During the signing ceremony of the Proton-Geely deal, the national carmaker also took the time to list out what it can offer in the partnership.
Proton said that with its long-established presence in Malaysia, it has an immediate market share in the affordable passenger car segment. The new Saga is a good example of this, and with new products (like an SUV) in the pipeline, this market share could see further improvement.
Geely will also be able to benefit from Proton’s in-house R&D division, which has the capability and technology to develop new models from the ground-up. Proton’s previous ownership of Lotus also brings with it knowledge on lightweight technology and engineering.
An expanded model line-up will also provide the company with an opportunity to expand its production capacity. With enough scale, Geely can capitalise on Proton’s production capabilities to make Malaysia a competitive base for ASEAN, with the option of accessing Middle East and North Africa (MENA) markets.
On the other hand, Proton is seeking to increase its production capacity in line resulting from an immediate volume enhancement, with this partnership. This can come by leveraging on Geely’s network, allowing it to penetrate new markets.
As mentioned earlier, new products will be key to these efforts, and Geely’s technological knowledge should help in this aspect. Backed by its foreign strategic partner’s experience in distribution and aftersales, Proton will want consumers to restore their confidence in the brand.
