According to a report, Perodua is expected to obtain permission soon from the government to build cars with an engine capacity larger than 1.5 litres, which it has up to now been unable to do under the limitations tabled in the original arrangement between the government and the company when it was set up in 1993.

The ongoing arrangement dictates that Perodua is only allowed to produce compact cars with an engine capacity of under 1.5 litres. The NST report quotes an unnamed source, who said that the existing arrangement was being reviewed as part of the revision of the National Automotive Policy (NAP).

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The source said that if the revised agreement yields positive results, Perodua will be able to begin assembling and producing cars with engine capacities ranging from 1.6 litres to 1.8 litres, effectively marking the beginning of the company’s venture in the sedan segment, the report adds.

The source also hinted that the new models with larger engine capacity would probably be prototyped along the lines of the Bezza concept, which made its debut at the Kuala Lumpur International Motor Show in 2010 as a show car.

He added that the introduction of new cars in the segment can be seen as a logical step and consistent with the increased demand for sedan choices among first-time car buyers in the country, but added that the company would not be reducing its focus on the production of compact cars.

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