Malaysia seeks Proton partner

Malaysia seeks Proton partner

By Kevin Brown in Singapore

Published: October 29 2009 03:51 | Last updated: October 29 2009 03:51

Malaysia on Wednesday revived plans to find a foreign partner for Proton, the struggling state-controlled carmaker, as part of a national automotive policy that would also allow foreign manufacturers to set up wholly owned plants in the country to make up-market cars.

Mustapa Mohamed, the trade and industry minister, said the government hoped to resolve the Proton problem “soon”, but gave no indication which of many rumoured foreign partners might be close to a deal.

Officials say that Proton, formed 25 years ago as part of an industrialisation plan, has approached several overseas carmakers in an attempt to find a partner capable of using its significant spare manufacturing capacity.

Volkswagen had serious talks with Proton two years ago, but the discussions collapsed after the Malaysian government baulked at the German carmaker’s demands for a significant equity stake.

Other carmakers understood to have been approached by Proton include Renault of France and General Motors of the US. Proton and Khazanah Nasional, the state investment agency that holds a 42 per cent stake, have refused to comment on the talks.

Syed Mokhtar al-Bukhary, a Malaysian billionaire, is also thought to have expressed an interest in acquiring a stake in Proton, which might allow the government to restructure the company, without prompting the nationalist backlash that selling a controlling stake to a foreign manufacturer could trigger.

Mr Syed Mokhtar is a close associate of Mahathir Mohamad, the former Malaysian prime minister, who remains an adviser to Proton and a vocal defender of its protected position within the Malaysian market.

Mr Mustapa said that any foreign deal with Proton would need to increase Malaysian exports and make the country a production hub, as well as ensuring the transfer of the latest automotive technology and establishing research and development facilities.

“We would like to develop a more viable [auto] sector,” Mr Mustapa said. “We want Malaysia to be a hub. We want to be competitive.”

Mr Mustapa said the government would relax a freeze on new entrants into vehicle production, allowing new manufacturers to establish plants for passenger vehicles with an engine capacity of 1800cc and above, selling for at least M$150,000 ($43,600).

Manufacturing licences will also be available for pick-up trucks and commercial vehicles, hybrid and electric vehicles, and motorcycles with engine capacity of 200cc and above. No equity restrictions will be imposed, allowing foreign companies to own up to 100 per cent of fresh manufacturing ventures in these sectors.

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Abu Dhabi laps it up for Formula One

Dubai: Formula One kingpin Bernie Ecclestone sits behind the desk in his London headquarters staring at the autumn leaves tumbling onto the office garden but seeing in his mind's eye a golden glow building up around his Grand Prix show.

One surefire ruse to break the concentration and bring a smile to the usually stern countenance is to say: "Abu Dhabi." Or, more precisely: "The Grand Prix."

"Yes, Abu Dhabi," he responds, "I can't tell you how much I am looking forward to going there and seeing the job finalised and fit for what should be a tremendous spectacle on a completely different stage."

In pictures: F1 teams at a glance

The well-practised Ecclestone mantra is to water down expectation with doubt so disappointment, if it happens, will not be quite such a burden to bear — but he has departed from that outlook with high hopes, based upon firm belief and trust, that the Grand Prix finale will be a cracker.

"Whatever demands I and other influences have made on the organisers, the designers, the builders and just about everybody else have been met with a fine level of expertise, thought and good manners," he smiles.

"And I have every confidence they will have built a dream. All we need to put the icing on this lovely cake is a race to remember whether or not it is the championship decider. It will be exciting to leave off this season on a high note, based around a scene of magnificent achievement, as a reminder just how much of a thriller next season is shaping up to be."

Ecclestone's anticipation is shared by just about every established team, and the welcomed new ones, for a revival of the old eyecatchers of F1... most importantly, overtaking and side-by-side bravery at 220 mph in new wave cars.

Big money transfers

The all-change activity with drivers moving for big, big money in a transfer system to rival Premiership football will eke out this season's surprises and give 2010's grids a new look.

As the deposed champion Lewis Hamilton — one of the few guys to be staying put at McLaren — says: "With all the changes we should have all the fastest drivers in the fastest cars and that should make for a fantastic season."

Abu Dhabi Grand Prix live coverage

The mouth-watering prospect of Hamilton, and the notably quick Kimi Raikkonen in a vastly improved McLaren versus a revitalised Fernando Alonso and a returned-to-the-fray Felipe Massa in a freshened-up Ferrari with Robert Kubica let loose in what is sure to be a challenger of a Renault, should, indeed, be a treat to behold.

Ferrari's high hopes

Spaniard Alonso, anxious to recapture the form that carried him to two titles with Renault, was the late £30-million (Dh182 million) signing for the Italian legends and is as treasured a car-jockey for the Prancing Horse team as they have ever... ranking in prospect to legend Michael Schumacher.

The main men at Maranello, the team's HQ in Italy, reckon 28-year-old Alonso, on a three-year deal, could go on to match Schumacher's seven-title haul with both age, experience and out-and-out skill on his side.

"He knows how to win and how to do so with panache," says Ferrari boss Luca Montezemolo," he is a good capture for us. And with him and Massa in our line-up we should be a formidable force, in our old style, for next season."

He booted out gloomy Finn Raikkonen when his form flopped and his popularity among the guys in the garage faded and their motivation became threatened because of the 28-year-old's odd attitude compared vividly with the thoroughly likeable and warm Brazilian Massa.

A £12-million pay-off eased Raikkonen's exit — and he has been asking big money, maybe around £20 million, to link up with Hamilton, everybody's favourite at McLaren, in what could be a spikey partnership.

"There's a lot been going on all year," says Ecclestone," and too much of it, not good, we need to forget and put behind us. And aside from all the activity and changing of drivers and teams we must not overlook the excitement that should be generated with the new boys coming in. I reckon they will stir up a lot of interest and put some overdue action and overtaking back into the races."

Remember Lotus?

Four brand new teams are scheduled to join the F1 fray for next season — and it is a plunge that could spark a revolution of challenge among the also-rans with battles as fierce down the rankings as they are among the front-runners.

Read special coverage of Abu Dhabi Grand Prix

So, who are the new kids on the cylinder block?

Most famously the grand old name Lotus... Britain's Ferrari... are to reunite with Cosworth engines 28 years since their last win as a glorious partnership.

Across the intervening years there have been plans to revive the racing marque — all fruitless. Now Lotus is co-owned by Proton and Air Asia tycoon Tony Fernandes, described by F1 team owner Sir Frank Williams as "unstoppable."

They have recruited former Renault, Toyota and Force India technical Guru Mike Gascoyne, as tough and bright a clear and cool thinker and planner as you could wish for, to lead them into the high-speed action.

Then there is Team USF1, the first all-American outfit since Penske pulled out in 1976. It is headed by one-time Renault team manager turned media man Peter Windsor and his partner, ex-Ligier technical boss Ken Anderson and will operate from Charlotte, North Carolina with a race-preparation centre in Spain.

Manor GP was the surprise name on the application sheet when the FIA opened up for new business. But don't expect to see their name on the car on the grid for the opener in Bahrain. The team will be re-branded Virgin Grand Prix with Sir Richard Branson piling in the money.

It is estimated he revelled in his initial investment of a knock-down $170,000 a race with worldwide TV coverage worth more $50 million with the Brawn cars being on screen for more than eight hours.

Little wonder Branson has jumped on the Grand Prix bandwagon with the Yorskhire, UK, based outfit headed by no-nonsense manager John Booth, a sometime Formula Ford battler with a tough outlook.

Manor is a team with a fine pedigree — in the lower formulas they ran Lewis Hamilton, Kimi Raikkonen and Antonio Pizzonia, the ex-Williams-BMW short-stay driver.

Lastly, there is Campos Meta, Spain's first-ever F1 car constructor. The team is bossed by Adrian Campos, maybe not immediately ranked as successful after 17 starts as a driver for minnows Minardi in 1987/8 —with only two finishes.

But as a team owner, think again. His squad has won races and championships in GP2, Formula 3 and Formula Nissan with no less a talent than Alonso.

The team's first car is being designed by Dallara, the Parma constructor's first return to F1 since 1992.

With a season-long TV audience of more than 600 million for each race to satisfy, mega-money sponsors to excite enough to stay involved and a show gauranteed to thrill the prospects are both daunting and enthralling.

But David Coulthard, the ex-driver, 13-times winner and the third-highest points scorer in F1 and now a BBCTV pundit says: "The way this season has gone from a pure racing standpoint — forget the bad stuff — has been a real eye-opener. A real thrill to be around.

"And the way the sport is shaping up for next season, with all the new cars and driver changes and superb new tracks like Abu Dhabi to attract even bigger audiences I'm only sorry I'm not still sitting behind the wheel of a racing car.

"I've certainly got the next best thing... a pass to get into the races."

Living out a dream

Feather in the cap: Fernandes putting the team cap on Riad after announcing the latter�s appointment as CEO on Friday. � Reuters

Riad may be young and small in stature but he certainly comes with strong credentials.

He worked with Sepang International Circuit (SIC) and Nike before joining Proton where he was attached to the managing director’s office as a general manager prior to his current appointment.

Riad said he was attracted to Fernandes’ proposition to live out the dream of seeing a Malaysian team make it in Formula One.

“Datuk (Tony) wants to see Malaysians living out their dreams and to him, nothing is impossible.

“It is not easy to get a place in the grid for the Formula One world championship and it involves a lot of parties. Now that he has created this platform, he wants to invite people with the right talents to join in the dream.

“I have always wanted to try out new challenges and this was his proposition to me ... that it’s better to have tried than regretting it later if we had not taken the first step,” said Riad, who was more into rugby in school.

