CGS-CIMB Securities: Proton X50 to drive domestic market share growth, export plan

Since September 16 after it was opened for registration, the SUV, priced between RM79,200 and RM103,300 recorded over 23,000 bookings, of which 70 per cent were for the flagship and premium variants. — Picture courtesy of Proton via SoyaCincau
Since September 16 after it was opened for registration, the SUV, priced between RM79,200 and RM103,300 recorded over 23,000 bookings, of which 70 per cent were for the flagship and premium variants. — Picture courtesy of Proton via SoyaCincau

KUALA LUMPUR, Oct 28 ― CGS-CIMB Securities Sdn Bhd expects the Proton X50 to be the new growth driver for the national automaker, given that it offers exposure to new markets in “B-segment sports utility vehicle (SUV)”.

Analyst Mohd Shanaz Noor Azam said the X50 is expected to jumpstart Proton’s export growth strategy given that the group plans to export the car to the Thailand market.

“We like DRB-Hicom as a proxy to Proton’s turnaround plan,” he said in a note today.

Yesterday, Proton launched Proton X50, the second vehicle to be jointly-developed by Proton and Geely.

The collaboration offers flexibility for the X50 to be built in multiple sizes and powertrain options, including for electrification.

Since September 16 after it was opened for registration, the SUV, priced between RM79,200 and RM103,300 recorded over 23,000 bookings, of which 70 per cent were for the flagship and premium variants.

Proton started production roll-out of the X50 at its new production line in Tanjung Malim on September 20.

Mohd Shanaz said Proton’s production is not affected by the recent positive Covid-19 cases reported in its engineering division in Shah Alam.

“We learnt that Proton is in the midst of ramping up production, and it is currently producing around 4,000 and 3,000 units of the X50 and X70, respectively, per month in Tanjung Malim,” he said. ― Bernama

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