KUALA LUMPUR, July 31 ― MCA Youth’s legal bureau chairman Ng Kian Nam has urged Putrajaya to uphold democracy and transparency by first holding a referendum before making any move to reinforce protectionism for national carmakers.

In a statement, Ng said that the Pakatan Harapan (PH) government has to confirm if Prime Minister Tun Dr Mahathir Mohamad’s stand on the national car project is shared by Cabinet members.

"We demand the PH government to confirm, whether the above stand taken by Tun Mahathir was ever brought up for discussion in the Cabinet, or in-depth study with the Transport and Finance Ministries, and represent the collective decision by the cabinet itself,” said Ng.

"If the Pakatan government thinks that its protective measures and development of the national car project are indeed beneficial to our long-term national development, it might be best for the government to consider upholding the spirit of democracy and transparency, by way of allowing the people at large to decide on this mega project through a referendum.”

In June, Dr Mahathir had suggested the need for a third national car to ensure competition between local manufacturers like Dr Mahathir’s first automotive brain-child Proton and Perodua.

Ng added that Dr Mahathir’s stand on the project contradicted the PH government’s emphasis on reducing Malaysians’ financial burden.

"We must be wary of the national car project’s far-reaching impact, including the RM13.9 billion government investment since its launch in the 1980s, and how Malaysians were forced to purchase imported cars at prices so expensive owing to the protective measures and ended up suffering from high household debts,” he said.

"His recent complaint that our market was too open for imported cars whereas our cars were not allowed into their countries of origin, is but an example of his arrogance,” Ng added.

"...We believe, in this era of a globalised free market, all quality products and services, regardless of their origin will get the support from consumers around the world, Malaysian consumers included.”

He added that the national car project failed because there was a lack of reliable independent research and development efforts that could make it competitive in a global arena, claiming that import of the national car was highly due to its inexpensive price.

"With regard to Dr Mahathir’s claim of unusual phenomenon where some quarters import our national cars sold abroad for sale here, we find that the main reason was that our national cars are being sold much cheaper in foreign markets to make up for their inability to compete,” said Ng.

"This once again proves that we are lacking in quality and this has resulted in the people being forced to buy more expensive vehicles (including the national cars at prices steeper than in other countries).”

On Monday, Dr Mahathir said the government would be reviewing the national automotive policy, which may see stricter conditions on the import of foreign cars.