Recent news of prime minister Tun Dr Mahathir Mohamad saying that Malaysia has aspirations to start a new national car project attracted a fair bit of attention from the public. Now, the premier has revealed a bit more information about the suggested project in an interview with Nikkei Asian Review.
In a previous report, Mahathir stated that Proton was no longer a national car brand after it was sold to the Chinese. In June 2017, Zhejiang Geely (ZGH) acquired a 49.9% stake in the national carmaker from DRB-Hicom following the signing of a definitive agreement, which was followed by some corporate restructuring.
During the interview, Mahathir was asked if he would consider buying back the carmaker’s shares sold to the Chinese, to which he replied, “actually Malaysia still has the majority share of 51% (actually 50.1%). I don’t know what the agreement is reached between the buyer and seller. We had hoped that we would be able to market the car in China.”
“But the company believes that Malaysia (can) produce only a right-hand drive car and it should confine itself to the right-hand drive market, which means we have no access to the huge market in China. That will limit our growth. We hope, of course, to be able to produce a new car which will conform to the Euro 5 or Euro 6 emission standards, so that we can have access to the world market, even if we cannot penetrate China,” he added.
Geely had earlier stated that the Proton brand would be expanded and possibly be used for ASEAN exports, with Malaysia being its right-hand drive hub.
Focusing on the proposed new national car project, Mahathir said such a company would be different and would look to Japan for some cooperation initially. “Like the first national car (brand), which started with only 18% local content (and cooperation from) Mitsubishi Motor, we were able to master the whole process of building the car, from design to clay-model and test car,” he explained.
“Today, modern technology is based more on sensors and other things. We need to acquire that also. But initially, we want just to build a car first for the Malaysian market, and then for the world market,” he added.
Do you agree with Tun Mahathir’s comments? Is a new national car project something that we need? Share your thoughts in the comments below.
Don’t waste money please.
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“Malaysia can export more cars to the world”. Hahahahahaha. To where pls elaborate.
Believe in local can compete internationally.
https://paultan.org/2017/03/08/proton-can-compete-internationally-but-needs-a-foreign-strategic-partner-to-do-so-says-think-tank/
local spareparts vendors will rejoice!!
Why we always look down on ourselves ? Why local cannot compete internationally ? It’s all in the mindset and attitude? With such a negative attitude, forever Malaysia remains a substandard nation. Tun has a great vision, but the people of Malaysia just cannot follow his pace. He has not revealed any detail yet and it’s a future planning, yet people start to bombast high and low. Well, this is the typical Malaysian style – complaint, complaint and complaint but when asked for concrete suggestions – NOTHING AT ALL! May be we all haven’t walk out of the Bang-the-Government-Syndrome yet!
Wake up buddy. Sometimes it is good to know that failing over and over doing the same thing is insane. Another japanese rebadge national car? Mitsubishi again….unbelievably astonishing.
Right. See korean car, they used to be nothing but now, wow, their cars are quite remarkable now.
we r not ready for p3 yet! p1 almost kelos shop but saved by rich china,,p2 now waiting for umw takeover after putus with p1..but for another brand lets say p3? thats when malaYsia bankrupt! ooo wai!
Many countries or regions like african and middle east. You think the world is big like your palm…please wake up bro
Malaysia car expensive is because of tax…
No thanks, cheap cars = more traffic jam!
WHAT THE HACKS. imported cars are cheap w/o higher excise duty and import tax.
Hi macai, can see your sarcasm, nice one. I believe you were being sarcastic right.
I agree with most of the things the new government has embarked on.
However i feel like this proposal is Tun’s personal agenda with personal pride and legacy in mind.
Please tun, listen to the people’s voice.
Rather than setting up a new company, push for local market dominance, then try to penetrate foreign market. How much more protectionism and money needed to be pumped just for this?
If really want a proud national car brand, there is the already successful Perodua. Already dominating local market providing affordable cars.
Help them do more technical partnerships, then push them for foreign market.
Isnt that a better way?
You are right. For 30 years, 30 million Malaysians have been suffering with high 9 year car loans.
In other countries, buying a car is a small matter. But in Malaysia, most people use 1/3 or 1/2 of their salary to pay for their cars.
We have suffered so much because of Proton and because of the protectionism given to Proton.