“I had to stop playing rugby on the doctor’s advice after I had a concussion. I also tried horse riding and golf but stopped as I was not good at it.

“I was not really into racing cars like kids today who are familiar with Formula One. I’m more into cycling these days to keep myself fit,” said Riad, who has a Masters degree in Organisation and Communication from Western Michigan University in the United States.

It is a plum job to be associated with Formula One but Riad has his work cut out for him, namely, to steer the fledgling Malaysian team and make an impact in the Formula One racing and in the process, generate greater patriotic interest.

All these are also expected to generate economic spill overs for the country via endorsements, pro­motions, advertising and tourism.

And that means less quality time to spend with his wife and three children.

“Right now, I am still working from home as our new office at the SIC will only be ready later this month.

“It’s going to get busier when the Formula One season starts in Bahrain in March but I have accepted the challenge and the work load that comes with it.

“It probably has not sunk in yet but it’s not going to be easy getting things to run smoothly initially.

“But like Tony said, we will be there on the grid in March and everyone is chipping in to make the dream come true.”

NAP: Proton And Autopart Makers Seen The Winners

October 29, 2009 15:08 PM

NAP: Proton And Autopart Makers Seen The Winners

By: Ramjit

-->

KUALA LUMPUR, Oct 29 (Bernama) -- National carmaker Proton Holdings Bhd is seen as the immediate beneficiary of the more open National Automotive Policy (NAP) as it already has available capacity for potential auto manufacturers to capitalise on.

Other beneficiaries are the tier-1 autoparts suppliers as the industry consolidates further with the enforcement of mandatory standards on parts and components, OSK Research said on Thursday.

"Overall, we think most players in the industry will potentially benefit as the NAP ensures the long-term viability and competitiveness of the automotive industry, thus transforming Malaysia into a regional and global player," it said.

Under the policy, the government informed that the potential partnership with a global original equipment manufacturer (OEM) will be established.

Market talk is that the tie-up could potentially involve a strategic tie-up with a local assembler, and a likely candidate is DRB-Hicom.

"However, our channel checks reveal that the potential strategic tie-up will merely be with a global OEM without the inclusion of a local assembler," said OSK Research.

Potential candidates, it said, are likely to come in on a bigger scale.

The lifting of the freeze on issuance of new manufacturing licences to selected manufacturers bodes well for the existing local manufacturers and assemblers, notably those with ample excess capacity, which are ready to be capitalised on by foreign automakers, the research firm said.

Furthermore, the additional incentives such as tax exemptions on exported goods and fiscal deductions from the pioneer status and investment tax allowance for the manufacture of critical components will see potential foreign candidates investing in Malaysia in a big way rather than merely as assemblers, it said.

OSK Research said the possibility of a global OEM maker establishing its manufacturing hub as a regional export centre is favourable for Proton given the ample capacity for 200,000 units (per year) at its Shah Alam plant.

Proton currently has a total excess capacity of 57 per cent from both its Tanjung Malim and Shah Alam plants. The carmaker once said it intended to shift its main production to Tanjung Malim given that some of its model line-ups produced from the Shah Alam had been discontinued.

Although Thailand is ahead of Malaysia on incentives by offering lower excise duties on vehicle prices, exemption of import duty on plant machinery in addition to the already established supply chain, the downside is that this requires a minimum investment of RM1 billion.

"We generally view the newly-announced NAP positively as Malaysia will be opening up the automotive industry for value-added investments from global OEMs and leading part manufacturers, especially with the host of incentives such as corporate tax holidays and tax exemption on exported goods," said OSK Research.

To date, Thailand has seven global OEMs -- Toyota, Mitsubishi, Isuzu, Honda, Nissan, Ford and General Motors -- and a few smaller ones that have set up plants with capacity totalling 1.625 million units as of 2008.

As none represents the European region, Malaysia may try to attract global OEMs from this region instead.

This was hinted in the announcement, with respect to relaxation of the ruling on foreign manufacturers in the luxury passenger car segment.

"With regard to the model range offered in Malaysia, we note that the notable luxury passenger vehicles (with an engine capacity of 1800cc and above in the price category of at least RM150,000) worth mentioning which have yet to set up manufacturing lines in Malaysia are Renault, Volkswagen and Porsche (owned by Volkswagen)," said OSK Research.

"We exclude common names such as Mercedes and BMW given that these vehicles have already established a local assembly contract with Automotive Manufacturers Malaysia and Inokom respectively," it said.

"As Renault sits under the Nissan umbrella, it would make more commercial sense to establish a tie-up with Tan Chong, which means a high possibility that a potential strategic tie-up between Proton could be Volkswagen."

Hence, if Volkswagen or any other European car maker establish a sizeable manufacturing hub in Malaysia, there could be a potential shift in buying preference from Japanese luxury cars (which are currently affordable) to the European cars when pricing competition heats up, OSK Research noted.

Over the longer term, this will eventually see the knock-down effect trickling to the lower priced cars due to intensifying competition, it said.

-- BERNAMA

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Sora Racing takes Asian series first win in Okayama

Sora Racing takes Asian series first win in Okayama Racing series   LMS Date 2009-10-31

By Nancy Knapp Schilke - Motorsport.com

Sora Racing won the final two-way battle at the end of the inaugural Asian Le Mans Series race on Saturday, taking the checkered flag in the team's LMP1 Pescarolo Judd was Christophe Tinseau after laps covering 126 laps on the 3.703 km (2.3 mile) Okayama International Circuit. Joining him in the celebration on the top step of the podium was co-driver Shinji Nakano.

Team ORECA-Matmut-AIM's Nicolas Lapierre and Loic Duval had to settle for race one's final outcome, missing the victory by nearly seven seconds but there is always Sunday's second race of the weekend.

One lap down in third for the powerhouse P1 cars was the duo of Christian Bakkerud and liver Jarvis in the Kolles Racing Audi R10 TDi.

Oak Racing took the top honors in the LMP2 class, dueling with the Ibanez Racing team as they were the only two entries in the class for the first Asian LMS event.

Matthieu Lahaye had placed the Oak Racing Pescarolo Mazda on the pole -- the same position the team will hold for race two -- and ended up sharing the podium with his teammates Jacques Nicolet and Richard Hein.

Finishing second -- the two P2 teams covered 116 laps -- was a trio of racers for the Ibanez Racing Courage AER team: Jose Ibanez, Damien Toullemonde and Frederic da Rocha.

LMGT1 had their own show tonight especially when the pole winning Aston Martin DBR9 was stripped of all qualifying times after failing tech inspection (rear wing did not meet the regulations).

Larbre Competition's Saleen S7R inherited the lead spot but after 81 laps, they ended up out of the run for the gold in the land of the Rising Sun. That left JLOC to hold off the charging Hitotsuyama Team Nova Aston Martin.

Hiroyuki Iiri and teammate Atsushi Yogo landed the unique team, founded in 1993 by volunteers, the victory at their home race. [JLOC stands for Japan Lamborghini Owner's Club].

Takeshi Tsuchiya and Akihiro Tsuzuki started at the back of the grid and sliced their way through the slower LMGT2 cars to be one of the main contenders. Both GT1 cars completed 113 laps with JLOC taking the win and Hitotsuyama Team Nova ending second.

Also finishing 113 laps to the overall P1 leaders 126 laps covering the 500 km event were the top two LMGT2 finishers. Again, the Japanese fans saw a competitive show -- all classes had good battles in the first race, leading up to what we no doubt be a second tight fight on the unique circuit that has a lot of twists with a long back straight.

Today's winning GT2 team was the Felbermayr-Proton Porsche 911 GT3 RSR with two of the current Porsche works drivers. Marc Lieb and Wolf Henzler notched the victory, besting the Hankook Farnbacher team.

Dominik Farnbacher and Allan Simonsen had their work cut out for them in their Ferrari 430 GT since they started back in 19th on the grid. Taking second in the sprint endurance race after three hours gives them hope for Sunday's race.

Felbermayr-Proton had a double celebration, taking the final podium step were team drivers Christian Ried and Marco Holzer.

Sunday's race will start in the morning at 9:05am local time.

Proton expects to sell 155000 cars by April

Proton expects to sell 155,000 cars by April

2009/10/31

KUALA LUMPUR: Proton Holdings Bhd expects to sell 155,000 units of cars in its current financial year ending March 31, 2010.

Managing director Datuk Syed Zainal Abidin Mohamed Tahir said with another five months to go, sales had been encouraging and the company would not be surprised if the target was exceeded. "Currently, we are selling 13,000 to 13,500 cars a month. As everyone knows, the last two months of the year will be a difficult one but we are sure that the limit is just below our real achievement," he said. He was speaking to reporters after launching Proton Edar's "Proton Drive for Holidays" campaign here yesterday. Some selected models have experienced a big jump in sales, according to Proton. Syed Zainal Abidin said the new Proton Saga was launched with a initial target of 4,500 units per month but it was now being booked at the rate of 7,000 units a month. "Same goes for the Proton Persona which was launched two years ago but now it is getting 4,000 bookings a month. The newly-launched Proton Exora has just entered the market with bookings amounting to 2,200 units a month," he said. On the industry, Syed Zainal Abidin said the country's total industry volume (TIV) of 500,000 cars this year as projected by the Malaysian Automotive Association was an achievable target. "Even though the total is five per cent lower than last year's 520,000 cars, Proton is still capturing first place in the market as its TIV is growing from 26 per cent to 29 per cent," he said. Asked about the revised National Automotive Policy (NAP), Syed Zainal Abidin said Proton was always thankful to the government and would fulfil all 18 elements of the NAP by collaborating with dealers, vendors and stakeholders. "The policy is not only meant for the main players of the industry but also the minor players who seek opportunities and standards which the government has provided through this policy," he said. -- BERNAMA

 

Cocker speeds to Asian series inaugural pole

Cocker speeds to Asian series inaugural pole Racing series   LMS Date 2009-10-30

By Nancy Knapp Schilke - Motorsport.com

Jonny Cocker places Drayson Racing's Lola Coupe Judd LMP1 on the first pole for the Asian Le Mans Series with a hot lap of 1:19.143 during qualifying on Okayama International Circuit in the land of the Rising Sun. The Brit took four tours on the twisty 3.703 km (2.3 mile) Japanese track that 14 years was the site of the Japan Grand Prix Formula One race.

