KUALA LUMPUR: Proton Holdings Bhd (Proton) is optimistic about the recent performance of its international sales division, despite the ongoing stricter lockdown to contain the Covid-19 infections.
The national carmaker's growth in export sales was fuelled by growing demand in several key markets, including Pakistan, Brunei and Egypt.
Pakistan has been the best performer for the manufacturer's export sales in the first five months of 2021, albeit being a new market.
During the period, Egypt was Proton's second-largest export market, having received 350 vehicles through its importer and distributor, Alpha Ezz El-Arab.
Brunei, which started selling Proton vehicles in 1987, was the third biggest export market by volume year-to-date (YTD), and in May, as importer PAD Motors had the best sales month in company history.
International sales director Steven Xu initially said that Proton's plan for 2021 was to grow its export sales volume aggressively.
"Despite international restrictions and the rising cost of shipping caused by the coronavirus, we were confident of being able to meet our goals due to the sales plans of our importers and the appeal of our products," he said in a statement today.
He said Proton was close to doubling its target volume in the first-five month, reflecting a sign for more success in 2021.
Proton exported 669 vehicles to overseas distributors in May 2021, resulting in the company having its best export sales month since March 2013, a gap of 98 months.
Currently, Proton's presence in ASEAN was limited to Brunei. Still, it had plans to return to the two biggest markets in the region, Thailand and Indonesia, very soon.
"For Proton to be the third best-selling brand in ASEAN, we need to have a major presence in Thailand and Indonesia. As the biggest automotive markets in the region, they offer enormous volume potential, but competition is also very high.
"For both countries, we have been busy recruiting partners to build a network that ensures a viable business model, and in the short term, our target is to return to Thailand in 2022," said Xu.
The key to achieving the company's long-term goals remains sales growth in ASEAN, with growing sales in export markets reassuring sign of wider acceptance of the Proton brand and its products.
Proton said the region is contested with many global brands that have invested in production facilities that supply local and export markets as well as competition from locally grown manufacturers.
Meanwhile, Proton said assembly models in its export markets would be also vital for the company to achieve its long-term goals, despite the growing sales domestically,
It added the next market to assemble cars locally will be Pakistan, following the commencement of local assembly for the Proton Saga in Kenya.
"If everything goes to plan, our partner in Pakistan, Al-Haj Automotive, will begin assembly operations with the Proton Saga by the end of July or early August at its new plant in Karachi," he said.
Xu said the Proton X70 would be added to their production line later, with high hopes the development will spur sales growth in the South Asian region.
With Malaysia still undergoing a full Movement Control Order, retail operations of automotive companies had been curtailed, with showrooms required to remain shut.
However, Proton said this would affect total industry volume (TIV) for the next few months.
YTD May, the TIV volume stood at 174 per cent of the target set and only 6.0 per cent behind what was achieved for the whole of 2020.