At last Friday’s launch of the National Automotive Policy 2020, DreamEdge brought out a prototype of its new national car project, which we’ve already showed you. Next to the boxed NNCP were actual national carmakers occupying the top two spots in the market today – Perodua and Proton.
Perodua had a Myvi and a mini display of its Advanced Safety Assist (ASA) system in its corner. But what caught our eye was the content on the booth’s background. Basically, it shows Perodua’s journey in Malaysia over the years, the milestones it has achieved, and also the company’s efforts and responsibilities in growing the Malaysian auto industry. What P2 has done for Malaysia, in short.
Now, the typical headlines involving Perodua usually has some sales or market share record, but the company is also very proud of its role in supporting the local vendor community and the automotive ecosystem as a whole. Because of its volume and high level of localisation, it buys a lot from local suppliers – for 2020, P2 expects to purchase RM6 billion of Malaysian-made parts, up from RM5.4 billion last year.
Perodua does three main things to play its part in the development of the local industry – the enhancement of R&D capabilities, the promotion of localisation and the development of local human resources. By developing its R&D capabilities and coming up with global levels of quality and cost; it benefits the company, its people and the local auto industry as a whole by raising standards.
Perodua has a vendor support centre (VSC) which ultimate goal is to improve vendor profitability and expand export opportunities for the suppliers. P2’s partner Daihatsu provides training support, and there’s also the resident support (RS) programme, where Perodua staff are “planted” in the vendors. These RS staff live and work as employees of the vendor, but their salary continues to be paid by P2. The RS programme has been ongoing since 2017.
Underpinning the big contribution to the local auto landscape is the high local content of Perodua’s cars. In the kei car era of the Kancil, Kenari and Kelisa, the localisation rate was between 60% to 80%. It stepped up a gear with the first-gen Myvi (86%) and has continued to rise ever since. Perodua’s three most recent new models – Bezza, third-gen Myvi and Aruz – have 95% local content.
Why not 100%? Perodua is part of the wider Toyota group, and when there are parts that can be shared to lower costs, it’s only logical to go for it. The NR family of engines, for instance, are widely used by Toyota and Daihatsu throughout the region. In a globalised market, parts come from all over the world – for instance, Hyundai’s South Korean plants has been facing shortage of parts from China due to the COVID-19 coronavirus outbreak gripping China. Nissan had to temporarily stop production in Japan for the same reason.
Lastly, scale. Perodua’s contribution to the local automotive industry is so big because well, Perodua is quite big itself. The Sg Choh-based carmaker recorded an all-time sales record of 240,341 units last year, with nearly 40% market share. In fact, since 1994, Perodua has churned out 3.7 million cars. The more you make, the more parts you need, it’s as simple as that.
And there’s more to come as well – Perodua is preparing a hot new SUV model for this year, underpinned by a plan to almost double its spending in investment for 2020, to a whopping RM1.06 billion (+86.2% from 2019).
“Half of it, about RM500 million, is related to factory investments, in modernisation, expansion as well as preparation for a future model,” president and CEO Datuk Zainal Abidin Ahmad said.
The company is also aiming to be an R&D hub for ASEAN, developing products with – and for – Daihatsu for the region. While acknowledging that the Japanese compact car expert has a sizeable arm in Indonesia, Zainal Abidin says that Perodua is ahead of Astra Daihatsu Motor in R&D. “In terms of R&D, at this moment Perodua R&D, in terms of testing equipment, investment and facilities, is bigger than Indonesia,” he said.
It’s clear that as the Malaysian market leader grows, the local automotive ecosystem, and the country itself, benefits along the way. It’s symbiotic.
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3.7M perodua cars sold , amat menakjubkan !
This alone have proven that Malaysian trust in Perodua’s Game-Changing quality. Thank you for building Game-Changing cars for us, trully a National Carmaker!
Someone been telling us how gamechanging Perodua but all they do is gameover people with their accident prone cars, they gameover the country by sending all profits back to Japan leaving us nothing and they gameover by promising gamechanging Kenari Hybrid since 2003 but 17 years later we still don’t see this car. With Dreamedge coming, Perodua is soon to gameover.
People buy Perodua because got RV. For example….
2020 Myvi RM50k
2020 Iriz is RM50k
3 years later you sell your car is 2023.
Myvi will be RM39k
Iriz will be RM16k
We bilip you Kunta, just like we bilip you yesterday everything was okay at Putrajaya.
We should withdraw National Car status from Potong because they are now a fully China company.
