June 13, 2014 7:00 pm JST
Mahathir seeks to turn Malaysia's Proton around with Geely's help
WATARU YOSHIDA, Nikkei staff writer
SINGAPORE -- Proton, founded in 1983 under the auspices of then
Prime Minister Mahathir Mohamad, once enjoyed good sales as
Malaysia's national car brand. But recent years have not been so kind.
The semi-public automaker Proton Holdings has been struggling as
local Malaysian consumers have shunned the car, namely citing poor quality.
Prime Minister Mahathir Mohamad, once enjoyed good sales as
Malaysia's national car brand. But recent years have not been so kind.
The semi-public automaker Proton Holdings has been struggling as
local Malaysian consumers have shunned the car, namely citing poor quality.
The carmaker has started to fight back. It recently appointed Mahathir
as chairman, and it is working to clinch a deal with a major Chinese carmaker.
Yet, there are doubts about how much the 88-year-old former prime minister
can do to revive Proton.
as chairman, and it is working to clinch a deal with a major Chinese carmaker.
Yet, there are doubts about how much the 88-year-old former prime minister
can do to revive Proton.
According to the Malaysian financial daily The Edge on Tuesday,
Mahathir has reportedly said there is no need for government assistance
for Proton. However, the company's domestic market share has plunged
to about 20% from its peak of 50% in 2001. The government effectively
requires that Proton be used for small taxi vehicles. Today, this policy
is essentially keeping Proton afloat.
Mahathir has reportedly said there is no need for government assistance
for Proton. However, the company's domestic market share has plunged
to about 20% from its peak of 50% in 2001. The government effectively
requires that Proton be used for small taxi vehicles. Today, this policy
is essentially keeping Proton afloat.
Nevertheless, Mahathir appears determined to go without government
help. In April, he flew to China with Syed Mokhtar Al-Bukhary, who runs
the Malaysian conglomerate DRB-Hicom, which owns Proton. The two
met with Chinese political and business leaders. According to local media,
Mahathir at the time started crafting a partnership deal between Proton
and Chinese automaker Zhejiang Geely Holding Group.
help. In April, he flew to China with Syed Mokhtar Al-Bukhary, who runs
the Malaysian conglomerate DRB-Hicom, which owns Proton. The two
met with Chinese political and business leaders. According to local media,
Mahathir at the time started crafting a partnership deal between Proton
and Chinese automaker Zhejiang Geely Holding Group.
In mid-May, he became Proton chairman after the company formulated
a strategy for revival through a partnership with the Chinese carmaker.
At the end of May, current Malaysian Prime Minister Najib Tun Razak
acknowledged that the partnership negotiations were making headway.
a strategy for revival through a partnership with the Chinese carmaker.
At the end of May, current Malaysian Prime Minister Najib Tun Razak
acknowledged that the partnership negotiations were making headway.
A matter of quality
Specifics of the deal with Geely have yet to be disclosed, but Najib hinted
at the possibility of Proton manufacturing Geely-designed vehicles.
at the possibility of Proton manufacturing Geely-designed vehicles.
Proton's strongest selling point has been the low price of its vehicles.
But, as one Malaysian woman in her 20s put it, Protons are low-quality,
and this is keeping customers away.
But, as one Malaysian woman in her 20s put it, Protons are low-quality,
and this is keeping customers away.
Geely owns Sweden's Volvo Car Group. Mahathir wants to use this
connection to produce Protons that can measure up to global standards.
He characterizes Protons as cars for the Association of Southeast Asian Nations,
and envisions that the company will export its vehicles to rapidly growing countries
in the region.
connection to produce Protons that can measure up to global standards.
He characterizes Protons as cars for the Association of Southeast Asian Nations,
and envisions that the company will export its vehicles to rapidly growing countries
in the region.
Mahathir is looking both to recapture a dominant share in the domestic market
and to raise Proton's profile globally. This mirrors the company's original strategy
used when Proton was founded.
and to raise Proton's profile globally. This mirrors the company's original strategy
used when Proton was founded.
U Turn - May 25, 2017
Friday, May 26, 2017
PROTON
1. Proton has been sold. It has been sold to foreigners.
2. They say Proton is my brainchild. Now the child of my brain
has been sold.
has been sold.
3. Yes. I am sad. I can cry. But the deed is done. Proton
can no longer be national. No national car now. We Malaysians
are glad to be rid of this pesky car. I am sure Proton will do
well. It will be a commercial success. It will be sold all
over the world. The Proton name will be everywhere.
can no longer be national. No national car now. We Malaysians
are glad to be rid of this pesky car. I am sure Proton will do
well. It will be a commercial success. It will be sold all
over the world. The Proton name will be everywhere.
4. It will be like Singapore. Malaysians are proud of this
great city-state. If it had not been sold it would be, perhaps,
as well developed as Kuala Kedah or Kuala Perlis. Then we
cannot be proud of Singapore.
great city-state. If it had not been sold it would be, perhaps,
as well developed as Kuala Kedah or Kuala Perlis. Then we
cannot be proud of Singapore.
5. Now we can be proud of Proton. With money and superior
technology it will compete with Rolls Royce and Bentley.
technology it will compete with Rolls Royce and Bentley.
6. But I cannot be proud of its success. I cannot be proud
of the success of something that does not belong to me
or my country. Maybe other Malaysians will, but not me.
Come to think of it, if our country is sold to others, to
the very rich people of other countries, I am sure our
country will become well developed too. It can even
be a fully developed country – exceeding the expectations
of Vision 2020.
of the success of something that does not belong to me
or my country. Maybe other Malaysians will, but not me.
Come to think of it, if our country is sold to others, to
the very rich people of other countries, I am sure our
country will become well developed too. It can even
be a fully developed country – exceeding the expectations
of Vision 2020.
7. It will be a great country with super highways,
high-speed rail (HSR), gleaming skyscrapers, shining
new towns, beautifully landscaped and lighted. But
I can’t be proud! Can I be proud to be living on the
fringes of this great country so well developed by the buyers.
high-speed rail (HSR), gleaming skyscrapers, shining
new towns, beautifully landscaped and lighted. But
I can’t be proud! Can I be proud to be living on the
fringes of this great country so well developed by the buyers.
8. I will die soon. I am already beyond average age.
And as I slip into my final years, or month or days,
I will watch as our beloved country is sold to
foreigners to settle the trillion Ringgits that we owe.
We will have to sell more and more of our country.
And as I slip into my final years, or month or days,
I will watch as our beloved country is sold to
foreigners to settle the trillion Ringgits that we owe.
We will have to sell more and more of our country.
9. What are our assets? Our land of course!! That was
what we did in the past. We sold chunks of our country.
We lost the land we sold. That is what we are doing now.
And that will be what we will have to do – or forfeit
our country; like we forfeit Proton.
what we did in the past. We sold chunks of our country.
We lost the land we sold. That is what we are doing now.
And that will be what we will have to do – or forfeit
our country; like we forfeit Proton.
10. Proton the child of my brain has been sold.
It is probably the beginning of the great sell-out.
The process is inexorable. No other way can
we earn the billions to pay our debts. The only way
is to sell our assets. And eventually we will lose our
country, a great country no doubt, but owned by others.
It is probably the beginning of the great sell-out.
The process is inexorable. No other way can
we earn the billions to pay our debts. The only way
is to sell our assets. And eventually we will lose our
country, a great country no doubt, but owned by others.
11. I am a sissy. I cry even if Malaysians are dry-eyed.
My child is lost. And soon my country.
My child is lost. And soon my country.
12. Please excuse me.
