Volkswagen to hold back brand acquisitions, no interest in buying Proton, CEO says

Volkswagen to hold back brand acquisitions, no interest in buying Proton, CEO saysGerman daily Handelsblatt has quoted Volkswagen AG CEO Martin Winterkorn as saying that the company, now the world’s second-largest carmaker, will take a break from buying up new brands for now, instead focusing its efforts on integration. Winterkorn has also ruled out the acquisition of Proton, despite the company’s desire to gain traction in South East Asia.

“This doesn’t mean that we are planning to buy Proton in Malaysia, as some have speculated,” he said. “At the moment we are busy enough getting our 12 brands to where we’d like to be in 2018, which is the global number one carmaker. The integration of utility vehicles is going to cost us plenty of energy, and the sports car division is just as demanding.”

This follows a recent report of VW’s labour chief saying its labour representatives would not back any more acquisitions. The company’s intentions are thus pretty clear.

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Jonathan James Tan

While most dream of the future, Jonathan Tan dreams of the past, although he's never been there. Fantasises much too often about cruising down Treacher Road (Jalan Sultan Ismail) in a Triumph Stag that actually works, and hopes this stint here will snap him back to present reality.

 

Comments

  • Expatriate VN on Sep 03, 2012 at 11:35 am

    At all time, including thru out previous talks, VW never interested in Jaguh Kampung P1 brand, they only interested in acquiring Tg Malim plant for their SEA expansion!

    Only P1 think their brand is sought over by VW, and as usual still think they can “jual-Mahal”!!!!!

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    • _xXx_ on Sep 03, 2012 at 12:45 pm

      I mentioned b4, it even fails to be a Jaguh in its own kampung. Tempat ke-2 dua je….w/o protection, last laa I ingat…

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  • They just want the facilities. Not the brand. Nobody replacing a Toyota or VW or even a China made Cherry logo with a Proton.

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  • janab on Sep 03, 2012 at 12:51 pm

    proton learn from at least from KIA/HYUNDAI as how they penetrate US market as they hire QUALIFIED RELEVANT EXPERTS from Germany and other countries.
    in order to get success focus on
    BUILT IN QUALITY OF CAR,
    ENGINES(PETROL/DIESEL)(TURBO AND SUPER CHARGE ENGINES) AND GEAR BOX HIGHLY ADVANCE GEAR SHIFT RATIOS WITH MULTIPLE ENGINE N GEAR BOX CHOICES
    HYBRID/ELECTRIC CARS
    R&D is critical in above mentioned some issues.
    Hired QUALIFIED PROFESSIONALS FROM OVERSEES in this regard.
    Then export to all over world.
    And the chances for Proton to do above mentioned things are BLEAK BEZ
    “”IF THERE IS NO WILL THERE IS NO WAY””
    proton R&D staff when attend last time QA/QC 2 days highly interactive workshop costs RM 3688/ delegate and speaker/trainer was from EX BMW advisor for QA/QC and that time Proton QA/QC one delegate call the organizers of that workshop and inquire about MUNUE for Breakfast/and lunch and give advises to us of put more dishes for lunch.
    so u guys imagine what type of shit people working for Proton.dam disgusting and embarrassing.

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    • kerelbort on Sep 03, 2012 at 4:59 pm

      why R&D staff go for QA/QC session? shouldn’t it be QA/QC staff to go for that session?

      Something amiss..

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    • RedBeanBun on Sep 04, 2012 at 7:40 am

      what QC we talked about when the Power Windows only take recently year to fix it…wait, that guy is alrady gone…see, the Power Windows supplier to Power….whoever rectified it no longer there!! *duh*!

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  • Janji da 3rd Parti on Sep 03, 2012 at 12:56 pm

    Proton,

    Can’t you see ? People are already SO SICK of you, not only the Rakyat, but Foreign Investors as well.

    Why oh why are you still around, being such a such a thorn on everyones butt ?? You have had your hey days for the last 30 years, if you are not performing or can’t even find a JV partner, THERE IS ALWAYS THE EXIT DOOR FOR HEAVEN SAKE!!

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    • Exit? No way. DRB just spent so much acquiring Proton, they will obviously continue to milk the rakyat to the last possible moment.

