More developments on Malaysia-China automotive industry relations. Previously there were rumours on Proton’s involvement with Jinhua Youngman and Chery. Jinhua Youngman was believed to have entered a deal with Proton to assemble Proton CKD kits in China and rebadge them as Jinhua cars.

Now there is news on talks between Proton and Chery Automotive Co Ltd for a two-way partnership which would allow Proton cars to be assembled for the growing Chinese market, as well as providing Chery a base for automotive assembly here in Malaysia. While Proton and Chery officials did not comment much on talks, word is that talks have advanced to a relatively advanced stage although no final agreement has been reached yet.

The outcome of this would likely be Proton CKD kits assembled at Chery facilities for the Chinese market, and Chery CKD kits assembled at Proton’s facilities for the Malaysian market. But I wonder what of the NAP ruling regarding selling assembling capacity to 3rd party manufacturers.