"Fantastic! Basically unbelievable. With the nature of the circuit and the big steps we made with the car at Laguna we knew that we had a good chance this weekend to be quick," said Cocker. "It's just an unbelievable feeling for me as a driver to get the pole but everybody deserves this so much. Everybody that has been involved in the programme has worked so hard under what has been a very trying year at times. It shows that hard work, dedication and a good team will come through in the end."

Due to the remote location of the circuit, the F1 cars only ran twice. Last year, the Federation Internationale de l'Automobile (FIA) returned to the circuit with the World Touring Car Championship. This year, the newly formed Asian Le Mans Series has joined the WTCC in this weekend's event that will also showcase Formula BMW Asian series Japan's Formula 4 series.

Cocker and Lord Paul Drayson are pleased with the performance of their new prototype which made its debut in the American Le Mans Series Petit Le Mans event in Road Atlanta this past September. The team had campaigned an Aston Martin Vantage in the LMGT2 class in the European Le Mans Series and at select ALMS events. Moving up to P1 has been a challenge for the team as Cocker explained in his recent blog at www.americanlemans.com website.

"I'm feeling good this weekend, now having driven the car a few times at Atlanta then a couple of weeks ago at Laguna; I'm starting to get to grips with the differences between the Aston Martin Vantage GT2 and the Lola coupe," said Cocker. "Each time we run the car we are learning lots. It's certainly been a pretty steep learning curve and I still can't help but feel that it's VERY, VERY fast in every single way. I suppose in making the step up from GT2 to LMP1 that's pretty inevitable. It's all making sense. The Lola coupe is an amazing car to drive and I'm looking forward to seeing how it feels around this tight and twisty circuit."

The best passing area for the faster prototypes will be on the long brack straight but they will have to deal with overtaking the two GT class cars over each three hour race.

Drayson Racing earned their first ever pole in Le Mans style series. They will start the two endurance races being held this weekend on the pole. "I am absolutely delighted with the result and cannot describe the exhilaration of seeing our car at the top of the time charts," smiled Lady Elspeth Drayson, team co-owner. "I'd like to thank the team, Lola and Judd for their hard work in overcoming this enormous disadvantage of the crash at Laguna and repairing the car in the very short time available before this Series. It shows the huge effort that everybody has made to prove the capability of both car and drivers."

Christophe Tinseau and Shinji Nakano will slot second on the grid just 0.106 seconds adrift of pole winning time. Tinseau in the Sora Racing Pescarolo Judd tried on his final lap to better his earlier time of 1:19.249 and that of the pole winning time but fell short with a 1:19.370.

Team ORECA-Matmut-AIM's Nicolas Lapierre had a best lap of 1:19.548 in his and Loic Duval's P1 Oreca AIM to take third on the overall grid. "We had a couple of hours' free practice, which wasn't a lot of running time, all the more so as conditions changed a lot during the day with different track temperatures," said Lapierre.

"It wasn't easy to find the right setup especially as the track had very little grip. It rubbered in slowly and it'll be different for the race. The tyres go off fairly quickly on the circuit, which will be a very important factor like the traffic," added the Frenchman. "We're on the pace and the race is shorter than usual, but it won't be any easier. We'll have to be consistent from start to finish to score a good result."

One of the unique aspects of the Asian series is that instead of one race per weekend, they will have two -- both at 500 km each -- which Hugues de Chaunac, ORECA Group president commented that "It provides us with the opportunity to work on different parameters. In these shorter events strategy will assume even greater importance."

The first pole winner for the Asian series LMP2 class was Matthieu Lahaye for the Oak Racing team. Lahaye turned his fastest lap at a time of 1:23.790 in the Pescarolo Mazda he will share with Jacques Nicolet and Richard Hein.

Stealing the show in LMGT1 was Takeshi Tsuchiya in the Aston Martin DBR9* for the Japanese Hitotsuyama Team Nova and his co-driver Akihiro Tsuzuki. Tsuchiya's flyer was a 1:27.515 on his fourth and final lap with over a two second gap to the second fastest GT1.

Labre Competition's Carlo van Dam laid down his best at 1:29.827 to place second in the team's Saleen S7R. Third in the GT1 class was JLOC Lamborghini with Hiroyuki Iiri at the wheel, his best was a 1:30.679.

Tomas Enge laid down a flying lap at 1:30.721 to land the LMGT2 pole for Team Hong Kong Racing. Enge was only 0.126 seconds faster in the Aston Martin Vantage* over Marc Lieb in a Porsche.

Leib's best for Team Felbermayr-Proton was 1:30.847 in the No. 77 Porsche 911 GT3 RSR. Third in GT2 was the JimGainer Racing's Ferrari F430 GT piloted by Tetsuya Tanaka with a 1:31.283.

Without a doubt the drivers from Japan or those who have raced on the Okayama circuit have a bit of an edge but the more experienced sports car racers will show their knowledge of driver changes and endurance events during the two races. Today was a learning curve of both the track and the cars. The weather was cloudy but dry today, rain could yet change the track conditions.

*Editor's note: When the starting lineup is released after Saturday morning's warmup, the two pole winners in GT1 and GT2 will be at the back of the grid. In post-qualifying technical inspection, both Aston Martin cars were found with rear wings that did not comply with technical regulations.

Per the Le Mans Series press release: "The scrutineers saw that the rear wings of the two cars, which complied during scrutineering, were no longer in compliance with the regulations after the qualifying session, " stated Jacques Olivier, the President of the Stewards of the Meeting, made up of Takashi Mitarashi from Japan and Frenchman, Jean-Pierre Baudriller.

Church gives Tamaki huge bonus

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M'sia's auto policy has little impact

By Pauline Ng, in Kuala Lumpur

MOST analysts see little impact in the near to mid term after Malaysia further liberalised its automotive sector.

Auto stocks reflected the ambivalence yesterday, dropping slightly after the long-awaited tweaking of the national automotive policy (NAP), the country's auto blueprint for the future.

Analysts said that having opened up its auto market earlier, Thailand has the advantage as the hub of choice.

According to OSK Research, Thailand has attracted seven global auto players and a handful of smaller ones with a total output capacity of 1.625 million units annually.

Malaysia's capacity is about a third. "We do not expect foreign direct investment to rush in because the market size for cars larger than 1,800 cc is small and assemblers may lack economies of scale," Hwang-DBS observed in a report on the sector.

Indeed, Malaysian officials acknowledge a global trend towards basic or low-cost vehicles.

The two main liberalisation incentives offered this time, however, pertained to full equity ownership for manufacturers of luxury vehicles of 1,800 cc and above that retail for at least RM150,000 (S$61,530); and full investment tax allowances for higher value-added component makers and hybrid part producers.

Given that the big Japanese and US car companies have flocked to Thailand, Malaysia's best bet is the European players, namely Volkswagen which has been slower in getting a foothold in Asean and which is still seen as a potential partner for national car company Proton.

Proton has huge excess capacities in its plants which can be quickly leveraged - a reason that OSK is more positive about its prospects - while Mercedes and BMW already have local assembly contracts.

And should a proposal under the NAP to scrap older vehicles gain traction, Proton and its local competitor Perodua would benefit, because both are low and entry-level manufacturers.

However, the scheme would be unpopular given the hardship it would pose to the lower income and rural population, and the government might well call off the plan.

The direct beneficiaries are likely to be the tier-1 car parts makers. Although there are nearly 700 local manufacturers of parts and components producing more than 5,000 parts - mostly for Proton and Perodua - the competitive ones also supply to other car makers.

Exports of parts last year amounted to RM1.5 billion.

This article was first published in The Business Times.

High-powered M'sian auto parts suppliers visiting Germany, France

FRANKFURT, Oct 30 (Bernama) -- A high-powered marketing mission of Malaysian suppliers of auto parts and components will be in Germany and France on a week-long visit from Sunday to scout for business prospects, as more and more European car manufacturers seek foreign Original Equipment Manufacturers (OEMs) and Original Design Manufacturers (ODMs).

Malaysia, with a strong auto parts and components supplier base, has good potential to make a strong impact on car manufacturers in Germany such as Volkswagen, Mercedes-Benz and others that rely on a steady supply of quality products for their cars.

"We've already set up meetings for the suppliers with their German counterparts. We're confident the visit will generate good business for Malaysian suppliers on a long-teRMbasis," said Mohamad Sabri Ab Rahman, the Malaysian Trade Commissioner in Frankfurt, who is Malaysia's point man in-charge of the mission's visit to Germany.

The visiting group comprises 12 companies engaged in a wide range of automotive parts and components from hi-tech sensitive parts to components.

Sabri said the mission's primary aim is to help Malaysian automotive parts' and components manufacturers to expand their export market andGermany and France are two attractive markets.

The visit will also provide insights for Malaysian companies on the latest technology and automotive market trends.

In Germany, the delegation will visit Stuttgart and Frankfurt. Stuttgart is home to leading car manufacturers, particularly the Mercedes-Benz Group, which has huge operations in and around that city, said Sabri in an interview with BERNAMA.

