Parts makers can be competitive globally – MITI

mustapa-miti

A Bernama report offers some incentive for local automotive component manufacturers who wish to broaden their scope internationally, stating that they can be competitive if they put quality first while maintaining good pricing.

This was the advice given by Ministry of International Trade and Industry (MITI) minister Datuk Seri Mustapa Mohamed while visiting AFI Brake Manufacturing at the Gong Badak Industrial Area in Terengganu.

Mustapa pointed to the success of a number of local companies such as S P Chong Group, which exports parts such as brake pads to nine countries across Asia and the Middle East, as an example of local companies who have successfully made the leap towards providing components overseas.

“To ensure that local automotive components continue to be favoured internationally, the key focus is on quality and pricing,” he said.

Mustapa also added that Proton, whose cars feature 90% local content, have found success internationally and shows that Malaysian products are globally recognised. In addition, he claims that Terengganu was now expanding investments aggressively, and that MITI would continue to work with all parties involved to retain continuity.

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Jonathan Lee

After trying to pursue a career in product design, Jonathan Lee decided to make the sideways jump into the world of car journalism instead. He therefore appreciates the aesthetic appeal of a car, but for him, the driving experience is still second to none.

 

Comments

  • Satumii on Feb 18, 2014 at 11:13 am

    Malaysian Politician are still insulting our intelligence with the so-called success in Proton car. For over 20 years – millions of Malaysian were forced to pay exorbitant taxes to support Cronies in Proton Project. Tell us – how many Proton cars were sold overseas that this Minister can claimed it to be successful.

    Well-loved. Like or Dislike: Thumb up 103 Thumb down 4
    • the number never lie on Feb 18, 2014 at 3:24 pm

      2 Proton Cars were sold in Singapore in 2013. Both were bought by Malaysian High Commissioner Office.

      Well-loved. Like or Dislike: Thumb up 124 Thumb down 2
      • Is it ? LOL I was wondering the whole time who exactly bought those 2 Protons.

        Got any proof ? A photo or something ?

        Actually, if you look at the full picture, it is not just Proton. All the other non-Conti brands are doing badly in Singapore because of the rising COE. Even the Japanese brands are suffering now. Only Merc, BMW, VW, Audi & Lexus are doing ok, the rest might as well tutup kedai in Singapore.

        Source :
        http://www.lta.gov.sg/content/dam/ltaweb/corp/PublicationsResearch/files/FactsandFigures/M03-Car_Regn_by_make.pdf

        Like or Dislike: Thumb up 6 Thumb down 6
        • Sgdude on Feb 18, 2014 at 8:55 pm

          True dude, as a local in sg.. U got to pay 50% downpayment, if u lease the car, monthly payment double…, not everybody is rich here….

          Like or Dislike: Thumb up 10 Thumb down 3
          • Samshowedmethehilux on Feb 19, 2014 at 8:19 am

            Tipu lah SgDude. You forgot to mention that your GDP per Capita is the 2nd or 3rd higest in the world. You all earn so much of money. Pay COE or pay expensive petrol also, is small percentage of your pay.

            My friend kerja bell boy at hotel also can make $4000SG. More than Rm10k. Just open door for customer and close door for customer.

            Don’t kelentong lah sgdude!

            Like or Dislike: Thumb up 7 Thumb down 4
          • ScuderiaVincero on Feb 19, 2014 at 3:49 pm

            You think so Samshowedmethehilux? How much of our GDP is generated by true blue Singaporeans, and how much by foreigners? And how much does the foreigner’s presence help the true Singaporeans? Unless you’ve tried making a living here, don’t talk cock.

            Like or Dislike: Thumb up 3 Thumb down 0
    • Proton Total Failure! on Feb 18, 2014 at 6:17 pm

      For 30 years we rakyat suffer paying high car prices. All because of Proton. Actually car prices the past 30 years have not gone up that much despite inflation. You can see this from the US prices. A Honda Accord 2.4 and Toyota Camry 2.5 2014 model is USD$22,000. Yes, top of the range cars are only about RM60,000. So, this proves, car prices have not really gone up much the past 30 years. We still can be buying a Toyota Corolla or Nissan Sunny brand new for maybe about RM40,000, up from RM20,000 20 years ago.

      So, for 30 years, we have been paying super high prices to protect Proton. Proton also gets hundreds of million ringgit in grant every few years from our Government. This is our hard earned tax payers money.