By right, if Proton was not born, today, the Toyota Corolla Altis should be about RM60k at the most, and not RM139k
Who suffers? The rakyat suffers the most.
And to add salt to injury, the profits and tax Proton paid to the Government the past 30 years actually is ZERO. Cause the past 30 years, our Government has pumped back over RM20 billion to bail out Proton.
So whatever corporate tax Proton paid to the Government is, in actual fact, ZERO
So, we Malaysians just suffered with high car prices, high 9 year loans and deprived our families of better food, better education for our kids and better healthcare for our families…..just to pay our high car loans.
kunta2 still want to pusing2..for what?
yes kzm, we bilip you. Yawn
Yes, the no balls pirate who hijacked my nick. We bilip you. Yeah right.
No need for new car make. Just heal Proton…..after all we still own 51%. So whatever profits, we still get 51% untung. (unless Jib signed something sneaky with Geely which gives us no control and less profits)
Proton’s biggest problem of failure was all its vendors and suppliers were cronies of UMNO or UMNO Heads themselves
They overcharged Proton by 10X and gave Proton super low quality parts.
This is why Proton got a bad name. Actually Proton is a good car. Just that these greedy vendors and suppliers busuk Proton’s name kaw kaw by giving low quality parts at super high prices.
Once you get rid of all the UMNO heads and kronies who make up all the vendors and suppliers, then you will see Proton shine like a bright star!!!
No need rocket science to figure this out. Proton, like all other projects in Malaysia, was to make big money for cronies and UMNO.
If you follow the NEW Malaysia principle, you can save hundreds of BILLIONS of Ringgit if you check on corruption and the award of contracts to kronies
Let us work with Geely. Proton is still a Malaysian car. We still own 51%.
Also open investigation and see why we don’t have full 51% control over Proton. In company law, if you own 51%, you control the company.
Macam pernah dengar je. How did the last Proton project end up?
if new national car sales no good , for sure our Press Conference minister LGE , will blame ex PM & as a rakyat Malaysia already sick about this , please improve public transport same as Japan
From your perspective point, I do agree with you. Tun has his vision and I respect him too. Unfortunately, due to the mismanagement of the Proton and sad to say Malaysian were disheartened to consider getting Protons but rather prefer export cars or even Perodua now. This is the fact which it can be seen on the road, where the population of Perodua and exported cars are significantly larger than Proton these years.
To start a new national car project will need someone to commit their life wholeheartedly with genuine confidence and very strong determination to complete the project. Besides that an intensive research on the market trend (local & overseas), consumers’ behavior, latest automobile technology, as well as truth finding and learning the mistake from the past are a lengthy and bitter process which the executors really got to bite the bullet to pull through, and that could take years. Last but not least which is also the vital part – strong and solid well-trained workforce (from the top management to production workers) has to develop and inculcate the right and positive mentality with inspired morale into this workforce.
Current batch of Proton cars suck. High maintenance cost. Major problem with turbo, engine & cvt gearbox. That’s the reason buyers stay away from Proton.
Thousand apologies, thx but no thx Tun… ekceli we are vely satisfy with Proton products. We sapot MY national car pioneer which is alwiz P1.
Poor Proton. PH Government must investigate what happened to Proton’s Shah Alam land worth RM5 billion. The land had a Gross Development Value of RM15 billion.
Now, the land no more in Proton’s hands.
I hope PH Government can investigate what happened. It is unfair that Proton has lost one of its assets costing RM5 billion just because there was unfair practices.
Get back that land and at least Proton can use the RM5 billion to restore itself to health
how could DRB GLC took away Proton’s crown jewel Shah Alam land worth RM5 billion. Utter robbery!
A BIG NO NO !!!
Instead of a need for a new car maker, better to reduce car prices. That is more important.
Malaysia has the most expensive car prices in the world. Why is this so? Very simple. We protected Proton by increasing all other car prices substantially.
In the late 80s, precisely in 1989, one could buy a brand new Toyota Corolla for RM20k. now, the same Toyota Corolla in Malaysia (called Altis) cost RM139k. A whopping 700% price increase.
But in Japan, the same Toyota Corolla from 1989 to 2018 has only gone up 50% in price
Again to re-emphasise, in Malaysia, the above car from 1989 to 2018 has gone up from RM20k to RM139k (700%)
We can thank all the price increase to Proton. All car prices went up 700% just to protect Proton.
