PROTON VENDORS INK AGREEMENTS TO DEVELOP COMPONENTS IN MALAYSIA
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Four Joint-Ventures and two Technical Agreements signed with overseas suppliers
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Partnerships with Geely vendors aids localisation of high-tech components for Proton models
Subang Jaya, 25 June 2025 – PROTON took another step towards localising high-tech component supply for its upcoming models with the formalisation of agreements between its vendors and companies that currently supply products to Geely. In total, four new joint-ventures and two technical agreements have been signed to strengthen the company’s local supply chain and introduce new competencies to its vendors.
The agreements will also accelerate the localisation of components for future Proton offerings for both ICE and EV segments, while boosting local content value and facilitating the introduction of new technologies to the Malaysian automotive ecosystem. This will not only benefit PROTON directly but also uplift the capabilities of automotive vendors in the country and raise their competitiveness on a regional and global level.
Supply of ADAS, Braking, Lighting and HVAC systems to benefit from localisation
Having previously officially announced plans to launch several new models in the current calendar year, the setting up of new component supply chains will help deliver production efficiencies and competitive costs the next generation of Proton vehicles. For instance, one joint venture is between Delloyd Technology Berhad and Imotion Automotive Technology (Suzhou) Co Ltd.
As one of the top suppliers supplying the Advanced Driver Assistance Systems (ADAS) systems to OEMs in China such as Geely, ZEEKR, Chery and Volvo, Imotion Automotive will help accelerate the development and adoption of ADAS systems for the AMA01. Its partner in Malaysia, Delloyd Technology, is a main supplier for multiple brands in the country and a longtime vendor to PROTON.
For braking systems, an agreement was signed between PEPS JV (M) Sdn Bhd and Liuzhou Sanly Autoparts Co Ltd. Malaysian company PEPS JV will focus on component production, and its partner Liuzhou Sanly is responsible for modular assembly of the components. This collaborative approach accelerates technology integration and enhances overall product performance and both the AMA01 and X-Series brake systems will benefit from this synergy, gaining advantages in raw material sourcing and component efficiency to make braking system solutions more cost-effective.
Jiangsu Dekai Auto Parts Co Ltd has a proven record of accomplishment in the automotive lighting industry, with strong R&D, engineering and advanced manufacturing facilities centered around the production of vehicle headlamps. They signed a joint venture agreement with JHM Consolidation Berhad who already have an established production base in Malaysia. The partnership will assist the latter in expanding their capabilities and upgrade their business activities from a replacement equipment manufacturer (REM) to an original equipment manufacturer that will develop and assemble advanced headlamps for future PROTON models.
Finally, the fourth joint venture agreement was between Trillion Speed (M) Sdn Bhd and Shanghai Yinlun Heat Exchange Systems Co Ltd. A specialist in HVAC systems, Shanghai Yinlun is committed to drive knowledge transfer, technological advancement, and the creation of new job opportunities within the local ecosystem that will stem from its collaboration with Trillion Speed, a long-term PROTON vendor. Their efforts will be seen on models launched this year as well as future models in Proton’s product pipeline.
Two technical agreements signed to develop interior and ADAS systems
Aside from the joint venture agreements signed, two technical agreements were also formalised. SHJ Interia Sdn Bhd and Changchun Fawsn Automotive Trim Co Ltd signed a Technical Agreement to develop and transfer new manufacturing technologies for interior components, particularly headlining. At the same time, the agreement includes guidance for establishing SHJ’s own R&D facility while concurrently, Changchun Fawsn is exploring investment opportunities in Malaysia through its partnership with SHJ Interia.
The second technical agreement was between Xenso Electronics Sdn Bhd and Freetech Intelligent Systems Co. Ltd. The agreement is to develop Advanced Driver Assistance Systems (ADAS), and the collaboration enables the co-development of high-accuracy rear and side detection systems—crucial for features such as blind spot monitoring and lane change assist.
“With high technology components becoming an increasingly vital component in our models, it is vital for PROTON to bring the development and production of these components to the local ecosystem, to gain a cost advantage as well as to upskill the capabilities of its R&D team and vendors. The joint venture and technical agreements reflect our long-term commitment to manufacturing vehicles in Malaysia while also turning the country into an automotive hub by contributing to the realisation of the Automotive High Tech Valley (AHTV), that is led by the company’s shareholders,” said Wang Huaibing, Chief Procurement Officer, PROTON.