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Proton and Honda have signed an agreement that could see the two manufacturers share production facilities and platforms for future vehicles.

The partnership between Malaysia’s national car maker and Japan’s third-largest automotive manufacturer could also expand into collaborations on new vehicle technologies and all-new models, as both look to grow their brands into new markets.

For Proton’s parent company, DRB-Hicom Bhd, which purchased a 42.74 per cent stake in the company for 1.291 billion ringgits ($406.8 million) in January, the partnership with Honda is a clear statement of its intention to make Proton a more substantial force in the automotive industry.

“Having a strong and renowned global automotive player like Honda Motor as the foreign strategic partner to Proton will provide the group with the opportunity to grow as an original equipment manufacturer,” DRB-Hicom said in a statement.

“The opportunities are endless.”

Bloomberg reports the alliance could give Proton access to technology and resources that could help expand its exports, following failed partnership talks with PSA Peugeot Citroen and Volkswagen, while providing Honda with cheaper manufacturing facilities.

  • bruzzer

    its all well and good for proton, they are by far the ones gaining anything for this deal.
    Honda on the other hand is doing itself no favours, they are already slipping out of the top ten sales in Australia in terms of car sales… having a Proton tag associated with them will not help.

    • Al

      Not necessarily true. With a new shared platform, Proton may invest in a small amount of capital for development, whilst Honda oversees the majority of the engineering. Therefore Honda’s investment may be reduced.

      Manufacturing cost can be reduced, If Proton sells more cars with the same platform, the manufacturing cost per unit can be reduced. Usually the more you mass produce, the more cost-effective it becomes. I.e. Can order larger quantities of material at reduced rates, longer production runs which reduces the amount of set up times which cost money..

  • Zandit75

    I thought they were tied in with Mitsubishi wth shared platforms?
    Don’t they have a re-badged Lancer in their range?

  • Guest

    No wonder the car on the picture looks very similar to Honda City

  • Zaccy16

    Honda have sinked to a new low!

    • KiaK9

      and proton have “sinked” to a new high LOL win win?

      • Zaccy16


    • Captain Nemo®™

      Could have been worse imagine a tie up with VeeDud. Reliability of Hondas would sink.

  • whatthe…

    So I asume Proton will rebadge the 1997 Civic and call it a Proton!

    • Dave W

      I’d buy that over the new Civic.

    • Zaccy16

      It would be a improvement over the gen 2 or s16!

  • M.

    This would have little impact on the US/Europe/Aus market I would think. Definitely a partnership targeted at the Asian Market. 

  • JHP

    wow…. imagine… proton chassis developed by lotus.
    and powered by honda engine… sweeeet