So you figure out. In Japan, the car has gone up 50% in 28 years but in Malaysia, the same car has gone up 700%
Since the inception of Proton, Malaysians have overpaid by over RM300 billion for our cars. This figure is based on current prices vs the price we were supposed to pay if Proton was never born.
Why waste the rakyat’s money? Why now have another local car and waste the rakyat’s money further?
Hopeless. No cure. Prepare to lose your vote if you still insist a new national car project.
MY mudah lupa lor. 5 years later u all wun remember this and continue to suck up their propaganda. Nothings changed.
Come on la. PT is an autoblog for goat’s sake..
O rly? Why not you tell it to the PH troll above?
“The more things change, the more they stay the same”
“Nothings changed” – john
Correcto, bro. Semacam change but just pusing pusing spinning around at the same spot. Talk about change, make it look like change, but nothings really changed.
Oil producing country give own rakyat Euro 2 Ron95 to use. Really maju 2025.
Listen to your rakyat:
Let the fuel prices to follow the market and stop subsidizing billions ringgit on fuel prices, in return of abolishing the excise duty and tax on all cars!
A us$50k Tesla cost rm500k in bolehland.
It’s time for your beloved Malaysians to get a piece of their lifes
What the f is he on? No Tun, NO. With 1t debt, why would you waste money on another proton? Who is the idiot advising him on this? Or is it that someone needed a bailout?
Please don’t , much better improve public transport than built another national car , wasting money , please listen the voters voice before PH loose in PRU15
PH Anwar will improve public transport , Inikalilah
Hell no to Proton 2.0. National car automotive industry didn’t work out and please just admit the defeat and move on. Geely buying into Proton is a good thing. Geely will do what Tony Fernandes did to AirAsia. Turning a loss making company into an icon. Please just throw the support behind Proton-Geely. As we can see already Geely management has made tremendous changes to Proton. In time, Proton Geely will become the No 1 car in South East Asia. Let’s be real here, the Chinese are so successful these days because they are able to bring high quality technology at a fraction of the price. Geely is able to bring high tech Volvo technology at Proton price. The other car makers in SEA should be worried, certainly not us.
No offense to Tun, Proton for the past 30 years has been nothing but a gigantic burden to the people of Malaysia. Please do not make us relive that 30 years of torment again.
Burden if you try to buy jepunis car that you cannot afford with your ciput, biar papa asal gaya
Dear Tun,
Your first National Car Project has cost us much, both in terms of burden we have to shoulder in order to own a car (7-9 years loan to own a normal Japanese sedan is unheard of in any Developed country) and also opportunity to attract car manufacturers to setup factories (Thailand has become Detroit of Asean, attracting Billions in USD).
Please abolished the high taxes imposed and highly protective policies on automotive industry. Then make the new National Car Company compete on same playing ground. Set the foundation right so this new project can start on the right foot.
How i wish PAULTAN write a blog on history of Protectionism in Automotive Policy between Malaysia, Thailand, South Korea & Indonesia.
Only if the new project focuses on 100% EV vehicles. Otherwise please don’t bother.
Tesla alredi in big trouble wei
Even if the japs invest in this car project, i doubt it will ever penetrate any market significantly apart from Malaysia
Bapak shud quickly come out with P3 suv to counter tongsan boyue. Then he can cement his legacy when 100k pipu buys his P3 suv and kasi telur to boyue. Hidup Bapak! Hidup P3!
Shocking decision by our PM. Do we really need more cars on the road?. Priority please.
Another Proton for 2025? Keep skin lar. Pui
Proton 2.0 will cost Malaysians like 1MDB!
Must be a fetish of his to own a national car company
“Must be a fetish of his to own a national car company” –> Best comment here
His motto ” If u dun succeed to ****, then try again” where
**** is become emperor again, make sons become trilionaires, continue his legacy again, make fools of rakyat, setup another national car project, maybe soon have a bigger tower than PNB118. Make that 2 towers.
What u can do is,
Only make electric car.
And since u have the power to do everything now, i believe u can control the number of location of charging stations. Make at much as possible.
And also, set a date, to stop other car makers including proton for selling of combustion engine car.
Then u make the call.
