Proton targets MYR 8 billion local parts procurement by 2030
Paul Tan, 2 Feb '26
Proton aims to more than double the value of local procurement from Malaysian vendors to MYR 8 billion (US$ 2 billion) by 2030, up from MYR 4 billion achieved in 2025, the carmaker stated.
This initiative is intended to add economic value, facilitate technology transfer to local vendors, and create additional opportunities for skilled employment, according to Proton.
The increase in local procurement is expected to be supported by Proton's sales targets and its ambition to achieve the position of Malaysia's best-selling carmaker by 2029. The top spot is currently held by Perodua, which ranks second in ASEAN.
Proton launched its dedicated electric vehicle plant in Tanjong Malim in September, where the e.Mas 7 is locally assembled, with the smaller e.Mas 5 planned for local assembly in the future.
The national carmaker's localisation programme has introduced 18 new technologies and established joint ventures in areas such as fuel pumps, electronic gearshift modules, and continuously variable transmissions (CVTs), according to a report by a local news agency.
Among the national carmakers, Proton faces a significant gap in localised parts compared to Perodua. This disparity is reflected in the difference in localisation rates, with Perodua achieving a typical rate of 95%.