March 24, 2006

Recent talks..!

I was not quite happy with the recent National Automative Policy, which the hiked price drop were not as much, as it was just for the sake of the price drop. Furthermore, Proton is no longer being protected this way. Even though it's good, Proton shouldn't have waited for so long to come up with new models and designs. In facing the year 2010, they really have to push their new models to be recognized before they may really able to compete in the global market. I'm fully supporting Proton for whatever it takes to penetrate the global market. Shut up TOP GEAR!

I believe that the Proton cars price may get dropped to a much better price as Proton is no longer paying any design royalties to any of it's alliance, which had caused the high-sky prices for models like Satria, Wira, Putra, Perdana and Waja. The birth of Gen2 and Savvy have marked their independence of other car makes in terms of designs, chasis and engines. It means, LOWER COST. Proton Gen2 1.6's price started at RM52,+++ while Waja started at RM58,+++. I predicted that the Proton Gen2's price would be lowered as low as RM50k for it's 1.6 models. Of course, much lower, much a lot better! One good thing about Proton is that it is fully owned by Malaysians.

It's a total different case for Perodua. As it is now has became the assembler, not only for Perodua models, they are assemblying for toyota local market models like Avanza. Even though the price of their cars are much cheaper, and they were said as producing better quality cars, I would see it as a threat to themselves, even though they might be able to save cost on the research and engineering works, they are being dependable. As we all know, Perodua is 51% owned by Daihatsu, which Daihatsu is mainly controlled by Toyota. That tells why the latest MyVI is equipped by Toyota's engine. Price wise? Full spec Perodua MyVI with 1.3 cc will cost us RM52k plus. You can already buy a Proton Gen2 1.6. They are being too dependable on Toyota's/Daihatsu's ability to supply them with the chassis, engine, designs and engineering. What does that mean to you?

There are 2 possibilities for Perodua. If Japanese Yen goes up, then Perodua cars would cost us more. Differently from Proton, they are producing their own engine, own chassis, own model, and everything is in Ringgit Malaysia. No matter how our RM goes up or down, we locally would be able to maintain the Proton Cars at the same price as ever.

Simply, it can be put into a table of comparison.

Has its own Engineering, Research & technologyDepending on Japanese Engineering & Technologies
Owned by MalaysianMainly owned by the Japanese
Has started to generate new model without having to base on any other car makes designStill selling cars with designed owned by either Daihatsu or Toyotta
Has been producing its own engineJapanese engine
Make alliance for transfer of technologiesAlliance to get more foreign models to be marketed locally
Proton has it's own team for performance workPerodua cars has to be using the same performance technology by the Japanese. Means, expensive. More money going out because of the cost of importing the performance parts.

The recent launching of the new Low Cost Carrier Terminal of KLIA is also overwhelming. To some people, it's leading to the route of cheap and convenient flying. I see it as an EXPANSION of the KLIA itself. It was supposed to grow as the land allocated for the KLIA is so big! I'm hoping to see all other low cost airline from indonesia and singapore to make use of this low cost terminal and make it as the center of low cost airline in this region. Which is quite achievable, considering the location of Malaysia that is located in the middle of Singapore. Indonesia, Thailand, Brunei, Philippine, Cambodia, Laos, Vietnam and Myanmar. Air Asia should take this chance to widen its wing over these countries.

I myself had a visit to Singapore Yesterday. I went there with Fara, a blogger who was so eager to go there for the MTV Fashionably Loud, in conjunction with the Singapore Fashion Festival 2006. I tell ya, Singapore is making steps a lot in front to lead us, not only in economy, but also in culture, which we Malaysians were always thinking that ther were so kiasu.

In fact, we are the kiasu one! (more pictures and report on the visit in my Malay Blog)

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