Imported cars are cheap enough for poor people if the government do away with the unfair tax & MITI controlling the minimum selling price. Local automotive players must start producing compatible parts for all brands of cars as this will ensure their survival since it can be exported overseas. The rakyat no longer wants cheap & low quality cars sold at high prices. We want quality cars sold at close to open market prices. The rakyat is not stupid.
Absolutely disagree with him!!!
He is going to tarnish his legacy because the rakyat will suffer.
I think its time for Anwar to come on board.
No, please don’t do it
It’s insane to do it
People and Tun M should stop talking about car manufacturing since they are not experts. Car manufacturing is NOT a high-tech industry. Sheet metal pressing and ICE engine manufacture is 100-year-old tech that has progressed little beyond VVT and friction reduction within engine components. For a comparison, look at the progression of CPU size and speed in the past 100 years. That is progress that my smartphone is faster and more powerful than my PC from 5 years ago. Making a Dyson vacuum cleaner involves more technology than making a car.
Best comment ever since the EARTH IS BORN !!!
Maybe high tech and low volume would be the way to go. McLaren might be a good model. Marry that to an educational facility which transfers the technology.
John Mansfield
History is repeating itself. This was exactly the same vision for proton. And after 30 years of failing and subsidising, having another one is just insane. If HSR is not going to make us a dime, another national car is not going to make us a dime also. Could even be worse than HSR.
As much as I love to one day see a Malaysia’s car brand in the world market, in my opinion, we do not have the resources, marketplace and know-how to do it at this moment.
National car is something I would say “a good to have”.
Public transportation is something I would say “a necessity”
So, please don’t let the rakyat suffer.. We really should meet our necessity first before owning something which is good to have.
too much obsession with car..aigoo
please, we need improvement in our public transportation asap! and not just at lembah klang..
Dear Tun M, much respect and salute on your tremendous achievement in winning the heart of majority of Malaysian to overthrow a corrupt regime of before. As for the idea of a new national car project, please DO ONLY focus on future mobility ie electric vehicle with full own local based R&D and Intellectual Property Patents from EV traction motor *(with ability to upscale from small vehicle to big commercial vehicle eg buses and trucks),
EV battery system and manufacturing expertise , EV integrated system software etc. This is the new way forward rather than moving backwards with similar Proton of before with ICE.All the best Tun. May God Bless us all.
Acane get it free from Tesla. Just write to them & mass produce, just like China did.
Nani?!
I vote for BN 5 years later
#Bad move
#ShudHaveDoneThatEarlier
too late, Mahathir is destroying BN. I doubt BN will exist come GE15.
By then, we have 1 party to choose from. Love it or hate it, you will pay more for cars.
Albert Einstein definition of insanity: “Doing the same thing over and over again and expecting different results”
And that supposed to be true, but Malaysians have now dispute my law of theoretical physics and call me fake science because they actually expects that repeating the same will bring a different result.
Bapak has bended the laws of space, time, and physics to bring us back to the gud ol days of the 80s and 90s. Dr M has morphed into Dr Who now.
This is just an ego-trip, Dr M just wants to show hes different, first by canceling HSR (bad decision), hes saying “Im not Najib”, then starting a new car company, (an even worse decision), hes saying “Im not Najib and Im not with China”.
Most malaysia are not patriotic. Always condemed own product especially Proton. Besides that the working culture is not world class…
Expects the best but dun wanna work for it. Spoonfeed cultured during a certain 22 year period. Cannot berdikari alredi, so when ask them to start working harder and compete with the world, they rebelled and pulled the whole country to hide in its shell.
After spending so much money to enrich proton cronies and ap king and queen to buy cars for so many years. You expect people to be idiotically patriotic?
Can Malaysia make cheaper Caravans for sale in Malaysia?
It is not about patriotism. Proton was never made by malaysian. It was assembled by malaysian. We cant even design a motorcycle engine after so many years, let alone car engine and transmission. Automotive is so competitive that even volvo had to sell. What a mistake….suddenly hsr project sounds a lot better.
Having a plaform for malaysians to explore car making is an actual battlefield for engineers..compare to projects in universities that engineers graduate from.
Waste money? Which country doesn’t fund their universities? You rather fund universities which may not contribute to the society?
Having a plaform that allows local business and engineers to work together to produce a car for the nation is about profitting from all angles.
There is no short cut is developing engineering minds… you rather fund a neuclear weapon or a car for the world?
