Tun M: We are looking to impose conditions on foreign cars

By ahmadzulizwan, 30 July 2018
Tun M

The National Automotive Policy will be under review to focus on issues relating to the development of the local automotive industry, according to reports by NST and The Star. Of course, this all means that the NAP will be combed through in order to make sure Proton remains competitive.

When answering a question in Parliament earlier today posed by Datuk Seri Wee Ka Sion (BN-Ayer Hitam) regarding the status of a new national car project that was talked about last month, the review may even include imposing conditions on the import of foreign vehicles. According to Tun Mahathir, the decline of Proton sales for the past decade has due to the previous government’s policy to allow foreign companies easy access to the local market. Never mind the fact that this policy was the side-effect of trade pacts which, coincidently, opened up other market to goods from Malaysia.

He added, “We are too open… even if the car is made of ‘tin Milo’", referencing a popular term to describe a vehicle’s poor build quality and unsafe construction

“This is the problem that we are facing, thus there is a need to review certain conditions so that foreign cars cannot enter Malaysia easily,” NST quoted the PM. However, we have to note that while there are car brands with sketchy build quality and safety features, the bigger sellers are at a level that surpasses all international standards. Also, there is very little evidence to say that foreign cars ‘enter Malaysia easily’ because the Road Transport Department base their Vehicle Type Approval process based on accepted international standards. If cars meet these benchmarks there is no reason to stop it being sold. Unless ‘rule of law’ is just a phrase we say when it fits a purpose.

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These ‘rules’ which have inconvenienced Proton are the same rules which other carmakers have had to face, and successfully met. The PM mentioned about the success story of Proton which in the past sold 25,000 cars in the UK (over a few years). This illustrates the point – that level of success was only up to the point when the EU started to strictly implement emission standards. Other carmakers had not only upgraded their technology but also moved up on vehicle design but Proton didn’t react quickly enough; and when it did, the Campro engine was too late and was not good enough. In fact, it went backwards in terms of driveability. Vehicle design? Nope.

But let’s go back to where we started. Does the NAP need to be reviewed? Yes, in fact it was in need of a review the day after it was announced. Every single car manufacturer in the country will agree to that, but is just too polite to say otherwise (for the lack of a better description). But restrictions on foreign cars? A third national manufacturer? No. And no.