The Malaysian External Trade Development Corporation (MATRADE) had arranged for one-on-one business meetings for the Malaysian suppliers with their potential buyers.

The group includes Gallant Automotive Industries (M) Sdn Bhd from Selangor, which produces radiators and condenser fan motors, Carpets International Malaysia Manufacturing Sdn Bhd, also from Selangor, which manufactures interior trims, noise vibration products, parts and accessories for automotive replacement market, including lubricant oil), Amalgamated Batteries Manufacturing of Kuching (automobile batteries, conventional deep cycle and maintenance-free batteries).

Other suppliers are Rubber Products of Melaka (automotive rubber products, radiator, fuel, heater and vacuum hoses, rubber-moulded parts, exhaust hangers and rubber seals.

Kossan Rubber Industries Bhd of Selangor (hi-tech rubber products for wide range of applications); Tech Outlook (M) Sdn Bhd from Selangor (body kits, anti-lock braking system and design and development of products.

Tan Lan Holdings (M) Sdn Bhd from Perak, which produces motorcycle and bicycle parts); First Malaysian Coating Sdn Bhd from Petaling Jaya (coating solutions for automotive, marine, aerospace and industrial sectors); and KCL Metal Industries Sdn Bhd of Selangor (automotive components, accessories, automobile suspension system), Proton Vendors' Association from Selangor (interest group promoting closer ties among vendors and between vendors and Proton).

Sipro Plastic Industries Sdn Bhd of Selangor (plastic parts and components for automotive and electronic industries); Guppy Plastic Industries Sdn Bhd from Penang (plastic parts and components for automotive, electronic, office equipment, medical and telecommunication industries); and Schwenhah Sdn Bhd of Kuala Lumpur (automotive accessories and engine improvement products).

Sabri said, "There is good potential to contract business from the German automotive sector which sources about 80% of its parts and components from overseas suppliers.

"In terms of contribution to the total production cost of a car, some 60 to 70 percent of the value is accounted for by systems and modules suppliers.

"The German industry depends on innovations from these suppliers to manage its cost and value-added attributes," he said.

According to information received from the Malaysian Trade Commission in Frankfurt, Germany is expected to produce about six million vehicles next year. This figure includes both passenger and commercial vehicles.

The value of Malaysia's exports of automotive parts and components in 2008 amounted to US$4.35 million over US$4.09 million in 2007.

Malaysian companies have also been supplying automotive parts and components to Japanese and European car manufacturers.

While Malaysian automotive parts and components are appreciated for their quality, Malaysia faces fierce competition from India which has become a dominant force in the spare parts and components sector.

It is not unusual to see huge delegations of over hundred exhibitors from India showcasing their wares at the Frankfurt Automechanika Trade Fair, the world's largest event for autoparts and components segment.

On the other hand, despite its much lower costs, China has never posed a threat to Malaysia as most German buyers nurse doubts about the quality of the former's products.

Products from China also lacked innovative attributes compared to products from other countries including Malaysia and India. (By MANIK MEHTA/Bernama)

Local Vendors Seek Opportunity From Foreign Brand Assemblers

October 30, 2009 12:15 PM

Local Vendors Seek Opportunity From Foreign Brand Assemblers

By: Ramjit

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KUALA LUMPUR, Oct 30 (Bernama) -- Foreign brand assemblers should provide opportunity for locals vendors to participate in their development programmes, according to the Proton Vendors Association (PVA).

They should also increase the purchase of parts and components from competitive local vendors, said PVA president Datuk Dr Wan Mohamed Wan Embong.

Wan Mohamed said this was the main reason why the association gave full backing for the Industry Adjustment Fund (IAF) to be continued by the government.

"We proposed that the IAF be increased with greater use of local content or participation of local vendors," he told Bernama.

International Trade and Industry Minister Datuk Mustapa Mohamed announced yesterday that under the National Automotive Policy (NAP) review, foreign firms would be given manufacturing licences to hold 100 per cent equity in firms which produce luxury vehicles with an engine capacity of more than 1,800cc and costing more than RM150,000.

The approved permit (AP) system would be scrapped in 2015 for open AP and 2020 for franchise AP while import duties on completely built-up (CBU) and completely knocked-down (CKD) cars would be maintained, he said.

Eighteen new policies and measures covering licensing, duties, incentives, technology and environment, safety and standards, and APs were introduced under the NAP review.

Asked on whether the association was satisfied with the review, Wan Mohamed said: "It is very difficult to say. We are satisfied as we think it is a move in the right direction towards achieving progressive total liberalisation of the industry until which level we become competitive."

However, he said the deadlines on various issues should not be changed again.

"These are promises, so it is a long way to say that we are satisfied," Wan Mohamed said.

"But most important the NAP review maintained a certain level of consistency for areas that are necessary for long-term investment and development, except possibly the extension of APs to December 2020 instead of what was spelled out earlier," he said.

"2015 is only for non-franchise APs but there will be new review of policy and direction before we achieve the objectives, especially a competitive and vibrant automotive industry that can grow and develop."

Wan Mohamed said the PVA was pleased that some of its recommendations were taken into consideration in the NAP review.

"The liberalisation to allow 100 per cent ownership for the manufacturing of passenger cars, in particular of 1,800cc and above and with the selling price of RM150,000, as well as pick-up trucks is excellent," he said.

"So we hope that foreign investors will see this as something positive, especially those in the luxury car segment. This is very positive overall."

Wan Mohamed said the ban on importation of second-hand and used parts from January 2010 under the review would improve the level of safety for motor vehicle users, stakeholders and road users.

"Some of these used parts are generally are not subjected to any quality or safety tests. We need to regulate and this is a good move," he said, adding that local vendors would also be able to expand their services to this segment.

According to Wan Mohamed, there should be a commitment for the government to introduce Malaysia's own standards for parts and components.

He said this should not only be in terms of having the standards but "you need to have good enforcement of the standards too".

"We have been saying this for a long time. We cannot allow the market to be a dumping ground for parts or components from all over the world," he added.

Wan Mohamed said besides parts and components, the goverment needed to re affirm its commitment to have in place the full vehicle of type of approval.

"Our contention is for government to consider using part of the Proton facilities in order to maximise utilisation of the existing assets. This will help reduce overall expenditure. I believe it can be worked out," he said.

-- BERNAMA

We provide (subscription-based)  news coverage in our Newswire service.

New NAP policy terribly unjust

I refer to the Malaysiakini report Long delayed automotive policy out by November.

The BN government has shown time and time again that it does not care for the welfare of the rakyat, especially those from the lower middle-class and lower class. And our PM has the audacity to come up with sweet slogans like 'People 1st, Performance Now'.

This is the same man who said 'ubah gaya hidup' to Malaysians when the petrol price went up to RM2.70 last year causing a spiraling of prices of food and services too.

What does he know of hardship? Najib Abdul Razak, you never faced any financial difficulty at any time in your life for you always had a silver spoon in your mouth from birth.

And now with the new National Automotive Policy, he wants to put people like me, from the lower middle-class in debt. I own a 1991 Proton Saga I inherited from my late father. I refurbished it five years ago and kept it in good condition. It's 18 years old now.

I took it up to Genting Highlands - all the way up - twice in the last two years and my brother borrowed the car to drive from Klang to Penang, and back to Klang again without any problems at all or safety issues.

I owe no money to the banks and the car is economical to run too. Now tell me Mr PM, why are you forcing me to buy a new or not-so-new car? There are two clauses in the NAP that bother me a lot.

- Mandatory inspection for cars 15 years or older before a road tax renewal.

I just know what the spin doctors from the government are going say about this. They will say that old cars are generally not maintained well and are a danger to the safety of the owners and other road users. On the surface it does somewhat make sense.

However are there any statistics to show that most road accidents involving cars are because of faulty mechanical components or just plain carelessness or recklessness? Because in most car accidents I witnessed, its he old cars that are involved - it is mostly cars under 10 years old and the causes were because of carelessness and not mechanical failure.

While this move isn't so bad, it still reeks of the government trying to inconvenience owners of old cars so that they will buy new cars, especially Protons.

- Prohibition of the importing of used cars and parts.

Again the spin doctors will be saying we must buy new parts because they are safer. And the minister has the gall to say that he doesn't want Malaysia to be a dumping ground. Maybe that's true, but tell me at what cost will it come? Currently I can get quality used parts from any 'potong' shop for my Saga, all imported from Japan because the Proton Saga shares a lot of parts with the 80s Mitsubishi Lancer.

By prohibiting these parts being sold, the government has shown its true colors by making it difficult for owners like me to keep my car running for a long time to come. With no cheap quality spares, I have no choice but to buy very costly new ones or some parts will be impossible to buy new like the gearbox or the engine. Then what?

I have no choice but to scrap my old car and then buy a new car. But wait, with my salary what car can I buy ? What else, a new Proton or Perodua. And who stands to make money at my expense? The car-makers who are government cronies and the banks becuase of the car loans.

Dont forget that Najib's brother is a big-shot CEO of Cimb bank. Again the poor wage-earner is being extorted by the mega-corporations. At an interest rate at 4% a year and a loan repayment period of seven years, a new Proton Saga at a price of RM40000, could incur me RM10,000 or more, just in interest payments over the seven years.

On top of that, I would have to service the car for three years at Proton, otherwise the warranty will be void. Wait there's more - if you buy any new car, Proton or otherwise, you will have to pay a marked-up fee for servicing at these centers - a lot more than you would pay at regular workshops. Again the car corporations are making money out of me on top of the sale price.

