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THE launch of the all-new Proton e.MAS 7 plug-in hybrid electric vehicle represents a strategic milestone in Malaysia’s automotive development, offering motorists a practical pathway towards electrification while reinforcing the country’s industrial ambitions and environmental commitments, Datuk Seri Johari Abdul Ghani said.
Speaking at the Malaysia International Trade and Exhibition Centre (MITI) on February 4, Johari said the debut of the first PHEV under a Malaysian badge was both timely and strategically significant, combining the advantages of electric mobility with the reassurance of conventional powertrains.
“The introduction of the first plug-in hybrid electric vehicle under a Malaysian badge is both timely and strategic. It offers consumers a practical transition by combining the benefits of electrification with the familiarity and reassurance of conventional powertrains,” he said.
Johari highlighted that the growing adoption of energy-efficient vehicles such as PHEVs aligns directly with the government’s commitment to addressing climate change and reducing vehicle emissions for a greener, more sustainable future.
Reflecting on Proton’s turnaround, the minister recalled witnessing the signing of the strategic partnership between DRB-HICOM and Geely Holding in May 2017, when the Chinese firm acquired a 49.9 per cent stake in the national carmaker.
“At the time, this decision drew sharply differing views. However, it was a necessary intervention to safeguard our national car brand while avoiding further burden on taxpayers,” he said.
The partnership, he said, had proved transformative, reversing years of financial losses and restoring public confidence through popular models such as the X70. Proton’s market share increased from 11 per cent in 2018 to 19 per cent last year, reflecting its revived competitiveness.
Johari noted that Proton remains a cornerstone of the Malaysian automotive ecosystem, employing more than 55,000 individuals and supported by a robust network of local suppliers.
Over the past five years, the company has strengthened localisation, raising the contribution of locally sourced components from 53 per cent in 2021 to 67 per cent in 2025.
He placed the launch in a broader economic context, underlining that the automotive sector contributes an estimated five per cent, or roughly RM82 billion, to the nation’s GDP and sustains more than 700,000 jobs across a sophisticated, technology-driven supply chain.
The sector’s resilience was evident in 2025 when Malaysia recorded a historic high total industry volume of 820,752 vehicles, underscoring a strong post-pandemic recovery. Vehicle production averaged over 750,000 units annually between 2022 and 2025.
Johari highlighted a marked shift in consumer behaviour towards electrified vehicles. While overall industry volume grew modestly by 0.5 per cent last year, sales of electrified vehicles expanded by 52 per cent, accounting for 8.5 per cent of new vehicle sales.
Hybrid and electric vehicles together represented 8.7 per cent of all registrations in 2025, bolstering confidence in achieving the national target of a 30 per cent xEV market share by 2030.
Looking ahead, the minister said the future of Malaysia’s automotive industry will be defined less by production numbers and more by technological advancement and skilled human capital, in line with the New Industrial Master Plan 2030.
“The Government will continue to promote the Malaysian economy as an open, high-skill hub that thrives on global competition rather than protectionism,” he said.
Johari emphasised that priority will be given to investments extending beyond assembly and sales, with a focus on technology transfer, capability building, and workforce upskilling, particularly as the industry transitions towards software-defined vehicles.
“As we move into the era of software-defined vehicles, our competitiveness will depend on a new generation of software specialists, system integrators and high-tech engineers,” he said.
He added that manufacturers aligned with national aspirations would benefit from Malaysia’s world-class supply chain and forward-looking regulatory environment.
He further noted that Proton’s multi-technology approach, incorporating internal combustion engines, electric vehicles, and plug-in hybrids, complements the government’s efforts to foster a cleaner, more inclusive automotive ecosystem while bolstering Malaysia’s regional and global positioning.
Johari welcomed Proton’s export growth, highlighting that overseas sales reached a 13-year high of 6,000 units in 2025, a 26 per cent increase that reinforced its status as Malaysia’s leading automotive exporter.
For 2026, Proton aims to deliver 8,200 vehicles to more than 30 international markets, nearly doubling its global footprint.
He stressed that the transformation of Malaysia’s automotive sector relies on strong public-private collaboration, with the government providing regulatory certainty and policy direction through the 13th Malaysia Plan, while the industry drives investment and innovation.
“When policy and industry move in tandem, we accelerate our transition toward a high-tech, net-zero economy,” he said.
Johari reaffirmed the government’s commitment to guiding Malaysia towards high-income nation status, emphasising high-value investments, deeper domestic industrial ecosystems, and constructive public-private partnerships as pillars of national competitiveness.
Johari congratulated Proton on the launch of the e.MAS 7 PHEV and expressed confidence in the company’s ongoing role in driving Malaysia’s automotive transformation forward. - February 4, 2026
