Headline With Geely, Proton can attain economies of scale MediaTitle New Sarawak Tribune Date 05 Jun 2017 Language English Circulation 46,471 Readership 164,773 Section Business Color Black/white Page No B1 ArticleSize 238 cm² AdValue RM 923 PR Value RM 2,769 With Geely, Proton can attain economies of scale KUALA LUMPUR: The economies Geely is a highly market­driven Director Datuk Seri Syed Faisal of scale factor which has eluded entity. Albar said last week that as part of national carmaker Proton Holdings The company's track record the agreement, Geely would inject a Bhd for a long time, can be achieved shows it has turned around several sports utility vehicle (SUV) platform via its newly­signed strategic part­ ailing car manufacturers. In acquir­ into Proton and offer its best­selling nership agreement with China's ing a 49.9 per cent stake in Proton, SUV. Geely, a research institute director its founder, Li Shufu, must surely This enables Proton to enter into said yesterday. be confident of putting the ailing a new segment that had grown tre­ Dr Irwan Shah Zainal Abidin, Malaysian company back on the mendously over the past years. Director of the Asian Institute of right track. Syed Faisal also said Geely made Banking and Finance at Universiti "Li Shufu is an industrial­ the best partner for Proton as the Utara Malaysia, said with the ist and entrepreneur who won't former had agreed to retain the deal, Malaysians can also expect a just buy something for the sake of carmaker's nameplate and aimed gradual reduction in car prices in acquisition. He must have studied to reclaim the number one spot in the future, a key objective of the the risks and viability, both over the country. National Automotive Policy (NAP). the short and long terms, and at Irwan Shah said some Malaysians, "I see the partnership as a huge Proton's production capacity of sceptical of the tie­up, were those opportunity for Geely through 400,000 cars that is currently under­ who still believed in the old ways Proton to access the 600­million utilised. of the automotive industry and ASEAN market. For Proton, it is a "Geely has just set up a plant at oblivious to changes in its business chance to penetrate the vast China London Taxi, specifically to work on models and trends. market," he told Bernama. electric and hybrid car models, and This latest partnership is just He said the transforma­ this will have a positive impact on one of many to have taken place tion of Volvo in less than five future production at Proton," Irwan worldwide as the industry's bottom years after being acquired by Shah said. line is the production of quality cars the Chinese carmaker would be DRB­Hicom Group Managing that can compete in the global and replicated at Proton as well, because open market. ­ Bernama.