      So with all the protectionism and all the suffering every single 30 million Malaysians been paying overpriced cars because Proton needs protection, our Minister now tells us Proton has been selling well overseas?

      Tak malu ke Minister? Proton has been surviving because 30 million Malaysian kena “paksa” to buy this car and it has only local market share. Globally it has ZERO market share.

      We Malaysians have the right to know. Because for 30 years we have been paying overpriced cars and our tax payers money been given to Proton in the form of grants.

      Dear Menteri, I think the person who wrote this speech for you needs to be sacked. It is a balatnt lie that Proton has found success in International markets. Infact it is a flop in every single market. Even in Arab countries, where every single Proton is sold for half the price as it is sold in Malaysia (yes, we are subsidizing rich Arabs), the car is a total failure. Give Arabs half price also, they reject it.

      Well-loved. Like or Dislike: Thumb up 56 Thumb down 2
      • Sgdude on Feb 18, 2014 at 8:58 pm

        Dude, u should check the same car price in Japan… It is double from the US..

        Like or Dislike: Thumb up 6 Thumb down 10
        • Samshowedmethehilux on Feb 19, 2014 at 8:20 am

          Tipulah sgdude, Japan people earn how much? What kuli earn in Japan, in Malaysia CEO earn the same.

          Pandai kelentong lah sgdude

          Like or Dislike: Thumb up 7 Thumb down 4
          • Sgdude on Feb 20, 2014 at 3:39 pm

            Yup maybe the salary is higher, but its not definitely like what you have mentioned, btw what is ‘kelentong’ is it a fruit?

            Like or Dislike: Thumb up 0 Thumb down 0
    • Quite a lot exported actually between the 80s until now, but still not enough. Should be in the millions by now, but so far still in the hundreds of thousands only.

      https://en.wikipedia.org/wiki/Proton_(automobile)#Global_operations

      Like or Dislike: Thumb up 1 Thumb down 6
    • Aishah - Deputy Minister? on Feb 19, 2014 at 8:33 am

      Eh Mustapa, is that Aishah from MAA beside you? She now Deputy Minister is it? Wah support government, so fast can climb ladder! I should have join government long ago!

      Like or Dislike: Thumb up 5 Thumb down 0
  • BLUR SOTONG on Feb 18, 2014 at 11:23 am

    Dear Datuk Seri , how competitive and price and quality sensitive is our Proton then ?
    Quality is a complete package, not only by using local content. It’s about the vision , technology and design and the implementation of stringent control. Does making a car using local content makes a car manufacturer Competitive in the market ?
    If Yes , China Geeky will rule the World

    Well-loved. Like or Dislike: Thumb up 62 Thumb down 2
  • sam loo's psychologist on Feb 18, 2014 at 11:28 am

    “Malaysian products are globally recognised” what is this fellow smoking

    Well-loved. Like or Dislike: Thumb up 70 Thumb down 0
  • Ahli Baba on Feb 18, 2014 at 11:33 am

    Support those real vendors that design, develop & manufacture actual parts locally here, not those Kroni vendors that get supply from elsewhere eg.Thailand but just change logo here and claimed it is local factory made whole parts.

    Like or Dislike: Thumb up 44 Thumb down 2
  • alittlebitbetterthanidiot on Feb 18, 2014 at 11:35 am

    Really?

    Well-loved. Like or Dislike: Thumb up 106 Thumb down 2
    • I honestly don’t like this Mustapa guy. He is not doing is job well enough.

      The only export market Proton is good at right now is China. The rest are all tiny markets like Brunei and Sri Lanka and what not. Until Proton enters mainland Europe, North America and South America, don’t make such ‘syiok sendiri’ statements.

      Tell the truth lah at least, Datuk Mustapa…. I’m sure you know better than all of us how poor Proton’s export sales are.

      I might support Proton a lot, but I won’t accept lies and ‘syiok sendiri’ propaganda.

      Like or Dislike: Thumb up 45 Thumb down 2
      • kangkong on Feb 19, 2014 at 12:25 am

        Please name me a minister now in the cabinet who is creditable. Our Finance Minister? our Education Minister? Health Minister? Defense? Transportation?????

        Like or Dislike: Thumb up 7 Thumb down 0
    • ABTguy on Feb 18, 2014 at 3:13 pm

      IS the minister trying to test our intelligent level ? Or trying to show his ?

