Archive for Local News

UPDATE: The CM8 has been launched in Malaysia as the Chana Era CM8, the cheapest 7-seater in Malaysia with a price tag starting from under RM40k.

ChangAn Auto Group, based in Chongqing, China has completed negotiations with a Malaysian company to build it’s ChangAn CM8 here in Malaysia. An agreement was signed this week on investing and building an assembly plant for the vehicle. ChangAn Auto is the fourth-largest producer of automobiles in China as of 2005.

Click here to read the rest of ChangAn CM8 assembled in Malaysia

Mitsubishi Motors Malaysia Sdn Bhd (joint venture betweeen Mitsubishi Japan 52% and EON 48%) is in talks with Proton Holdings Bhd and Sime Darby Bhd, among a few other car manufacturers on the possibility of assembling Mitsubishi cars locally.

Currently Mitsubishi models like the Mitsubishi Lancer sedan are CBU models, fully imported, thus having to pay hefty CBU taxes. Mitsubishi Motors Malaysia officials have said they are waiting for the full details of the National Automotive Policy to be announced before deciding which models to assemble locally.

Source: The Edge

I found this article on the National Economic Action Council’s website on why the oil prices have been increasing and why the government cannot continue subsidising our fuel, as well as why Petronas cannot take up responsibility to use it’s profits to subsidise fuel. What do you think? Article is after the jump.

Click here to read the rest of Oil Prices And Subsidies (An Explanation)

Dr. M has spoken up again on the issue of his brainchild Proton’s recent two quarterly losses in a row.

“I am surprised that a company which was doing well suddenly reports losses (RM158 million pre-tax loss). It is difficult to believe that it was because they purchased (motorcycle manufacturer) Agusta. If Agusta had debts, then the purchase price would have been lower. Why did Proton buy it for a higher price? There must be a mystery here and we have to get to the bottom of it. But as I have said before, be prepared for more bad news from Proton.”

I’m not sure if Dr. M really knows what goes on in the directors meeting room at Proton, and he himself has said as an Advisor he is usually only consulted after making management decisions and not before. So we don’t really know if his statements carry any weight. Let’s wait and see.

Source: Bernama

Proton Managing Director Syed Zainal Abidin Syed Mohd Tahir gave some insights on his first steps to turn around loss-making Proton when his appointment as Proton MD takes effect on January 1 2006 for a 3-year period contract.

Syed Zainal had this to say:

“I believe in Proton with a passion and it is this passion that will drive us to make a greater push into selected export markets, while at home we will work doubly hard to defend Protons standing in the domestic market as Malaysias number one brand. We cannot be complacent like what we have done before. We really have to rejuvenate and go forward, and that means a lot of hard work. The basic housekeeping must be done. We have to have teamwork and be transparent.”

Click here to read the rest of Team Proton mindset overhaul

An announcement from Peter for Perodua Kembara owners. Should be quite fun to have a get-together for the family.

Click here to read the rest of Jom Kembara adventure 2005, Sungkai

If you surf to UMW Toyota’s Toyota Vios website, you will see that the new facelifted Toyota Vios is now available for sale. The updated prices are RM88,880.00 for the 1.5G high spec model, and RM81,033.00 for the 1.5E base model. A very minimal increase. If I’m not mistaken, the previous prices were RM87,491.74 for the 1.5G and RM79,800.00 for the 1.5E.

For more details on the new facelifted Toyota Vios, check out my previous coverage of the new facelifted Toyota Vios launch in Taiwan. I will post updates on differences between the new and old model once I obtain this information.

Proton has named the successor to Tengku Mahaleel. With the title of Managing Director, Syed Zainal Abidin Tahir, 43 years old this year, will take over the helm of Proton and steer it into the AFTA era. Syed Zainal is currently executive director of Perodua’s manufacturing arm.

Other management changes would be Datuk Kisai Rahmat being appointed executive director of Proton’s engineering and manufacturing division. Two other key management positions – head of sales and marketing, and head of strategy and corporate services have yet to be filled.

Click here to read the rest of Proton new head – Syed Zainal Abidin Tahir

Proton Holdings Bhd may post a second quarter loss of RM700 million due to MV Agusta, it’s unprofitable motorcycle unit. It previously posted a first quarter loss of RM 12.4 million, and attributed those to increased allowance for bad debts.

An industry source mentioned the red ink from MV Agusta’s books has spread to Proton’s. Proton will likely have to make some hard decisions involving cutting losses, and dumping MV Agusta.

A report by the Malay Mail last week had already given us some hints on this loss cutting exercise.

Source

Perodua Sales Sdn Bhd hopes to cut down the waiting list time for its vehicles to two to three months from the current five months by Q2 2006.

Perodua currently produces 280-300 cars a day on average and 5000-6000 cars a month. On whether Perodua will be coming up with a new model next year, the company says more market studies would have to be made first before anything can become solid. Maybe a Kancil Replacement Model?

Perodua Marketing & sales division senior general manager Mohamad Shukor Ibrahim said Perodua could not see any impact to it’s sales by the Proton Savvy AMT yet.

Source: Bernama