Proton has confirmed plans to assemble key electrified vehicle components at its Tanjung Malim plant, expanding its role in both vehicle and powertrain manufacturing. The announcement comes shortly after renewed attention on Malaysia’s automotive policies, particularly following MITI’s clarification on CKD investment conditions.
According to a report by Paultan.org, the development was disclosed in a media release by DRB-Hicom, Proton’s majority shareholder. The timing places the move within the wider industry conversation on local assembly requirements and long-term investment direction.
Focus On Electrified Powertrains
The automaker said it will locally assemble critical components such as the electric drive unit and a dedicated hybrid transmission. These will support Proton’s future lineup of electrified vehicles, covering both hybrid and fully electric models.
However, the company did not provide specifics regarding production scale or timelines. It instead emphasised capability-building as the primary objective behind the initiative.
Automotive High Tech Valley
Proton noted that these efforts will be anchored by the Automotive High Tech Valley (AHTV) development in Tanjung Malim. For the uninitiated, AHTV is a large-scale industrial initiative aimed at transforming the area into a next-generation automotive hub, focusing on advanced manufacturing, supplier integration, and mobility-related research and development.
The company added that the initiative will play a key role in strengthening Malaysia’s position in future mobility. Proton is expected to act as a central driver in shaping the site into a national hub for automotive innovation.
Strengthening The Local Ecosystem
Proton also highlighted its ongoing contribution to Malaysia’s automotive supply chain. It recorded more than RM17 billion in local purchase value between 2021 and 2025, with projections rising to approximately RM30 billion from 2026 to 2030.
These investments are aimed at supporting local vendors while accelerating technology transfer. The company said such efforts are essential to building a more resilient and competitive industrial base.
Aligned With National Direction
The automaker said it will continue working closely with ministries and government agencies to ensure its plans remain aligned with national frameworks such as the National Automotive Policy (NAP). This coordination is intended to keep its development strategy in step with Malaysia’s long-term industrial goals.
Proton chairman and DRB-Hicom group managing director Tan Sri Syed Faisal Albar said the company remains committed to strengthening the local ecosystem, developing talent, and contributing to sustainable industry growth. He added that continued collaboration with stakeholders will be important to keeping Malaysia’s automotive sector competitive as it evolves.
(Source: Paultan.org)
