KUALA LUMPUR: Proton Holdings Bhd, which ended talks with Volkswagen AG last year, needs a foreign partnership to be more competitive in the automotive market, said Minister of International Trade and Industry Tan Sri Muhyiddin Yassin.

"I still believe that this (foreign partnership) is an idea which Proton has to explore.

"I don't think that we need to be too nationalistic in the sense of supporting Proton without taking into consideration what the business is all about," he said after delivering a keynote address at the Malaysia-China Business Council's annual general meeting here yesterday.

Muhyiddin said the automotive market was very competitive and the partnership may help Proton broaden its business in overseas markets.

"If they want to move out, they have to be more competitive, they have to produce a good quality car and have a good technology."
He said Proton had to pick the right partner and make sure that any partnership could bring a win-win situation.

Muhyiddin said the ministry would look at the vendor development programme of Proton seriously to make sure that there were improvements in terms of technology, quality staff and prices.

"This is one of the areas that we are looking at under the National Automotive Policy.

"We want to ensure that this scheme is more reliable and more aligned with the national car programme," he said. -- Bernama