Proton in trouble
June 4, 2007 by Alborz Fallah
Malaysian owned car manufacturer Proton has had better days. The troubled manufacturer has recently been in talks with the Volkswagen group to secure some funding for its troubled operations. However the talks ended last week without a resolution.
Proton came about in 1983 as the need for a Malaysian manufacturer became evident, the company was setup with help from Mitsubishi, however that partnership ended in 2004. Proton entered the Australian market in late 1995.
The company which is partly owned by the Malaysian government (43-percent) also owns Lotus, so while we are not all that concerned with Proton going bust (even though we like the Gen.2) – the future of Lotus also hangs in the balance.
Volkswagen was a little more optimistic, stating that talks would continue to find a mutual agreement. Of course Proton doesn’t only have to look to the Germans for money, there is also the possibility that GM (which has seen its fortunes turn for the better) will buy into Proton.
With cheap cars set to come in from China and India in the next 5-10 years, the future of other “cheap” manufacturers is on the line. Will the quality of cars from China and India match those of the Japanese and Koreans (and in this case, the Malaysians)? Most probably not.
Even so, since history has a tendency to repeat it self, it is more than likely that in the next 10 years, Japanese Cars will sit alongside European cars, Korean/Malaysians cars will become the next Japanese cars, and Chinese cars will become the new Korean cars.
Print it: 
Think about this, the goddamn Malaysian government imposes 100% or more tax on foreign cars, effectively allowing Proton to have a monopoly in Malaysia, and yet Proton is *still* having financial trouble. Proton purchased Lotus because it *feels* like it, that’s how Malay leadership works — do something fancy and make it look like an achievement. I personally don’t care if Lotus goes bust, because even as a Malaysian, I have *never* benefited from the partnership. Exported Protons are better Protons; Malaysians feed only on the scraps!
Malaysia has been manufacturing electronic goods for the American/Japanese multinationals for ages, and yet it still doesn’t have its own electronic brands.
Now China has countless of their own electronic brands, and venture partnerships with automobile manufacturers from all over the world. If you think China would remain at the bottom of the hierarchy, think again. Volkswagen has numerous partnerships in China, but just can’t be bothered with Proton, and I guess you now know why?
you ungratefull chink. u should go back to china and eat all the rats
You ungratefull chink you should go back to china and eat all the rats. atleast malaysia dont copy anything and everything like the chinese lol
Nico, what he said is true.. My friend in Malaysia which is a MALAY tell me that too.. So practically almost half population regardless of race dont like the way malaysia governemnt manage the country.
‘chinese born in malaysia’ said, “the goddamn Malaysian government imposes 100% or more tax on foreign cars” which is ture but the chinese aren’t any better, the chinese restrict foreign car companies but steal their technology. All asian countries steal Western ideas but the chinese are the worst. China respects no Intl. laws and just ploughs on coying others designs etc. Volkswagen does have 3 partners in china only because the chinese govt. does not allow foreign automakers to own anything outright. China is not renowned for good cars so ‘chow in malaysia’ should be bashing the chinese too.