Proton's resurgence

At the end of 2018 Proton introduced its first ever SUV X70 which was a Geely sourced model that was tweaked to suit local Malaysian market. The sales of this new SUV was moderate upon launching but have since gained a lot of momentum. It is currently the top selling SUV model in Malaysia now and have gained the confidence of local buyers. The car is decent looking with good interior design as well as advanced infotainment system that is not found even in cars costing 4 times more. The initial response was a good but not great as many buyers were concerned about the quality and reliability of the car since it was a China derived model. The sales surged 3 months after the initial launch when many X70 units were seen on the streets. This gave a more confidence to new potential buyers coupled with many good motoring reviews of the car.

Proton then took 3 old existing models like the IRIS, Persona and the Saga and reworked them heavily as part of the facelift exercise. Geely sent numerous engineers from China to help with the facelift project which saw the quality of the car improve in the areas of NVH and build quality. when the facelift models were introduced numerous motoring journalists raved about the improvements which spurred more sales for Proton.

Proton has now capture the 2nd spot for car sales in Malaysia. This second place was lost to Honda in 2018 and now Proton is able to be competitive once again. Proton plans to launch a smaller SUV called the X50 which is based on a Geely model. This X50 is to be priced between RM75,000 to RM90,000 which is cheap and will affect the sales of Honda's BRV and HRV as well as the Toyota Rush and Vios. The X50 will come with a 1.5 litre turbo with a 6 speed direct shift gearbox, something unheard of in a car in this price range.

Geely plans to utilise more of its models for Proton to capture a greater portion of the car market. Companies like Nissan, Honda, Toyota and Hyundai should be worried, especially Toyota since its model offerings are either outdated model that have been revised or models using outdated technology. Proton's target market will no longer be for budget car buyers but will cater to a wider audience with its upcoming product offerings.

What all this means is that with the right injection of capital, models and engineering a company like Proton can be turned around. Prior to its acquisition by Geely, Proton was floundering and lost. The engineering team was lost and had no direction, the company was riddled with corruption and the dealership network was a complete mess. With the right management the company can return to profit and introduce exciting new models that people will want to buy.