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3 min read
1. What is the background to Proton Cars?

"The company was started by the Malaysian Prime Minister, Dr Mahathir Mohamad, in 1986 as part of the country's industrialization plan.

"These days the shift is changing from affordable Malaysian motoring to a global plan. The company has nine models and produces 190,000 cars a year, and is also the owner of Lotus in Britain."

"It's exceptional, class leading ride and handling. And value for money. So it's a combination of those two things."

3. How big is Proton in Australia?

"We're only a small player, operating below the radar, however our five-year plan will establish us as a niche player competing with mostly European brands.

"We currently only sell 2100 cars a year but we plan to lift that to 12,000 by 2010. This year we are aiming for 3990."

4. How does such a small operator get noticed in such a huge business?

"The key is to spend our limited marketing budget in the key target areas for our vehicles. We're not trying to be all things to all people."

5. What about your current model lineup?

"It is limited but expanding. We currently compete in two segments, however we plan to capitalise on the growing small and light segments.

"Our models are the Jumbuck ute, which is totally unique in Australia and selling around 1200 a year, only limited by supply from Malaysia. We also have the Gen.2, which is Proton's first total in-house project and is manufactured in an all-new factory north of Kuala Lumpur.

"We are now also introducing the Savvy baby car and will have a replacement for the Satria in the third quarter of this year. The Savvy is a five-door hatch, best suited to city use, and it's unique selling point is the ride and handling with exceptional fuel economy. The economy is 5.7 litres/100 kilometres, combined. We also think it looks pretty good."

6. Proton has been linked to both Mitsubishi and Volkswagen at times, what is the current situation?

"Proton has just signed a Memorandum of Understanding with Mitsubishi to share technical expertise and platforms for future model development. In return, Proton will supply a Malaysian vendor base and manufacturing facilities within the Asean group of nations for Mitsubishi.

"The Volkswagen deal has changed slightly and will now only involve technical and training assistance, and in return Proton will assist VW with Malaysian distribution and a dealer network. Terms could not be agreed on the finer details of the original plan, which was platform sharing and joint manufacturing with Volkswagen taking a majority stake in the company.

"The new Mitsubishi deal takes the company full circle as Proton started its life as a re-assembler of Mitsubishi vehicles."

Paul Gover is a former CarsGuide contributor. During decades of experience as a motoring journalist, he has acted as chief reporter of News Corp Australia. Paul is an all-round automotive expert and specialises in motorsport.
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