I am sorry, but I just can't believe that the BN-led government would do anything good for the rakyat, (forgive my cynicism Mr Perdana Menteri). But all is see are the banks and car-makers making money.

Owners of old rear-wheel drive cars who use it for drifting will also be affected. Those who want to indulge in drifting but can't afford expensive cars like the Nissian Silvia or any very expensive newer rear-wheel drive cars will have to give up the sport. They would have to scrap their late 70s Toyota KE70s and the 80s Mistubishi Lancer GSRs. This, in turn, will affect the 'potong kereta' shops as well as repair shops.

Mr Prime Minister, how much is the average salary of the average Malaysian? Mr Prime Minister, how much is the price of a regular mid-sized family sedan? At our salaries, we would have to take seven or nine-year loans and be in debt with the evil banks.

Mr Prime Minister, did you at any point in your life ever face a debt problem because you didn't have a job? When I was a 12-year-old boy in 1988, I witnessed car repossessers come to my home to take away my father's earlier car, a '86 Proton Saga, because my father had lost his job and couldn't make payments of the car loan.

I do mot want to be in debt my dear Najib. I have seen it and experienced it before but I bet you never faced any finacial difficulty in any point in your life. Have a heart, don't go ahead with this unjust automotive policy.

If you want the national automotive scene to thrive on its own, you should drastically lower taxes on imported cars so that Proton and Perodua will have to lower their prices and increase quality as well. Then only can they be competitive.

You must not burden the ordinary wage-earning rakyat like me. My 18-year-old Proton Saga is my luxury. It may seem like nothing to you since you can drive any car you like, but its important to me because it takes me and my family places, and does it economically too.

If you persist in going ahead with this terribly lopsided policy, I assure you I will mobilise all old car owners, 'potong' kereta shops, and garages to sign a country-wide petition and submit it to you. Remember that we are voters too....

The revised National Automotive Policy

The “good feelings” brought by some benefits in the 2010 Budget have been wiped off by the new National Automobile Policy (NAP). The government will continue protecting domestic cars, making the public suffer.

As expected, the revised NAP will not lower car prices and the government will maintain the high import duty and excise duty as the taxes were important “revenue sources for the Government.” In fact, it is meant to protect domestic cars.

It is disappointing that the automotive industry has not really moved towards openness, which has contravened the Prime Minister's commitment to implement economic liberalisation. A protection which is too strong will undermine the country's efforts to attract foreign investment.

The new NAP shows a little signs of liberalisation, such as foreign firms will be given manufacturing licenses to hold 100 per cent equity in firms producing luxury vehicles. However, foreign firms are allowed only to manufacture luxury vehicles with an engine capacity of more than 1,800 cc and costing more than RM150,000, which are not the selling point of Proton.

"It is indeed a big hit for the used vehicle market."

The government made a promise in the NAP announced in March 2006 that the open approved permits (APs) would be terminated on 31 Dec 2010. But under the new NAP, the promise has changed and the new deadline is 31 December 2015. If even a promise can also be changed, how can we expect confidence from foreign investors?

Other protective measures are, starting from June 2011, imports of used automotive parts and components will be prohibited and imports of used commercial vehicles will also be prohibited effective 1 Jan 2016. It is not open at all. If a foreign automobile company wishes to set up a factory in Southest Asia, it is not going to choose Malaysia.

Another impact on car owners would be the mandatory roadworthiness inspections for vehicles aged 15 years or older before road tax renewal and old vehicles may also be prohibited on the road in the future. The mandatory roadworthiness inspections will further burden low-income earners. Currently, there are about 2.7 million vehicles aged above 10 years on the road. Puspakom should have a great business volume and thus, it should pay the government additional taxes.

In order to protect the environment, developed countries usually have a set of regulations to phase out old vehicles. But the government will provide subsidies and preferences. In fact, the subsidies come from automobile firms as they will benefit from the relevant laws, especially for domestic cars.

The government starts the implementation of the mandatory roadworthiness inspections before having a comprehensive policy. It is indeed a big hit for the used vehicle market.

With an underdeveloped public transportation system, cars have become a necessity for Malaysians. But domestic cars, including national cars, are more expensive than foreign cars (Tata Nano from India costs only US$1984). As the government continues protecting domestic cars and refuses to open up the market, it will force the people to forever “work” for cars. How can the little tax deduction allowed by the Budget offset the people's losses?

The government claims that it wants to transform the country into a high-income country. But before we can see any specific programs to increase revenue, the burden has been aggravated. We have to pay annual service taxes for credit and charge cards and the government wants to impose the goods and services tax (GST) in the future. As our incomes are not able to catch up with surging housing and car prices, what's the use to feed on illusions?

I have only one word for the revised NAP: Disappointing! (By LIM SUE GOAN/Translated by SOONG PHUI JEE/Sin Chew Daily)

( The opinions expressed by the writer do not necessarily reflect those of MySinchew )

Economies Of Scale If Global Car Makers Set Up In Malaysia

October 29, 2009 15:15 PM

Economies Of Scale If Global Car Makers Set Up In Malaysia

By: Ramjit

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By Arul Rajoo

BANGKOK, Oct 29 (Bernama) -- Car manufacturers in Malaysia, including Proton, can reap the economy of scale in terms of autoparts made there if global car makers set up their plants in the country, a leading autoparts maker in Thailand said Thursday.

Yeap Swee Chuan, President and Chief Executive Officer of the Malaysian-owned Aapico Hitech PCL, said the cost of producing various parts like fuel tanks, brake lines and jigs could be reduced with more demand.

"Proton will definitely benefit from more manufacturers setting up their plants in Malaysia.

"For instance, with one equipment, we need to produce at least 250,000 units of one part, or the machine is not viable," he said.

Yeap, who spoke to Bernama here today, said with more contracts in hand, original equipment manufacturers (OEM) can produce more parts, citing Thailand, considered as the "Detroit of the East" and the world's 14th largest auto manufacturer with 1.4 million vehicles produced in 2008.

"Even if one big manufacturer enters Malaysia, it will bring enormous benefit and open up the industry. If they can produce 100,000 cars, there will be T2 (Tier2) to supply autoparts to this assembly plant," he said.

There are about 400,000 workers in the automotive sector in Thailand.

Commenting on the reviewed National Automotive Policy (NAP) announced by Minister of International Trade and Industry Datuk Mustapa Mohamed Wednesday, Yeap said it was a brilliant move and even praised the minister for admitting that Thai auto industry had surpassed Malaysia.

"It's a good and sincere move to compare with the neighbour...if not we can't progress any where. Once we know where we are, we can can move to where we want," he said.

Yeap, whose company is one of the top OEM in Thailand with clients like Nissan, Honda, Toyota and Isuzu, said despite the fact that almost all the major global car makers having established their presence here, Malaysia can still lure some of the global players.

"Global companies always move around and they will look at what governments around the world are offering. Some companies had closed operations in New Zealand, Australia, the Philippines and Malaysia to move to China because of cheap labour," he said.

He said Malaysia's move to allow foreign manufacturers to hold 100 percent equity in firms which produce luxury vehicles with an engine capacity of more than 1,800 cc, was timely and would help Malaysia to attract the big players.

These companies, he said, emphasized more on the return of their investment, apart from considering the political stability of the country concerned.

Yeap, however, said what was more important now was for the Malaysian government to follow through the NAP with effective mechanism.

Mustapa had announced 18 new policies and measures covering licensing, duties, incentives, technology and environment, safety and standards and APs introduced under the NAP review.

-- BERNAMA

We provide (subscription-based)  news coverage in our Newswire service.

Wilks could drive Skoda in Scotland

Wilks could drive Skoda in Scotland In association with Wednesday, October 28th 2009, 12:51 GMT

Guy Wilks is understood to have secured a Skoda Fabia S2000 for next month's Rally of Scotland.

The double British rally champion was unavailable for comment when AUTOSPORT contacted him, but the Darlington driver is known to be keen to return to IRC action after he and Proton parted company.

Wilks is hoping to land the BFGoodrich drive in a Kronos Peugeot 207 S2000. The problem he faces is that if he does not bag the drive, it could be too late for him to register his own entry for the Stirling-based event.

It has been confirmed by a source in Belgium that Wilks has already solved that problem by entering a Skoda under the name of Peter Stephenson.

The name alongside Stephenson is Wilks' regular co-driver Phil Pugh and - according to the regulations � if Wilks didn't get the BFG drive, he would be permitted to alter one element of the entry: the named driver.

The source said: "I think there can be two cars [Fabias], maybe three from the private team Rene Georges. One car is for Jan Kopecky, while the other two, we hear, are for [Guy] Wilks and maybe Eyvind [Brynildsen]."

Wilks arriving in Scotland in a Fabia would ensure a fascinating three-way tussle between himself, Alister McRae � the man who replaced him at Proton � and recently crowned IRC champion Kris Meeke.

Rally of Scotland starts on Thursday November 19.

Click here to read Peugeot's IRC blog

NAP Review Addresses Most Issues In Auto Eco-system, Says PEDA

October 28, 2009 19:20 PM

NAP Review Addresses Most Issues In Auto Eco-system, Says PEDA

By: Ramjit

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KUALA LUMPUR, Oct 28 (Bernama) -- The revised National Automotive Policy (NAP) has addressed most of the predicaments in the automotive eco-system, says Proton Edar Dealers Association Malaysia (PEDA).

PEDA's president, Armin Baniaz Pahamin said the policy addressed three main aspects imperative to the Proton eco-system.

"In particular, it addressed the conflict of the two national car makers competing rather than complementing each other, and provides a pragmatic future direction towards Free Trade Agreement (FTA)," he said in a statement here.