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    • logical on Sep 03, 2012 at 7:56 pm

      Well why the hate for proton only? I guess we should give equal hate to the cut & paste national car company Perodua? Perodua only does a minor bumper and facelift job from Daihatsu models and people praise it like its the best and all is forgiven?

      Sometime i just dont get the blatant hate to Proton and while forgetting Perodua. At least with Proton we do get *something* no matter how small back in term of R&D and cash flowing back into Malaysia but with perodua R&D entah ke mana, duit dapat ke Jepun and our local engineers only know how to design new bumpers only.

      Perodua have had a JV ‘partner'(more like it is owned by a Japanese company) for 19 years but the benefit it pours back in term of new technology is almost zero to none. They dont even need to think or do R&D on what car to produce next. Just wait for new model from Daihatsu to rebadge and enjoy the success in Malaysia.

      In this aspect i respect Proton more than Perodua. Dont get me started on Naza…

      -cheers my RM1.80 milo ais is so expensive

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      • tungguuu on Sep 03, 2012 at 11:16 pm

        because bro, we care for reliable cars, we dont worry bout R&D and try to be the first islamic nation to build car and so on n bla n bla bla…ego in a company wont get u anywhere. perodua came in n tapped the market. they know how to produce make n sell cars people want. nothing personal. its just business. get it?

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      • RedBeanBun on Sep 04, 2012 at 7:38 am

        money back to Cronies!! not Malaysian public! What R&D so far? in the name of R&D has conned Gov money (tax payer money) for years! should bave used that money to build public transport!

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      • What we want is a reliable product, Not the process of building the product. You can spend a fortune building a product but if it sucks, it sucks.
        No wonder Proton still don’t learn anything.

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      • tokmoh on Sep 04, 2012 at 11:45 am

        Because it all started from the formation of Proton.

        If Proton never exist, we are probably the Detroit of Asia, and prices of cars in Malaysia probably closer to car prices in Thailand ie cheaper due to need of high tax to protect Proton.

        Perodua is the necessary evil Proton needs. Proton has a lot of homeworks to be done if they can’t even beat Perodua’s shortcut business model.

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      • logical on Sep 05, 2012 at 12:19 am

        Talking about reliability, I have always been a firm believer that reliability and dependability is directly proportional to the effort you put into maintaining the car.

        I should know because I have got the chance to live with 2 proton cars for a number of years(a wira and a waja). I can testify that these 2 cars have been trouble free except for the compulsory changing of the wear and tear item. Well there is one case of the wira power window failure a few years ago and one of the waja power window did manage to fail some time ago too. I guess i cant really say that im that lucky. lol

        Now im driving a second hand continental car and it is really MUCH less reliable that the 2 Proton cars. the total costs of money spent in fixing the car in my 2 years of ownership has been near to 20k. Maybe the previous owner did not put in as much love in maintaining the car as i have put in my previous cars? Thats why i believe that if you treat you car well then definitely they will reward you back.

        Ok enough ranting. Regarding the economic gain that Proton has contributed to Malaysia, i think we should really see it in a bigger picture. I agree that without Proton, we would have been able to enjoy cheaper cars and whatnot. But you have to remember that even if proton did not exist, we cant really sure that the foreign car makers would want to set their factories here, maybe we would be just like another singapore where we are just the consumer of the products and not where they would want to invest.

        At least with Proton in the picture, Malaysia have had the chance to increase our manufacturing and industrial capabilities. Could you even imagine that a young nation with no capabilities whatsoever 50 years ago now have the capabilities to produce something as complex as a car?

        And the industrial gain that we got from Proton also affects others manufacturing sectors. Now we can see that Malaysia have the capabilities for producing automotive parts, have the know how to produce safety equipments, and the list goes on. its not even a secret that the same Proton vendors that we have been loathing all these while area also the vendors to the much loved japanese car maker.

        Well I do believe that Proton is one of the catalyst for our manufacturing industry to boom. and for that we should be teeny weeny grateful.

        Thats enough ranting for tonight and to whomever that read this i really do salute you guys. You really need to have a lot of free time to read some random dude ranting on the internet. lol

        -Cheers my RM 4.50 Coconut Milkshake taste so good..mmmm

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  • matlimmutu on Sep 03, 2012 at 12:57 pm

    i cannot see much preve on the road… why is that?

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    • Mario Gomez on Sep 03, 2012 at 2:51 pm

      I never see preve on the road??

