MITI wants foreign car brands to coexist and complement local ecosystem – Proton-Geely is a true partnership

Malaysia’s investment, trade and industry (MITI) minister Datuk Seri Johari Abdul Ghani reiterated during Friday’s Proton eMas 7 PHEV CKD line-off ceremony that the ministry wants foreign carmakers to coexist and complement the local ecosystem, instead of just coming here to sell cars.

“Proton is something to be proud of because the localisation rates of certain models reach 80%, some of them 70%, and the industry’s SMEs (small and medium enterprises) and component manufacturers benefit from Proton’s growth.

“Proton today is not like it was 30-40 years ago, it also has its own IP (intellectual property) with Geely. Geely is one of the partners working together with Proton to build the industry, and now there are almost 10,000 employees – about 9,700 to be exact – with production in excess of 150,000 units a year,” he said, adding that Proton’s national tax contribution has exceeded RM806 million, including corporate tax, sales tax, and excise and import duties.

MITI wants foreign car brands to coexist and complement local ecosystem – Proton-Geely is a true partnership

MITI minister Datuk Seri Johari Ghani (left) and deputy minister Sim Tze Tzin

“This is one of the examples, I stress upon carmakers, when they come here, don’t just sell cars, but coexist with our existing ecosystem and build this ecosystem together with our entrepreneurs and component manufacturers. We will all benefit in terms of jobs, profits – even the government will benefit.

“Proton (in the past) didn’t have the opportunity to ramp up production from a technological perspective. Geely had the technology, shared it with Proton, registered certain IPs in Malaysia. This kind of partnership is called a true partnership, not just coming here to sell cars,” Johari said.

“Cars are actually not necessity items, but if we are going to do this, something that benefits the rakyat and jobs, I will facilitate it,” he added.

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