"It specified the importance of Bumiputera dealership in the network and the critical issue faced by the vendor and it also addressed the overall saturated and stagnant automotive market."

Armin Baniaz said the public will benefit from the economies of scale gained from preserving specific market segment in the domestic market share for Proton.

He said although the second national car project, launched in 1994, was meant to complement Proton and expand the local automotive product range, they were both now competing in the same market segment and dividing the market share.

"This had led to a lower production (for vehicle in the same segmet), under-utilising the production capacity by both manufacturers in a stagnant if not deteriorating market segment," said Armin Baniaz.

PEDA also lauded the clear directive to increase Bumiputera participation in dealership network.

However, the existing 100 per cent Bumiputera owned dealership that is currently a minority with a total of less than 20 per cent in the dealers network, should be preserved and nurtured, said the president.

The tax/duty exemption on the value of increased Exports of Vehicle and Parts/Components and the gradual removal or reduction of import duty, meanwhile, will be a catalyst to attract a strategic partner for Proton.

The mandatory annual inspection for vehicles above 15 years as a first step towards implementing a Vehicle End of Life Policy is a good move and in line with other developed countries, the association said.

However, PEDA hoped that the scrapping policy that was introduced under the second financial stimulus should be continued especially with the momentum that has picked up.

"Although the quantum offered to scrap 10 years and older vehicle is low but it should be an option given Malaysia's relatively high average vehicle age," Armin Baniaz said.

"The scrapping of old cars is important for our automotive industry that is now quite saturated. The introduction of Vehicle End of Life Policy will address our saturated automotive market as well as vehicle road worthiness and environmental issues."

The phasing out of imported used parts and components including the half-cut will then benefit all parties from the public, Proton vendors as well as the authorised service dealers, he added.

-- BERNAMA

We provide (subscription-based)  news coverage in our Newswire service.

Revised NAP A Boost To Local Car Industry, Says Volkswagen

October 28, 2009 21:28 PM

Revised NAP A Boost To Local Car Industry, Says Volkswagen

By: Ramjit

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KUALA LUMPUR, Oct 28 (Bernama) -- The revised National Automotive Policy (NAP) is expected to give the local motor vehicle industry a boost not only with incentives but also fresh measures to ensure its development.

Volkswagen Group Malaysia Sdn Bhd managing director, Andreas Prinz, said the government has offered measures not only to attract new investments but also encourage expansion of existing operations.

"For foreign car manufacturers like us, we are not expecting too much from the NAP revision. However, we look forward to more details on the policies or measures on technology and environment," he said.

Prinz said this in an email to Bernama in response to the revised NAP unveiled by Minister of International Trade and Industry, Datuk Mustapa Mohamed, here Wednesday.

He said globally, the company was committed to tap opportunities for reducing fuel consumption and making technologies even more climate-compatible.

An automotive analyst from MIDF Research said the lifting of the ban on the issuance of new manufacturing licences would open up the local car industry to the foreigners to assemble cars here and at the same time reduce current excess production capacity.

It would also foster a more competitive market for local and international carmakers, he said.

"This is positive news for market players. Last time, when foreign carmakers want to come here, they have to go through Proton. Now, it will be much easier for them to come in with no controlling issue," he said.

Meanwhile, UMW Toyota Motor Sdn Bhd president, Kuah Kock Heng, said the company was pleased that the government was committed to implement the Asean Free Trade Agreement (FTA) and other existing as well as new FTAs.

"Another positive note is that the government has taken the first step towards implementing a 'Vehicle End of Life Policy'", he said in a statement.

On vehicles parts incentives, Kuah said: "We welcome the additional incentives outlined to support the development of a high value-added parts and components sector and this augurs well for the future of the Malaysian automotive industry."

-- BERNAMA

We provide (subscription-based)  news coverage in our Newswire service.

Luxury car segment takes a dive as financial crisis bites

Hamburg - The Aston Martin, Maserati, Lamborghini Gallardo or Bentley was once a natural accessory for the successful trader in London or New York but the financial crisis is taking its toll with a cloud of uncertainty hanging over some of the famous marques as sales in the luxury sports car segment fall dramatically. Repeated changes of ownership, lack of funds for investment in new technology and debts have always been risk factors for the niche sports car manufacturers with a with a price range of up to 150,000 euros (225,000 dollars).

With a clientele coming mainly from the financial sector pampered by a bonus culture, it is the segment hit hardest by the global economic crisis. Bentley has seen its sales fall by 53 per cent during the first half of this year compared to the same period last year. Maserati sales are down 49 per cent and Lamborghini 37 per cent.

Aston Martin is facing tough times. A Kuwaiti investor, who bought the majority stake from Ford in 2007, is in trouble. Both BMW and Daimler gave the legendary British sports car the cold shoulder after taking a close look a the books, according to several reports. Sales are down by nearly a third compared to last year when 6,200 cars were sold.

Tata, the Indian owner of Jaguar, in September announced a new business plan for ailing Jaguar and Land Rover after conceding in a press statement that manufacturing capacity was at less than 60 per cent with the financial crisis exposing "fundamental weaknesses in the structure of the business."

Tata said it was investing 800 million pounds (1.3 billion dollars), in part supported by the European Investment Bank, to build "a new generation of lightweight sedans, sports cars and premium SUVs, with hybrids and electrification technology." Until those cars are produced in the next couple of years, the company will have to get by with its present model range.

Lotus, another famous British marque, is also in trouble. After making a 2.18-million-euro (3.25 million dollars) profit last year it turned a 15.91-million-euro loss in the year to March this year. Only 2,202 Lotus cars were made this year compared to 2,649 last year. Kept afloat by the Malaysian car company Proton, it is now looking for new markets in Indonesia, Taiwan and Saudi Arabia.

While big car concerns such as Volkswagen can utilise many Audi parts for its Lamborghini subsidiary and BMW can install its engines in a Rolls-Royce, the smaller manufacturers are forced to spend scarce resources on research and development for a car with a production run of only several thousand.

Experts therefore predict a new round of possible ownership changes in the sports car segment, coupled with cheaper production methods and new technology such as hybrid or electric.

Meanwhile the upper end of the super sports car segment is unperturbed by the financial crisis. The annual production run of 70 units for the Bugatti Veyron, owned by VW, is sold out with each car selling at 1.2 million euros without the extras.

These buyers are obviously seeing the top-end super cars or rare classics as an investment. At a Gooding & Company auction in Pebble Beach in August this year a 1962 model Ferrari 250 GT SWB California Spider fetched a price of 3.58 million euros. Copyright DPA

Mind-bending displays, cyclotron tours set for IU Physics-Astronomy weekend ...

Last modified: Monday, October 26, 2009

Mind-bending displays, cyclotron tours set for IU Physics-Astronomy weekend open house

FOR IMMEDIATE RELEASE Oct. 26, 2009

BLOOMINGTON, Ind. -- The Indiana University open house to end all open houses, complete with a perilous bed of nails, streaking rocket cars, imploding oil drums and soda cans ripped apart by magnetic fields, will be brought to you Saturday (Oct. 31) by the IU Departments of Physics and Astronomy.

Photo by Jacob Kriese

Families can expect a fun day of experimentation, tours and talks during the annual open house of the IU physics and astronomy departments this Saturday (Oct. 31).

Print-Quality Photo

"We usually get between 800 and 1,000 people at the event," said physics Associate Professor Hal Evans of the annual event that this year will also include a seasonally appropriate "Phreaky Physics" demonstration, a new hands-on electronics room and other hair-raising (literally, think Tesla coil) activities and events for the whole family.

You can believe the hype from a particle physicist whose career path has taken him from Yale, UCLA , the University of Chicago and then Columbia University before landing at IU Bloomington. Evans' contagious excitement over physics is manifested in a full cast of student and faculty physicists and astronomers who will greet the public with electromagnetic sparks, liquid nitrogen, optical illusions and other stimulating experiences.

"I have always been interested in smashing things into each other. This narrowed my career options to High Energy Physics or Demolition Derby."

The event, set from 9 a.m. to 2:30 p.m. and based out of Swain Hall West, 727 E. Third St., will also include guided tours of the IU Cyclotron Facility (IUCF) and the Kirkwood Observatory, along with designed-for-the-public lectures from astronomy Professor Emeritus Martin Burkhead on the Hubble Telescope and School of Informatics Professor Alessandro Vespignani (also a physicist) on how physics and computers are working to fight global pandemics like the H1N1 flu virus.

Cyclotron tours by shuttle from Swain West, which also include a visit to the Midwest Proton Radiotherapy Institute at the same site, will be offered at 10:30 a.m. and 12:15 p.m. The IUCF is a large, multi-disciplinary laboratory where research in nuclear physics, material science and accelerator physics is conducted, and the radiotherapy institute is one of only four sites in the country where proton radiation therapy is offered. Only guests age 13 and older may visit the IUCF.

Area science teachers have already received special invitations to attend the event, which also includes a teachers-only lunch shared with IU faculty where ideas and experiences about teaching science will be shared.

Prizes will be offered for those who successfully match wits during question-and-answer sessions in a Swain West contest room, and an outdoor exploratorium will include the perplexing Coriolis Force merry-go-round, dry ice bowling and ground-penetrating radar compliments of the IU Department of Geology.

"This open house is aimed at people of all ages and it is free and open to everyone," Evans said. "Faculty and students will be on hand to assist, explain and discuss results, as well as to chat with anyone interested in a career or education in physics, applied physics and astronomy at Indiana University."

For more information about specific events and their times, visit the event Web site at

1Malaysia F1 Team can stimulate innovative and creative investment

KUALA LUMPUR, Oct 26 (Bernama) -- Malaysia's participation in the Formula One (F1) through the setting up of a 1Malaysia F1 Team can stimulate innovative and creative investment for the country, the Dewan was told today.

