Proton eMas EVs are just rebadged, not true national cars? Did Proton get gamed by Geely? Pro-Net answers
by Jonathan James Tan · Paul Tan's Automotive NewsPro-Net’s chief branding officer Salawati Mohd Yusoff and product marketing assistant manager David Tiah have been interviewed by the Jangan Kecam podcast in a Proton eMas-sponsored episode.
The Proton eMas distributor has seen fit to respond to allegations that its vehicles are simply rebadge jobs and not true national cars, and that Proton has been ‘gamed’ by Geely, referring to the Chinese carmaker entering regional right-hand drive (RHD) markets with its own brand rather than Proton as outlined in the past.
“There are a lot of work and processes which need to be done to make sure the cars that are brought into this market are suitable for the rakyat and our roads. We have to make sure everything is durable, all the technology when it’s brought here, it won’t inadvertently fail, and so on,” Tiah said.
From left: Pro-Net CEO Zhang Qiang, chief branding officer Salawati Mohd Yusoff and chief information officer Sua Chek Hoong
“eMas vehicles were developed as left-hand drive (LHD), but with Proton’s collaboration, RHD was developed and then brought to market. There are multiple benefits. When we develop the car for RHD, it’s not easy, it’s not a straight-up rebadge, it takes a lot of effort.
“We actually send Malaysian talents and engineers to China. They are not just people who do project management, they do electrical, electronic, powertrain. They collaborate with our friends in Geely to develop RHD and give input on suitability for Malaysia,” Salawati said.
“Every time people mention ‘rebadge’, I don’t think we’re doing justice to our young Malaysian talents. Some of them have been there two years, maybe more,” she added.
It’s worth mentioning that the eMas 7/Geely Galaxy E5 was developed as a global model from the get-go, so it was designed to also be RHD from the start as opposed to being converted later. However, Proton indeed led the RHD conversion work for earlier Geely-based models.
As for local tuning, both the eMas 5 and 7 PHEV use global suspension setups that are not developed by Proton’s ride and handling team.
On allegations that Proton has been ‘gamed’ by Geely with regard to RHD export markets, Salawati explained: “Going into Thailand and Indonesia needs economies of scale so that we can be competitive.”
“The rule of thumb in selling any item is we have to have a brand premium, for you to command certain prices, and therefore a certain volume, and therefore a certain share, to make the business viable.
“I think Geely (went) first (entering certain markets) because Geely has slightly higher capabilities in this area (economies of scale) than Proton,” Salawati said, adding that the Geely-Proton relationship has become very close after nine years.
“If Geely were to go first (entering certain markets) and afterwards we will follow, that is still possible. So to say we got ‘gamed’ and that there are no benefits for Proton, I don’t think that’s a real thing,” she said.
Proton entering ASEAN markets where Geely has ‘paved the way’ sounds like a tall order, as the whole brand introduction process would have to be restarted, and market acceptance would have to start from scratch.
Geely has already established CKD EV plants in Thailand and Indonesia, and it’s unlikely that the Chinese carmaker would do so with a view to let Proton take over in the near term.
If anything, the opposite happened recently when Geely entered the South African market, which Proton already existed in. And as it played out, it appears that Proton will soon exit the SA market as Geely takes over.
The Okavango (left) and Coolray are being produced in Tanjong Malim for certain markets
To be fair, Geely has ramped up the use of Proton’s Tanjong Malim plant to produce vehicles that are to be exported to Geely markets like Indonesia, Vietnam and the Philippines. So the promise of Proton being the regional production hub is being fulfilled somewhat, even if the cars wear Geely badges.
In fact, it goes beyond ASEAN too – Tanjong Malim-made Geelys are shipped as far as South Africa. And while they may not be marketed as Protons, they should count into the Malaysian company’s export tally.
On the eMas side, the vehicles are already being exported to several markets, though initially with CBU China units shipped via Malaysia. These should transition to locally-assembled units as CKD operations ramp up, crucially now using localised dedicated hybrid engines (DHE), transmissions (DHT) and electric drive units (EDU).
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