Despite pumping in RM14b, Putrajaya says Proton not failed firm

Mustapa said that Proton contributed around RM24 billion in taxes since 1985, creating over 12,000 jobs for Malaysians. — Picture by Yusof Mat Isa
Mustapa said that Proton contributed around RM24 billion in taxes since 1985, creating over 12,000 jobs for Malaysians. — Picture by Yusof Mat Isa

KUALA LUMPUR, May 26 — National car company Proton has contributed significantly to Malaysia, a federal minister said after telling Parliament the government has given the firm RM13.9 billion in aid of various forms.

International Trade and Industry Minister Datuk Seri Mustapa Mohamed said in a written reply that Proton contributed around RM24 billion in taxes since 1985 as well as creating over 12,000 jobs for Malaysians.

The Jeli MP further said Proton’s incorporation led to the creation of over 500 supporting firms in the automotive industry.

"It is not true to say that Proton is a failed company. This is because since its establishment, Proton has contributed a lot to the country and given benefit to the industry," he said.

The aid came in the form of grants, tax exemptions and other non-fiscal assistance, he said.

Mustapa said last month that the government cannot keep protecting Proton that now holds just 15 per cent of the domestic automotive market, down from its peak of 74 per cent in 1993.

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