Deputy Youth and Sports minister Datuk Razali Ibrahim said the initiative of setting up the 1Malaysia F1 team was in line with the Budget 2010 presented by Prime Minister Datuk Seri Najib Tun Razak.

Razali said the country would benefit from the branding and marketing strength of the F1 sport which has about 600 million fans worldwide, especially tourism, as it is one of the most popular sports in the world.

"With live telecasts throughout the year from strategic locations worldwide, this would help promote Malaysia continuously and stimulate our tourism industry," said Razali in reply to a question raised by Lim Lip Eng (DAP-Segambut) at the Dewan here today.

Lim had wanted to know the rationale behind the government's decision to invest in the team and whether it would be financially beneficial to the country in the long term.

Razali added that whatever revenue earned from the venture, would be used to build facilities including a research and development centre for the team, at the Sepang International Circuit (SIC).

"The returns from the venture will also depend on the placing of the team on the grid at every race and the team's ability to attract sponsors," he said.

Razali added that the '1Malaysia F1 Team' would also provide an avenue for the transfer of technology between Lotus and Proton, as well help Composites Technology Research Malaysia (CTRM) to build the chassis of F1 cars.

"Malaysians can also be proud of the F1 car as it will be produced locally and with components from Malaysia. This would increase the profiles of local companies involved in the motor industry and also boost the world's confidence in sophisticated Malaysian technology.

He said that at the initial stage, 30 percent of the workforce for the 1Malaysia F1 Team would be made up of Malaysians while participation from foreigners would account for 70 percent.

"For the first year, the management, Chief Executive, Chief Financial Officer, Legal Department, Human Resource, Marketing and Public Relations will be filled up by locals.

"Once the facilities are in place and completed in two to three years, the proportion will be reverted to 70:30," he said.

New S'pore player for high-powered Beemers

By Christopher Tan Senior Correspondent

GERMAN carmaker BMW is poised to appoint businessman Anthony Chan as a new dealer for its M models - high-powered Beemers costing upwards of $300,000 each.

Sime Darby's Performance Motors, however, is expected to take a minority stake in the new set-up, which sources indicated would start operations in January.

The move, first reported by The Straits Times in April, means the Malaysian conglomerate's status as an exclusive BMW agent in Singapore will come to an end after exactly 30 years.

It also comes barely a year after Performance Motors moved into a $60 million showroom in Alexandra Road.

However, all is not lost for Performance Motors, which will continue to be the sole agent for all other BMW models, including motorcycles.

Insiders say it will take a 40 per cent stake in the new M car set-up - its future rival.

"It's a very strange arrangement," one motor trader commented.

The joint venture's majority stakeholder, Mr Chan, is a 41-year-old car enthusiast known for his sports car collection. The venture represents his maiden motor foray in Singapore, but he has car businesses in China, including a BMW dealership in Xiamen.

He is said to have secured the rental of a showroom in Teban Gardens on the West Coast, next to motor entrepreneur Melvin Goh's Lamborghini and Lotus facilities.

The Straits Times understands that Mr Chan intends to extensively renovate the leasehold property - previously occupied by Proton and Fiat - and has submitted redevelopment plans to the authorities for approval.

Sources say there will be a second showroom at the planned Changi race track.

None of the parties involved in this unconventional tripartite deal would comment. Phone mail to Sime Darby was not returned; Mr Chan would not answer his phone; and BMW said it had no comment.

Still, other tenants in Teban Gardens confirmed that things are brewing.

"We've been seeing people from BMW walking in and out for the past three months," one said.

The appointment of a separate M dealership in Singapore is supposed to be part of BMW's new strategy. The Bavarian manufacturer is likely to set up dedicated M facilities in other markets over the next few years.

The move is similar to what Toyota Motor did when it launched the Lexus brand 20 years ago - separate showrooms, separate sales staff and separate after-sales service. This strategy helped establish Lexus as a luxury make in a fairly short time.

In terms of earnings, losing part of its line-up is not expected to have a significant impact on Sime Darby, as M cars make up only a negligible proportion of its turnover.

Last year, Performance Motors sold 23 M cars, or 0.6 per cent of its total BMW sales. In 2007, the tally came to 14 units, or 0.4 per cent.

BMW is said to be eyeing a quantum leap in sales, however.

This article was first published in The Straits Times.

For more The Straits Times stories, click here.

Tuqiri prey for two lots of Tigers

The Australian

SACKED Wallaby Lote Tuqiri is set to confirm later this week he has signed with English rugby superpower the Leicester Tigers.

The Australian understands Tuqiri has been mulling over two big-money deals in England, but has settled on Leicester -- the richest and most successful English rugby club in the professional era.

Over the past seven years Leicester has taken home the league title on five occasions. The Tigers are dual winners of the European club championship, the Heineken Cup, and are often described as the "Manchester United of English rugby".

Leicester coach Richard Cockerill, a former England hooker, recently played down speculation linking the club with Tuqiri.

However, Leicester is desperate to bolster its backline stocks, with a mounting casualty ward seeing the club sitting in fifth spot after six rounds of the English domestic competition, three wins adrift of fellow powerhouse Saracens.

Another Tigers outfit, Sydney's Wests Tigers, has been the most active club in trying to entice Tuqiri back to the NRL and has put together a competitive offer heavily laced with third-party incentives.

Wests chief executive Stephen Humphreys said yesterday he wasn't aware of Tuqiri signing with Leicester Tigers, but he did know the UK rugby giant was one of several clubs chasing the former Wallabies winger.

"I am aware that they have shown interest and the UK rugby clubs have deep pockets so I'm sure if they've expressed interest they would make an attractive offer to him, but I haven't heard of any outcomes in that regard," Humphreys said.

"If he does make a decision to return to the NRL at some point I would like to think that would be with us and I would be surprised if that wasn't the case."

Any NRL club would struggle to compete with the money that could be thrown at Tuqiri from rugby union.

However, Humphreys said he was happy with the NRL's salary cap and he did not think it needed any tinkering to allow clubs to match it with the money on offer from the rival code.

"We can only operate within our means and we fully support the way the salary cap is managed," Humphreys said.

"I'm not advocating that we would want to do anything to change that necessarily because I think it's working for rugby league generally.

"One of the consequences of that is that we will simply be outbid by others -- at the moment it's rugby union and with Karmichael Hunt it was AFL.

"Other codes will make it difficult for us to compete from time to time, but the benfits of the salary cap outweigh any of those consequences."

Tuqiri has been looking for a new home since being controversially dumped by the Australian Rugby Union in July for an alleged breach of the players' code of conduct.

Following threats of legal action over the termination of his $900,000-a-season deal, which did not expire until 2012, the ARU reportedly settled, with the final deal rumoured to be as much as $2 million.

Yesterday in The Australian, Wallabies coach Robbie Deans admitted the controversy surrounding Tuqiri's sacking adversely affected the team and may have contributed to the disappointing results in the Tri-Nations tournament, with Australia winning just one of six Tests against the powerful New Zealand and South Africa squads.

Tuqiri might not be the only disappointment looming for Wests Tigers with the club still waiting to hear whether Proton Cars will renew its sponsorship next year.

The Tigers had been locked in negotiations with the Malaysian-based car manufacturer for several months but risk having their bid scuttled by a last minute offer from the Sydney Roosters.

Malaysian cars better built this year: JD Power

By Anthony Lim

The numbers speak for themselves - according to the results of J.D. Power's Asia Pacific 2009 Malaysia Initial Quality Study (IQS), the overall new-vehicle initial quality in Malaysia has markedly improved from 2008.

The study, now in its seventh year, examines new-vehicle quality during the first two to six months of ownership.

The study measures more than 200 problem symptoms covering eight vehicle components: vehicle exterior; driving experience; features/controls/displays; audio/entertainment/navigation; seats; HVAC; vehicle interior; and engine/transmission.

All problems are summarised as the number of problems reported per 100 vehicles (PP100), and lower scores indicate a lower rate of problem incidences and higher performance. The study was based on responses from 2,874 new-vehicle owners who purchased their vehicle between Sept 2008 and May 2009, with 52 passenger car, pickup and utility vehicle models from across 15 brands evaluated.

The Malaysian average was 136 in 2009, improving by 22 from 2008, and all eight component areas showed improvement levels. Vehicle exterior issues and problems related to the driving experience represent nearly 50% of total reported problems.

In terms of specific models by segment, the Perodua Myvi ranks highest in the compact car segment for a third consecutive year with 127 PP100, followed by the Proton Savvy (154) and the Perodua Viva (186).

Meanwhile, the new Honda City ranks highest in the entry mid-size car segment, with 76 PP100. Second in the category is the Toyota Vios (107), with the Proton Saga (158) placed third.

In the mid-size car segment, the Toyota Corolla Altis takes the honours with 80 PP100, followed by the Honda Civic (103) and the Nissan Sylphy (109).

As for the MPV/van segment, Toyota's Innova takes the top spot for a second consecutive year, with a score of 85 PP100, with the Nissan Grand Livina (89) and the Toyota Avanza (100) making up the top trio.

In the pickup segment, the Isuzu D-max ranks highest with a 66 PP100 rating, well ahead of the Toyota Hilux (94) and the Mitsubishi Triton (101).

--The Star/ANN

Air Products' Hydrogen Fueling Technology Now Available on Long Island

LEHIGH VALLEY, Pa., — Long Island, New York now boasts hydrogen vehicle fueling capability. Air Products’ (NYSE: APD) hydrogen fueling technology was formally dedicated at a ceremony today as part of an alternative fuel, green energy initiative led by the Town of Hempstead. Air Products is a member of the project team establishing Long Island’s first hydrogen fueling station, along with the Town of Hempstead, the New York State Energy Research Development Authority (NYSERDA), National Grid, and Proton Energy Systems.