      I laugh…

      Like or Dislike: Thumb up 33 Thumb down 0
  • abisla kene bash

    Like or Dislike: Thumb up 19 Thumb down 7
  • SP Chong Group is keloni company

    Like or Dislike: Thumb up 13 Thumb down 5
  • 4G63T DSM on Feb 18, 2014 at 11:59 am

    “Mustapa also added that Proton, whose cars feature 90% local content, have found success internationally and shows that Malaysian products are globally.”

    I’m sure there are manufacturers that strive to break out of the local market but exporting to just a few countries doesn’t constitute “global”. MITI is just taking credit for someone else’s hard work.

    Seriously, I used to be in Manufacturing with an export based market. I know the challenges local non-bumi producers’ face. MITI is useless when it comes to help. They are far from being aggressive enough. All they do is enjoy paid holidays (ahem “Roadshows”).

    Really? Not to hantam them too hard, but this clearly is a shiok sendiri statement.

    I’m all for local industries being successful and contribute to our balance of trade, but as long as these industries cannot even compete locally without an umbrella of protection, they will never be competitive abroad.

    Well-loved. Like or Dislike: Thumb up 54 Thumb down 1
  • rosmah on Feb 18, 2014 at 12:06 pm

    Cakap macam mabuk je:
    Mustapa also added that Proton, whose cars feature 90% local content, have found success internationally and shows that Malaysian products are globally recognised.
    Yeeeah you rrrr riteeee..
    Globally recognize as an Malaysian Epic Failure on Automotive industry.. Even those Indons (with their success LCGC) laughing loudly to us.

    Okay Mustafa, just cage your monkey and put those kankong back to your mouth

    Like or Dislike: Thumb up 51 Thumb down 2
  • KangKung Man on Feb 18, 2014 at 12:16 pm

    Aih! Want to be in news again … Talk talk talk nia …

    Like or Dislike: Thumb up 8 Thumb down 0
  • If Malaysia had started R&D in natural rubber tyre manufacturing a few decades back, we could be no.1 in the world for natural rubber tyre exports today.

    No need to be unrealistic, just look back at the past, we were once the world leader for rubber exports. But once synthetic rubber was popularized after WWII, we lost that lead.

    We should have started making our own natural rubber tyres then and there in the 60s and 70s. There is a market in the world for pure, original, virgin, natural rubber tyres (for racing, luxury cars etc.). There are some elements of natural rubber tyres which are superior to the synthetic equivalents.

    It’s still not too late, we can still do it. If Indonesia’s GT Radial and Achilles tyres can be sold across ASEAN, why can’t Malaysia make our own ?

    Just some food for thought.

    Like or Dislike: Thumb up 26 Thumb down 1
  • Guan Yin Ma on Feb 18, 2014 at 12:57 pm

    ‘Mustapa also added that Proton, whose cars feature 90% local content, have found success internationally and shows that Malaysian products are globally recognised.’ Can you tell me what is mean by susccess internationally if you just sold 200 units of proton in UK last year ???

    Like or Dislike: Thumb up 28 Thumb down 0
  • AFI….what automotive assembler or manufacturing available in Gong Badak?

    Like or Dislike: Thumb up 2 Thumb down 0
  • blackbox on Feb 18, 2014 at 1:12 pm

    Not only local manufacturer. If Proton can maintain current pricing and produced Merz quality they can be success also. Dear minister please tell is something we don’t know….

    Like or Dislike: Thumb up 4 Thumb down 0
  • Patutlah kualiti macam tahi

    Like or Dislike: Thumb up 32 Thumb down 1
  • Hadi75 on Feb 18, 2014 at 1:30 pm

    Proton found success internationally???really???

    Like or Dislike: Thumb up 29 Thumb down 0
  • Lan Tak on Feb 18, 2014 at 1:40 pm

    tak penat ker korang ni

    Like or Dislike: Thumb up 4 Thumb down 0
  • Samad Jain on Feb 18, 2014 at 1:46 pm

    once politics and cronism get involved…….everything habis…
    In Malaysia, What is not politics??

    Like or Dislike: Thumb up 32 Thumb down 1
  • Green on Feb 18, 2014 at 2:07 pm

    if EEV is well accepted by Global player and Set up more Assembly and producing plant..

    This is benefiting, to Malaysia automotive parts makers.

