Foreign carmakers tried to buy Proton: Mahathir<\/p>\n
KUALA LUMPUR (AFP): Foreign auto makers have sought to take a
\n100 percent stake in Malaysia's national carmaker Perusahaan
\nOtomobil Nasional Bhd. (Proton) as part of plans to dominate the
\nworld market, Prime Minister Mahathir Mohamad said Tuesday.<\/p>\n
Mahathir told parliament the large foreign firms, which he did
\nnot identify, claimed they would be able to make cars more
\ncheaply and benefit buyers.<\/p>\n
But their actual aim, he said, was to have only five
\nautomotive firms controlling the global market.<\/p>\n
"We are concerned that if they were to acquire Proton, they
\nwould turn our factories into mere assembly plants for their cars
\nand not for Proton or national cars, like they had destroyed
\nother auto companies which competed with them in efforts to
\ncontrol the global market," he said.<\/p>\n
"We will not allow Proton to be taken over by anybody and be
\nforced to buy (foreign) cars assembled by us," Mahathir was
\nquoted by the official Bernama news agency as saying.<\/p>\n
Proton, a pet project of Mahathir's, was set up in 1983 in
\ncollaboration with Japan's Mitsubishi Motors Corp. to spearhead
\nan industrialization program.<\/p>\n
More than 65 percent of cars sold in the country are Protons
\ndue to high tariffs on imported cars.<\/p>\n
National oil firm Petronas is finalizing the purchase of a
\ncontrolling 27.2 percent stake in Proton from HICOM Holdings Bhd.<\/p>\n
Auto analysts say Proton will eventually need a foreign
\npartner to survive in a fiercely competitive globalized market.<\/p>\n
On May 1 trade ministers of the Association of Southeast Asian
\nNations agreed to grant Malaysia a two-year extension of a
\ndeadline for tariff cuts on cars. These were originally due to be
\ncut in 2003 under the ASEAN Free Trade Area.<\/p>\n
Mahathir said ASEAN countries granted Malaysia's request since
\nthey now realized the dangers of "a borderless world."<\/p>\n
He repeated his frequent warning that unfettered globalization
\nwill expose Malaysia to a new form of colonialism at the hands of
\nmighty multinationals.<\/p>\n
Mahathir said globalization as defined by the developed
\ncountries meant limitless trading with no regulation.<\/p>\n
"What is solely important for them is the profit, without
\nconsidering the effects on the people and their country."<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/foreign-carmakers-tried-to-buy-proton-mahathir-1447893297",
"image": ""
},
"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
}