Malaysian PM Mahathir floats new national car project

TOKYO: Malaysia’s newly-elected Prime Minister Mahathir Mohamad yesterday floated the possibility of a national car project, despite the problems of a similar endeavour started during his previous term decades ago.

“We need to go back to the idea of a national car,” he told a Tokyo press conference on his first foreign trip since his shock victory last month.

“Our ambition is to start another national car, perhaps with some help from our partners in Southeast Asia... we want to access the world market,” Mahathir said earlier, at a forum in Tokyo.

The national car has a troubled history in Malaysia, which from 1983 produced the Proton as part of then-premier Mahathir’s ambitious national industrialisation plan.

The brand had a reputation for unimaginative models and shoddy quality and saw its popularity wane over the years in the face of stiff competition from foreign models.

It 2017 its parent company, Malaysian conglomerate DRB-HICOM Berhad sold a 49.9% stake to Chinese auto giant Geely Automobile Holdings Limited, which is seeking to turn Proton around.

Mahathir appeared to brush aside that history yesterday, saying Malaysia would “seek support and expertise from other countries” in looking once again to produce its own cars.

He said Malaysia had “most of the skills and technologies in regard to the design and production of a new car” thanks to two decades of cooperation with Japan’s Mitsubishi Motors Corp.

“However there are certain parts of a car which are extremely expensive to develop. We will want to source some of those expensive parts from other countries, including of course from Japan.”

The prospect of Malaysia taking another tilt at launching a new national car was met with scepticism by analysts and the public.

“Given the current global industry landscape... it’s not a good idea,” Yeah Kim Leng, a professor of economics at Malaysia’s Sunway University Business School, told AFP.

“It’s a highly globalised market now, and unless you have a deep market (access), the technology and product capability, it would be difficult to compete.”