    Like or Dislike: Thumb up 0 Thumb down 10
  • “Proton, whose cars feature 90% local content, have found success internationally and shows that Malaysian products are globally recognised”

    Statement of the year. Thank you En.Menteri for the excellent after lunch laughter.

    Like or Dislike: Thumb up 25 Thumb down 1
  • All the best Malaysia! Malaysia Boleh!

    Like or Dislike: Thumb up 4 Thumb down 13
  • “Proton, whose cars feature 90% local content, have found success internationally and shows that Malaysian products are globally recognised.”

    our minister made this statement.

    HAHAHAHAHAHA!!!!!!!!!!!!!!

    Like or Dislike: Thumb up 24 Thumb down 1
  • Its not just ‘can be globally competitive’, its must.

    For a car to be recognize and favored gllobally, it must be built from parts that can be also appreciated globally. Unless the Miti guy is saying that our parts quality are limited by the extand of our technological capabilities and we ‘can’ improve in that respect, than I can wholly understand but if what he is implying that our local part manufecturer can but have not improve their quality to that of interantional standard because they are producing parts for Malaysia only and therefore can continue to do so as our market is still not matured enough to that of the international stage….than theres a need of change to that mindset.

    As for Proton ‘have found success internationally and shows that Malaysian products are globally recognised.’ I don’t know, beside some small-ish in South East Asian and Midddle East markets, not reaally a competitive market in any saying with the exception of maybe indonesia, I struggle to comprehand the extand of this ‘global success’ he is implying. Thou an artilce of the new Suprima R3 Super Premium on Jalopnik and WorldCarFans have gathered some positive feedback.

    Like or Dislike: Thumb up 6 Thumb down 1
  • Proton Globally Recognized ?

    Like or Dislike: Thumb up 20 Thumb down 0
  • Aku menyampah kat MITI.

    Aku menyampah kat gomen b0d0h.

    Like or Dislike: Thumb up 29 Thumb down 1
  • KampungVoice on Feb 18, 2014 at 3:16 pm

    He did not lie. Proton is in fact globally recognized… it is even featured in 1 of the Top Gear episode where our national car was labelled “rubbish” before crushing into rubbish.

    Well-loved. Like or Dislike: Thumb up 69 Thumb down 2
  • Haiyaa on Feb 18, 2014 at 4:24 pm

    To compete globally, put quality first.

    To compete locally, put cronism first.

    Like or Dislike: Thumb up 17 Thumb down 0
  • Albert Lee on Feb 18, 2014 at 9:18 pm

    MAS is reporting 1 Billion RM MASSIVE Loss.
    Bank Bumi twice went under and require Gomen bailouts.
    Now Protong has been hived to DRB under the Arab mamak who controls almost everything from rice to sugar etc.,who is so called doing national service.Protong I believe is still not out of the woods yet cos of ailing cancerous Lotus tagging along.
    And our dear minister says protong has found success internationally.LYING has become an ART now.It is no more a spur of the moment thing.

    Like or Dislike: Thumb up 35 Thumb down 2
  • muatafa kamal on Feb 18, 2014 at 10:07 pm

    sial la kau miti, hari2 jual temberang!

    Like or Dislike: Thumb up 8 Thumb down 1
  • Raja Lawak on Feb 19, 2014 at 8:33 am

    “Mustapa also added that Proton, whose cars feature 90% local content, have found success internationally and shows that Malaysian products are globally.”

    Shall we laugh or cry for that??

    Like or Dislike: Thumb up 4 Thumb down 0
  • Low Budget on Feb 19, 2014 at 10:09 am

    Most local parts vendors have tie with Oversea OEM parts manufacturer, a kind of Ali-Jepun or Ali-Cina arrangement, so the quality of parts should be quite O.K. if the local factory hands strictly follow the QC procedure impose by their overseas counterparts.

    By the way, Isn’t this Mustafa guy the one who let the AP system to continues while he is still studying whether to withdrawn it in his dream?

    Like or Dislike: Thumb up 5 Thumb down 0
  • Sometimes me wonder whether we r living in countriee like North Korea, where every news is pure gomen popaganda…recently i heard their gomen claimed tat a Nk became the first humans to land on the surface of the sun

    Like or Dislike: Thumb up 3 Thumb down 0
  • old dog on Feb 19, 2014 at 11:21 pm

    1st Joke of 2014 Protong!! LOL

    Like or Dislike: Thumb up 2 Thumb down 0
 

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