Proton: What next?

Looks like the series of blunders have not ended for Proton...

In the latest news, Volkswagon (VW) AG has scrapped plans to cooperate with Proton Holdings Bhd to build and sell VW brand cars for the local market, after the two companies have started talks since 2004.

This came just after the controversial sale of MV Augusta for a mere 1 Euro few weeks back.

"Unfortunately the Malaysian government, Khazanah (Nasional Bhd) and Proton had different ideas, " VW Chief Executive told investors gathered in Michigan.

Arising from this adverse development, Proton share price fell as much as RM1.25 to RM5.10 in early trade before it ended the morning session at RM5.65, down 70 sen.

The future looks bleak for our first national car maker... How will this impact on our National Auto Policy?


Quote from a member of Paul Tan's auto blog.

"National Car Policy killed National Auto Policy

Congrats to Malaysia! The first country to close down a bakery for a loaf of bread. "