The online business daily with more little birds than you can ever imagine The Edge Daily – has a report quoting unnamed sources that the Malaysian government has given the go ahead on giving foreign parties 51% control in Proton’s manufacturing arm, with the keyword here being control. The online daily also reported that talks with Volkswagen AG have resumed as of last month. Proton is also in talks with two other companies – PSA Peugeot Citroen of France and Chery of China.
The potential arrangement between Proton and it’s foreign partner would be similiar to Perodua’s setup with Daihatsu, with distribution under local control but manufacturing under the foreign partner’s control.
With the government having finally realising that pride cannot get into the way of doing business properly, the question is now – is it too late?
Related Readings:
Proton to produce MPV and SUV with Chery
Proton and PSA Peugeot Citroen sign letter of intent
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AI-generated Summary ✨
Comments generally express cautious optimism about the government allowing foreign control in Proton, with many hoping it will improve car quality, innovation, and global competitiveness. There is hope that USA involvement, particularly VW, could turn Proton into a stronger regional player akin to Skoda, bringing better models and technology. However, some skeptics worry about loss of national pride, management control, and the potential for profit to benefit foreign entities more than Malaysians. Discussions also highlight the need for Proton to focus on R&D, quality, and strategic partnerships rather than mere rebadging. Overall, sentiments tilt towards approval if the move results in better products and industry growth, tempered by concerns over losing control and the country’s automotive independence.