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    • spyshotX on Sep 03, 2012 at 3:38 pm

      with that kind of price i don’t see any logical reason why preve should crowd the road like viva/myvi/saga/persona..

      even the lowest spec is priced near to new myvi, still it would not help in sales volume coz lot of ppl only reccomend the cfe version as it is more value-for-money..

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    • kelvin on Sep 04, 2012 at 4:38 pm

      Because it is Proton, Malaysian made for Malaysian, but sell expensively to Malaysian, just to songlap we poor Malaysian hard earn money to pay 9 years for a crap. We are given expensive poor quality car, poor public transport, and more toll to jam us to work and home. What?! Are Malaysian not waking up yet?

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  • kiddo on Sep 03, 2012 at 1:03 pm

    since when VW is the world’s second-largest carmaker? Isn’t GM still holding to its position?

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  • napster on Sep 03, 2012 at 1:07 pm

    Like I said in a related post, VW isn’t stupid. All they need is a ready factory. Soon enough, PROTON will be cheaper, lock stock and barrel.

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  • scoobydoo on Sep 03, 2012 at 1:42 pm

    soon vw will have a plant in thailand or indonesia…rather than in malaysia ^^

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  • ben yap on Sep 03, 2012 at 1:43 pm

    If Dany Bahar goes and work in VW, he gonna sack all proton goons. Hahahahaha….

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  • There’s goes opportunities…

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  • PROTON? kah kah kah

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  • Josh Ling on Sep 03, 2012 at 4:28 pm

    it’s good that VW halted its process of acquisition at the moment, or else i think the top management will have some serious work cut out for them….trying to imagine the product planning and positioning alone is enough to make me pening kepala sudah……

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  • abdul123 on Sep 03, 2012 at 4:32 pm

    Proton. A fail experiment by Dr M. at expense of
    Malaysians.

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    • kelvin on Sep 04, 2012 at 4:43 pm

      While he is driving luxury hyrid, and his son even superb to own the super luxury sport car.

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  • NissanCra2y on Sep 03, 2012 at 6:17 pm

    VW Car? peice of Crap car! cant even get top 3 in US and China!

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  • b sensible on Sep 03, 2012 at 9:30 pm

    need not be so thick face…window of opportunities to assembly car on vw behalf…since we already hv the expertise…even penetrating the asean market!!!

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  • go-all-the-way on Sep 04, 2012 at 12:26 am

    Right move VW, you won’t regret! plenty of good choice out there.

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  • junaidi on Sep 04, 2012 at 2:30 am

    Time for DRB to revamp Proton and look for
    a new partner instead of pinning too much hope on VW
    for a revival.
    Perhaps its time to go back to its roots and start
    a new chapter/romance with Mitsu once again.
    Without a doubt Proton will definately win back
    its supporters. Offering Mitsu an equity stake and
    boardroom position would be the best way forward.
    Let bygones be bygones. Time to shape up or ship out !!

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  • RedBeanBun on Sep 04, 2012 at 7:34 am

    Syed will be pissed at Ah J since when they broker the deal, it will be obvious that Protong is aiming to be sold to VWW and making instant profit..and I believe this is out of Ah J and Syed’s plan…they never plan to run a Protong in the first place, and with that, there will be no lights that car price will be drop since Cronies Syed will not allowed that to happened. Like the motorbike company change hand and earn billions, sugar license changed hand and hike price to earned millions, this was the initial intention of Ah J and Syed, but too bad VW hold back. More stay tune..I am not suprice Protong car raise price for more cashing out faster…

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    • _xXx_ on Sep 04, 2012 at 2:19 pm

      They cannot suka2 up else x laku They will probably ask daddy to up price of other cars 1st…

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    • kelvin on Sep 04, 2012 at 4:46 pm

      Still raising proton car price. It is already a junk with the price right now.

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  • EddySurianto on Sep 07, 2012 at 4:11 pm

    VW say:”If I buy proton,I will potong myself too!!”

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  • Preve? I spit on its name.. One of my fren bought d so call international level car. High spec with start button. D funny thing is tat when he press d button to start. Instead of starting d engine, d button went inside d socket. Ask proton they say sorry but have to charge my friend for that button. C’mon la, even start button they cant manage well, building a car? Another 100 years will still be d same. Without proton, car price is lower, rakyat have more money to invest on other aspect. Stupid BN.

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