At least Perodua got EPF, PNB, UMW and Khazanah as their majority shareholders. Jadi masih Malaysians wei
“Perodua is part of the wider Toyota group”
Paul Tan already debunked that Perodua is a real national car maker. A big thanks to Paul Tan and Danny Tan for highlighting the truth. At last we got confirmation Perodua was all along a fake national car maker.
I hope the new government will close down Perodua and force it to pay back all the incentives and tax deductions they received for 30 years as a fake national car maker.
nonsense. perodua has been helping malaysians own quality cars for many years. it has also contributed tremendously to the economy. geely and proton contribute very little to malaysians and the economy. most of the profits go to china either to geely or their vendors.
Poor quality cars you meant. Perodua cars are prone to accidents and they don’t provide adequate protection for the occupants inside. It is no wonder the boom of Perodua cars comes with the skyrocketing accident and road death statistic.
Kesian. You talk about game-over so much, your employer has now game-over themselves. That is what happens when taking too much DEDAK, until the brain is full of DEDAK.
Malaysian-made and Malaysian-built(assembled) is so much different. Malaysian-made is akin to Proton (bar X70), and Malaysian-built(assembled) is akin to every Perodua car.
Bar Inspira, bar ertiga, bar perdana Mk.II (accord body) and III (proton body)
Minuscule compared to the majority homegrown cars.
Better to just close down Perodua. A real shame on our nation as they are nothing more than a national rebadger.
Worse, all Poodua models doesn’t have the bloody temperature gauge – the most important basic instrument in a car also can’t even provide, but stupid ugly rims (even steel rim looks far better – for baseline spec) and chromes where you can have free electrostatic shock, that one can provide, but with cheapest material with much higher price.
Perodua makes the rakyat proud. Since the first year of inception till today, they have been paying company tax to LHDN to the tune of BILLIONS per year. This money, goes to the rebuilding of the country and infrastructure.
Other companies on the other hand have been given exemption from paying income tax the past 20 years because it is loss making. So, they don’t pay 1 sen of tax to the Government.
Double whammy, not only they don’t pay a single sen of tax, they have taken about RM20 billion in bailout the past 20 years to sustain the company.
This is why Malaysians are proud of Perouda. Call it rebadger or what, does not matter, at least they make money and is not a burden to the public.
I hope other companies learn to be like Perodua…hardworking and smart.
Already lost in May 2018, yesterday coup also lost and failed, many are now very sore losers. So, they will come here and bash P2
Enough of bashing lah. Try to live well and play clean
Dude. This is an AUTOMOTIVE blog. You want to talk politics, please go away. PaulTan, kindly filter out unnecessary and irrelevant troll comments.
Full agree!
Shameless betul. Dah kalah teruk teruk, they still try to sabotage the current clean government and betray the rakyat
People buy Aruz or Myvi in Malaysia because the price is SAME SAME as Japan.
Unlike Geely Boyue aka Proton X70. In China the CBU car sell RM60k
But in Malaysia, the CKD Proton X70 sell for RM120k despite using local content.
Someone was telling us Aruz and Myvi are sold in Japan but from here we can see that Aruz and Myvi have 95% local content, so this tells us Aruz and Myvi are never sold in Japan.
Looks like he was lying to us all this time. I cannot trust what he said anymore.
Very Noob, just like Proton X70@Geely Boyue, Perodua Aruz@Toyota Rush and Perodua Myvi@Daihatsu Sirion. Perodua Aruz & Myvi parts have 95% local content, while toyota & daihatsu use Japan part for their rush & sirion. What mean by price comparison of Malaysia and Japan was in Japan it was sold under Toyota and Daihatsu flag instead of Perodua, same goes Proton X70 which sold in China under Geely flag instead of Proton. As simple as that but some doesn’t understand. But not sure about Proton X70, how many % of its parts from China and how many % local. Perodua did a good job making it proudable national carmaker. Both Proton & Perodua are originated in Malaysia, not Japan not China. The difference is that, more than half of Perodua share still holds by local Malaysian company, while Proton on the other hand having half of it sold to China. Precisely why Perodua still maintaining as majority Malaysian owned company while Proton losing its Malaysian control and authority to China.
3.7 million unsafe cars, not surprised why our accident and death rates is touching nearly 3.7 million. Coincidence? No, definite correlations.
no wonder perodua cars are gerting lousy in quality
Err they were never good to begin with.
