Daim comes to Dr M’s defence over third national car

KUALA LUMPUR: Prime Minister Tun Dr Mahathir Mohamad is not simply aiming to develop a third national car, but is also adopting a broader perspective to ensure that Malaysia can compete in the fourth industrial revolution (IR 4.0).

Tun Daim Zainuddin, who heads the Council of Eminent Persons, said the automotive sector, which employs about 700,000 people, was one of the sectors that the government planned to focus on.

“My personal view is that the prime minister’s idea is not so much on the third national car. It is to ensure that we have the right education system to face the future,” he said at Ilham Tower yesterday.

“And the future industries are in manufacturing... certain types of manufacturing mainly require engineering skills. That is what he wanted in order (for the country) to be able to compete in the future.”

Daim said Dr Mahathir realised that it was vital for Malaysia to upgrade its manpower skills.

“So, if we can produce the components first, that is important so that we can supply and export to the motor industries.

“From there, we start to upgrade until such a time that we are in position to produce, not a Malaysian car but an Asian car, where the private sector can invest in. That is my understanding.”

Dr Mahathir, in June, had announced that the government was looking into embarking on a third national car project, after Proton and Perodua, both of which were conceived during his first tenure as prime minister.

During a visit to Japan on Aug 7, he said the government had sought assistance from several Japanese automotive companies, including Nissan Motor and Toyota Motor, for the third national car project.

Daim also said the idea of abolishing all toll collection would not be a wise move at this juncture.

He said the CEP’s report to Dr Mahathir listed the reasons in detail.

“It (abolishing toll collection) would not be a wise move in this financial climate. I think the people would understand. All these would be presented to the PM once he returns from China.”

Daim said CEP was of the opinion that the East Coast Rail Link (ECRL) was too costly and not viable.

He said even if there was a substantial cost reduction to the project, the government needed to consider whether the revenue gained from the project was sufficient to cover the operating cost.

“If any of the private sector think the project is viable and they can make money, let them do it. As far as we are concerned, we have studied it. It is not viable,” he said.