expensive petrol..buy cheap car…
Malaysian = Buy expensive car….use expensive petrol..food also expensive…drink…smoke all also expensive…even chocolate also expensive than other country…
Julianlee2, try to emphatise thousands who work in Proton. To close Proton would be unwise. Instead try to focus on key issues, like the management, quality and parts vendor just to name a few. As for the parts vendor, they have been protected for quite a long time. We’re paying high price for inferior products. I do agree on open tender. This should give Proton an edge to select what is best for the company and ultimately the consumer. That would be the ideal one. But with the current flip flop policy and decision making we’re not going to see this practised anytime soon.
it’s not fair to compare us against japs in terms of parts pricing (quality is another matter tho). their industry has conquered the world over. they have the efficiency and economy of scale to even beat developing countries like indon and thai.. some more they usually keep the latest technology at home and release the old ones to other countries. this way others are forced to buy from them no matter what while they get more money to sustain r&d.
the problem in malaysia a lot of money were spent in ‘social engineering’, not in real engineering. nevermind the parts quality, they can still have business by keeping a strong ‘cable’.
does 50% worse quality and 50% mean the rakyat has been 100% screwed up in terms of pricing for parts?
What morons are we putting in charge of Rakyat money? These people ought to feel something in their gut sleeping every night literally stealing money from the rakyat as rakyat has to pay more for buying non proton cars
Obviously these people sleep and fed better than us. In order to change this the morons must step down.
Proton is getting alot of it’s parts from China directly, including the new disc brake system for it’s coming MPV…
Proton vendors shamelessly lying through their laser treated pearly white teeth. Try la not to use words economies of scale as reason. If they JV with VW before, they can source cheap top quality parts easily. Don’t cheat la, nanti perut kembung bernanah.
Proton should washing machine itself especially the 'crony tradition' to reduce the cost and to compete with another international automotive maker.
Does proton have it's spec for rattle noise?
I've been in Ford R&D for several years and believe me they were very strict.
Below 2 Sone for under 4G random vibration!
I think Proton should rebuild their spec.
Guilty of stealing Exora parts
Tue, Apr 21, 2009
The New Straits Times
SHAH ALAM, MALAYSIA: Even before the Proton Exora was launched last week, its parts were already stolen.
A 38-year-old quality controller was charged at the magistrate's court yesterday with stealing gear knobs last month from his employer IQM Sdn Bhd at Lot 7, Jalan Bursa 23/4, Section 22 here.
Yusri Abdul Rasit, from Port Klang, pleaded guilty to stealing Exora gear knobs as well as three Persona and five Gen2 gear knobs, all worth RM274 ($113.90).
In another case at the same court, Mohd Herman Ibrahim, 29, pleaded guilty to possessing the stolen items.
Magistrate Norkamilah Aziz granted each RM1,600 bail in one surety and fixed May 21 for sentencing. -NST
Kopi duit over competitiveness ….One of the major problems in here….
Concerning Proton and others, Even you are doing parts cheaper and better than others, if you didnt buy the golden keys , you ll never go in …
Raw Material sourcing is an other major problem .