Well done Perodua, I think it’s all started since 1st model of Myvi they win MY people hearts, and they took a great care of that trust. I for one fell for that, bought and keep one of their car, with a good after sale service. Though I find more value in a comfort & good handling car make me prefer to drive other brands more often.
On ontop of that they build the safest sedan in the world with it’s outstanding “no acceleration / no top speed” technology. Hail to P2!
Where is Nautica?
Perodua unfortunate model, wrong timing, wrong pricing, hard lesson for them. Only a few hundreds sold, where you’re lucky enough to even spot one on the road. Guess it was a nightmare for them to even include the Nautica into the charts.
Perodua contribute to the Economy. We are proud of you. At least you don’t have to gadai your company to Chima
Dirty BN want to try backdoor entry to rule the country but failed. Thanks to honest people who run the country and great companies like Perodua who employ great people, Malaysia will always be great
Please stop with the unnecessary and irrelevant political comments. These has nothing to do with AUTOMOTIVE AT ALL.
Still trying to blame others for your failures eh PH? Dah mampus lagi tak serik2 buat bodoh lagi. This is why your can’t fxxking last half a term! Your have been overpromising but badly underdelivered and eventually collapsed from the pressure. It is like a blackhole sucking all the privileges and spoils that comes with power but your gave nothing back. When the pressure was too great your collapsed on yourselves. Well done PH! I hope your learnt your lessons this time not to lie to the rakyat just for our votes and take us as fools. I hope the rakyat gives your all telur for your all to remember forever.
Mod please filter out these comments. TQ
Well done Perodua!
Jepunis fanboys will say that car never existed in their reality. You can add in Rusa too. Remember that?
Nautica is fully import from JDM, only the chrome painted plastic Perodua badge is local contain.
Nautically lost at sea.
Well done Perodua. Hard work pays off. The rakyat will continue to support you
Mamak invited foreign manufacture to built car in Malaysia but none are interested as in 80s a imported car is cheaper than local assembly CKD due lower volumn. Without special status of national car for tax benefit and government initiative, none of them would built car in Malaysia. And slowly increase tax for imported car till they finally willing to CKD atleast half of their line-up in Malaysia.
Dependable, spacious and fuel saving.
Perodua, asean hub. We count on you.
You’ve just described a bus.
But none of their cars can be considered a national car, or locally developed, or something we can be proud that we had achieved. In truth, there is nothing about Perodua we can take pride.
Selling 3.7mil cars only tells us they sold 3.7mil unsafe deathtraps and the leading causes of road accidents and fatalities involving cars. You are guaranteed instant death in a major collision being inside any Perodua car.
Proton is a rebadger. From Mitsubishi to China cars now. Nothing to be proud off too
But at least P2 make money.
Fake Alan so obviously just came out from a cave after hiding inside for 20 years and didn’t notice Proton own car development from Waja until new Persona.
you are right, until persona only. after that, no more. so proton the national car maker actually ceased to exist in 2017. afterwards it’s just a rebadger with very low local content use. and then still dare call themselves national car. whoever becomes PM8 must make this right and stop any special treatment given to proton seeing that it benefits china more than malaysia.
What special treatment? Proton no longer has any protectionism since 2010. You should ask Perodua why they still asking for protectionism.
This is why sales are always 4X more than PRoton. I rather believe sales figures than some frustrated paid keyboard warrior from Proton
We bilip you john, just like we bilip you yesterday that there was new coalition.
Would love to know the percentage of local parts of the Russ and Kembara
“It’s clear that as the Malaysian market leader grows, the local automotive ecosystem, and the country itself, benefits along the way. It’s symbiotic.”
This is why perodua is the true and only malaysian carmaker. like some carmaker who since recently simply rebadges china cars and sources most of the parts from mainland china. yet, it still got the national car status and enjoys protectionism. mind-boggling!
The leading causes of road accidents and fatalities involving cars is usually sitting right behind a steering wheel.
Take pride of them organizing a sleek production process.
It’s easy to design a prototype, but incredibly complicated going into mass production.
Something you will be reminded of with that new ‘national car project’.
Or the heck, just look at the history of Proton.
oh please. the standards used to be higher when proton was around since they developed and manufactured all cars locally. but since proton died in 2017, no one can call themselves national car no more. closest is perodua who makes cars with 95% local content. so yeah agreed with you partly.
I liked perodua cars. But, it would be nice if they use high stencil steel like proton car for better safety and rigid body
Price wins everything after all.
Just be rational here. Most of the people pick P2 over japanese car is because of the pricing. Try to ask who still pick Myvi if you have the budget to buy jazz or yaris.