TAX INCENTIVE FOR PROTON CITY INVESTORS IN PIPELINE

TANJUNG MALIM: The government plans to create a special tax incentive for automotive vendors investing in the newly-launched National Automotive Cluster@ Proton City (NAC), says the International Trade and Industry Ministry.

Second International Trade and Industry Minister Datuk Seri Ong Ka Chuan said while it was still at an early stage, the special tax incentive was definitely in the pipeline.

“We are drawing up some guidelines for it,” he said after the launch of the NAC by Prime Minister Datuk Seri Najib Razak, here, on Saturday.

He said with this development in place, Tanjung Malim had the potential to generate RM24 billion in economic activities, besides giving a new direction to local automotive players in terms of exploring new markets.

DRB-HICOM Bhd Group managing director Datuk Seri Syed Faisal Albar said Proton City belonged to the group and the area had been earmarked for an automotive hub since the mid1990s.

“The group’s confidence in developing Proton City comes with renewed vigour of the national carmaker, given its strategic partnership with (China’s) Zhejiang Geely Holding Group.

“A lot of it (the NAC) is still at a conceptual basis and we are drawing up what needs to be done. The key is to look for investors and we are discussing with a few potential investors, both international and local,” he added.

Syed Faisal said the partnership with Geely would give the group access to the latest homegrown technology and models, and allow the Proton brand to have exclusivity in the Asean right-hand drive markets.