Anyone been to s.korea in 2002? Almost 99% on the road were local made cars.. in 2002 were s.korea cars as stylish as now? No…. but local ppl supported… are we ready to do the same in supporting?
I like the idea new national car project.. I give full morale support of the ideas.. The 3rd national car project.. Make sure the car much better than other two national carmaker..
The existing can manufacture left hand drive car to export only to China by giving them 49% share or existing less than 50% It still ok. selling inside China only means Malaysia export only. New National Car, how about divisional of the fund and audit fund usage due we can made it ourselves without you old man spread headed again used of money without ability to settle debt and further causing more debt since history hostile act on since 1969 incident act violate voter majority up to existing case settlement not solve yet.
It takes years and years and years of hard work and sizable engineering prowess to build good cars, even China can’t build decent cars yet, what makes you think our country of 30million can do this???? Why don’t we save the money and invest in things that we are actually good at???
if new national car sales no good , for sure our Press Conference minister LGE , will blame ex PM & as a rakyat Malaysia already sick about this , please improve public transport same as Japan
I agree because old national project is no more msian. We can adopt new technologies, offer new jobs, lots of opportunities and economic becomes more energetics.
One word – NO.
Please reduce car prices.
Old people + Technology = disaster
He can do the national car 3.0 but he must use his own and his family money. No more using rakyat’s money. Even geely has not fully turnaround P1. Not another Tabung Harapan 2.0 after he’s gone.
We have suffered heavily from Proton’s failure over so many years. The PH coalition partners need to stand up and prevent a repetition of this folly that has cost everyone of us dearly. Please concentrate on fundamental improvements to public transportation on an efficient cost basis. Surely we don’t want to prioritize on bringing more cars onto our already congested roads?
He’s not capable and very egoistic . Anyway , it’s not his money. It’s the poor Rakyat’s money who are forced to buy the cheapest overpriced car . He couldn’t really fix the power window problem after 30 years. Now want to be a world beater ? Boleh Ka ? For his such an expensive toy and a burden to the Rakyat esp. the poor , he must seek the approval of the cabinet ! Is he a dictator ?
Lol… Proton pun x lepas nk masuk pasaran antarabangsa… Ada hati dia nk pergi global market…
Tun’s plan are boring. What we need is Electric cars and solar panel. The future is now, old man.
pls make hybrid cars
This is a real shame that the ‘Proton project’ was totally mis-managed/appropriated over the years because at the outset it was a truly great initiative for this country.
And hiding behind a huge wall of protectionism and corruption( up to 300%++ duty??? )to protect jobs for the Malays and as such has remained totally ineffective as a modern day competitive automobile maker.
Malaysia should now be doing what Thailand is doing currently, with their world class competitive automobile industry into many global markets …but they did not hide behind the tariff protections.
ASEAN was supposed to be totally tariff free for motor cars and motorcar parts after 2015.
Hello????
Wake up it Tun will never happen in Malaysia, unless the Chinese are involved because of the ineffectiveness of your current economic landscape.
My Proton Saga some years ago in KL had “WAWASAN 2020” etched on the back window.
The ball has been sadly dropped and will be difficult to pick it up again, unless Malay people can have a very big mindset change and start to make automobiles efficiently and competitively.
I hope they can.
No no no to fully gasoline based cars. Either it is hybrid technology or full electric cars. We had enough air pollution already. A doctor should know effects of fuel combustion air pollutants to the public. You gain money by selling cars, you loose money when people got sick due to air pollution. WHO already declared environment air pollution is associated with lung cancer
No no no to fully gasoline based cars. Either develop a hybrid technology or full electric cars. We had enough air pollution already. A doctor should know effects of fuel combustion air pollutants to the public. You gain money by selling cars, you loose money when people got sick due to air pollution. WHO already declared environment air pollution is associated with lung cancer
Whether electric, solar or gasoline, our home made cars cannot compete with other brand without giving protection to our national car. And Tun, if you insist the 3rd national car to be implement, it’s OK as long as you don’t over tax other imported cars. If you still give protection to the national car in the expense of the rakyat, then this is the first sign of a new DICTATOR!
Please do what the rakyat want, instead of going against it. Your popularity & support from the rakyat is base on what you do for the people, not because of your status. Please don’t over looked it, otherwise you will have the same fate as Najib after the next 5 years.