Proton aims to more than double its local purchasing value from Malaysian suppliers to RM8 billion by 2030 from RM4 billion last year, the carmaker said. This is aimed at adding economic value, facilitating technology transfer to local suppliers and creating more opportunities for skilled employment, Proton said.
Proton’s sales volume targets will move towards that increase in local sourcing as it has set out its target to sell 200,000 units this year and become Malaysia’s top seller by 2029. The top spot is currently occupied by Perodua, which ranks second in ASEAN.
Proton launched its dedicated EV factory in Tanjong Malim last September, where the eMas 7 will be assembled locally and the smaller eMas 5 will follow.
The national carmaker would buy RM3.2 billion worth of parts and components from Malaysian suppliers in 2025, then Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Abdul Aziz said last November. Proton’s localization program has introduced 18 new technologies and forged joint ventures in areas such as fuel pumps, electronic switching modules and CVTs, according to a Named report at the time.
However, among national carmakers, Proton has a significant gap to close with Perodua in terms of localized parts, as the second national carmaker purchased RM11 billion worth of parts from local suppliers last year. This is reflected in the two brands’ car sales, as Perodua sold 359,904 units in 2025, with a typical localization rate of 95%, compared to Proton’s 157,976 units sold last year.
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