Proton has confirmed it will renew its alliance with former partner Mitsubishi Motors after talks broke down with Volkswagen.
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Both parties are scheduled to sign an agreement, during a ceremony at Proton’s research and development facility on the outskirts of Kuala Lumpur, on Friday afternoon (3 February), Kyodo News said.
Proton’s new chief executive and managing director, Syed Zainal Abidin Syed Tahir, told the news agency the collaboration with Mitsubishi involves only a technical aspect and not an equity holding.
Kyodo News noted that Mitsubishi Motors and trading house Mitsubishi used to be major technical partners and shareholders of Proton, holding a combined 15.8% stake, and the Malaysian automaker’s earlier models were actually re-badged Mitsubishi models.
Mitsubishi ended the 21-year partnership last year by selling off all its shares though it still supplies parts and engines to Proton.
Proton’s Syed Zainal Abidin Syed Tahir, who joined the company last December, reportedly said the company is not expected to fully turn around within a year though there are plans to expand in overseas market with an eye on the huge Chinese and Indian markets.
”These two markets, we can’t ignore. China, we have tried…we have identified several parties in China,” he told Kyodo News, adding: ”In India, we will start talking to several parties. In fact, they have approached us.” He declined to name the parties.