“This is a wonderful project with a lot of visibility being located on Long Island. It showcases our dispensing technology, which has the capability to provide hydrogen generated from multiple sources, and in this case, generated by electrolysis from water. We have also fueled vehicles and provided hydrogen at other sites from electrolysis driven by solar and wind methods. The Town of Hempstead and all the New York agencies involved with this green energy demonstration project should be applauded for their effort,” said Bruce Luff, business development manager-Hydrogen Energy Systems at Air Products.

“We are very excited to be at the forefront of an innovative project that explores what we can do to reduce our dependence on fossil fuels and improve our environment,” said Hempstead Town Supervisor Kate Murray. “By demonstrating hydrogen technology and educating the public about hydrogen as an alternative fuel, Hempstead Town’s hydrogen fueling station will help us to lay the groundwork for a cleaner community and a greener planet for future generations.”

Hydrogen for this fueling station, located at the town’s Conservation and Waterways facility in Point Lookout, will be produced through an electrolysis process that generates hydrogen from water. The process does not involve any fossil fuels. The electrolyzer is provided by Proton Energy Systems.

“We are honored to be a part of Long Island’s first hydrogen fueling station, an innovative and important project,” said Rob Friedland, president and chief executive officer at Proton Energy Systems. “Our mission at Proton Energy is to apply advanced hydrogen technology in creative and practical ways to achieve the goals of a project. Hydrogen fueling stations such as Hempstead’s offer major promise for the future, and today marks an important milestone in renewable energy initiatives.”

The project’s goals are to demonstrate, evaluate and educate people about hydrogen’s energy technology and potential. The technology includes an electrolyzer, hydrogen storage and compression system, and multiple fueling dispensers, which are able to provide hydrogen, a hydrogen and compressed natural gas blend, and compressed natural gas for alternative fueled vehicles. Air Products supplied the fueling technology and installed all hydrogen infrastructure for the demonstration project.

2010 Budget fails to excite

'This budget stinks! It has nothing much to help the people. Lower our income tax more as we are struggling with the recession. Give us tax relief for childcare and higher education.'


PM slashes spending in Budget 2010

Arun Paul: RM50 fee per credit card? Already many are struggling to make ends with low salaries and higher living expenses. Here he comes and supports ruthless banks that really don't offer any respite to debtors that fall victim to the economic downturn! I guess I have to take my business elsewhere.

Koh Teng Gee: Due to leakages through corruption, the amount stated in the budget for government spending is always less than 100 percent. The more they spend, the more it goes to their cronies. This has been shown year after year in the Auditor-General reports.

Susah Citizen: So what is the game plan to address corruption? No matter how good the projections or sweet stuff looks, what's the point if the biggest hole in the system is not patched? Personally, I don't think this budget is going to make that much of an impact to the average man on the street.

Darren: There's nothing exciting. I give the budget a grade C. Those who worked on this budget did nothing out of the box. Najib should have thought global to attract foreign investment. Just watch, Thailand will overtake us by leaps and bounds. Thank God, we still have other underdeveloped countries in this region for comparison.

Fairnessforall: What an awful budget. Most of what is decided is only to allow the cronies to again make millions from all those projects. There will never be an end to corruption. The only one good thing is that expatriates married to locals will be quickly given PR (permanent residency).

First he (Najib) says he wants to increase spending, then he puts so additional charges on credit card users. Currently, financial institutions are killing all those who have lost their jobs by adding penalty interest and interest on interest, late payment charges and the like. This budget is useless to the man on the streets.

Maggie Lim: This budget stinks! It has nothing much to help the people. Lower our income tax more as we are struggling with the recession. Give us tax relief for childcare and higher education. It is so hard for parents to support their children's higher education.

Wira: Why only charge RM10,000 for each vehicle AP? Why not subject APs to open tender where each of the may fetch RM25,000 instead?

Why reserve those tax collected under this for the development of bumiputera enterprise in the automotive sector which is already being monopolised by bumiputera interests in Proton, Perodua and Naza?

Can you find a non-bumiputera car manufacturer making any cars using its own brand name? It is precisely because of subsidising inefficient local brand name like Proton that got us into this automobile mess in the first place.

Anwar wonders how gov't will tackle deficit

Barrister at law: Tackling the deficit is a challenge and the government will rise to it. Malaysians should not expect a solution from Anwar Ibrahim who almost destroyed the nation and its economy in the last recession.

As for Lim Guan Eng, where would we be if the nation listened to his father and did not pursue the Penang bridge as well as the massive infrastructure development and industrialisation which he opposed? The reality is that the opposition does not have the depth or even the maturity to deal with the economy.

Chandrasekar: Anwar should know that in India and China, labour is cheap. Even during his time when he was finance minister and deputy prime minister, our foreign direct investment wasn't very high.

Guan Eng, it is 1Malaysia and two systems because on one hand we have BN on the other, we have Pakatan Rakyat messing up in a few states. Really, it is 1Malaysia and two systems.

Tan Chee Kiong: Hello Chandrasekar, For your information, messing up the whole country is BN not Pakatan. The mess in Perak, Selangor and Penang was created by BN. I will support Pakatan for they did not deceive and steal from the people. Didn't you see the Auditors-General's report, Penang is the most well-managed state, which was unheard of under BN/Gerakan rule.

MACC officers grill S'gor exco for 2 hours

Anak Bangau: MACC is definitely an Umno tool. It will act swiftly with regards to any case that involves Pakatan Rakyat even when there is no hard evidence.

Now there is an Auditor-General report which clearly exposed the mismanagement of public funds totaling hundreds million of ringgit. All this committed by BN/Umno cronies and corrupted government officers collaborating with those BN/Umno politicians. But MACC just ignores them. And yet they say they are independent.

Ong: Being a "special assistant" to a DAP exco has become the world's most hazardous job. One is dead. Another now needs a crutch to move around. Potential candidates had better demand five times the normal salary plus personal accident and life insurance.

Loh Lo Mei: MACC has absolutely no right to question anyone right now because its credibility is so questionable. Nothing it does will ever be credible or justifiable, however hard it tries.

The entire agency should just be razed to the ground and re-built from scratch with an entirely new set of people with unquestionable integrity though getting there would be another challenge.

Five Family Members Killed, Three Others Injured In Accident

October 24, 2009 18:57 PM

Five Family Members Killed, Three Others Injured In Accident

By: Ramjit

-->

KUALA TERENGGANU, Oct 24 (Bernama) -- Five members of a family were killed, including three burnt to death, while three others were seriously injured when the car they were travelling in burst into flames in a road crash at KM 123, Jalan Jerangau Jabor, near Padang Kubu Kemaman Friday.

Those killed are the driver of the Proton Iswara Aeroback car, Baharuddin Taib, 45, his wife Maimun Ibrahim, 40, their two-year-old son, Mohd Nor Firdaus, and Baharuddin's mother, Esah Salleh, in her 80s.

There were trapped in the car and their charred remains were removed from the wreckage by firemen.

However, passers-by managed to pull out Esah's body before the car was engulfed in flames.

Kemaman deputy police chief DSP Abdul Marlik Hakim said the couple's 12-year-old son, Aidil Sahidan, who was seriously injured, was rushed to the Tengku Ampuan Afzan Hospital(HTAA) in Kuantan, but died at 3pm today.



The couple's three other children were seriously injured and admitted to HTAA and the Sultanah Nur Zahirah Hospital here. They are Aishah Nabilah, 10; Ekmal Rizal, 8; and Aishah Natasya, 4.

Abdul Marlik said family members had claimed the bodies, which were sent to the Kemaman Hospital, for burial at Kampung Kesum, Manir today.

He said the accident, which occurred at about 7.30pm, involved three cars -- a Proton Saga, a Proton Iswara Aeroback and a Proton Gen2 -- all heading towards Kuala Terengganu.

"The accident happened when the car driven by Baharuddin rammed into a Proton Saga causing the car, with eight people inside, to turn turtle before a Proton Gen2 car crashed into it and then burst into flames," he said when contacted here today.

He said passers-by rushed to the scene and managed to pull out Esah and her four grandchildren who were seated with her in the rear passenger seat, but were prevented from helping Baharuddin, Maimun and their youngest son due to the fire.



Abdul Marlik said the family members were from Kampung Kesum and were believed on their way to Baharuddin's brother's house in Cheneh for a wedding ceremony, which was scheduled for today.

The driver of the Proton Gen2, Mohd Khairul Ikhwan, 18, a student in Subang Jaya, Selangor, Mohd Khairul Ikhwan, 18, was slightly injured and sought treatment at a private hospital here. He was returning to his parent's home in Bukit Payong, while the driver and passengers in the other car were not injured.

-- BERNAMA

We provide (subscription-based)  news coverage in our Newswire service.

Volkswagen launches a new 1.2 TSI engine for the Polo, Golf and Golf Plus

Volkswagen announced that a new 1.2 TSI powerplant is now available for the Polo, Golf and Golf Plus models. The engine is able to output 105 PS and 175Nm of torque that is achieved from as low as 1,500 rpm. As the term TSI suggests, the engine is fitted with a turbocharger and features direct injection.

The 1.2 TSI motivator is treated to an aluminium crankcase and a completely re-tuned direct injection system to help make the engine lighter and more fuel efficient. It also enables to the engine to achieve smooth power development and output lower emissions. The above mentioned features are also used in the 1.4 TSI, an engine that has been awarded the prestigious “Engine of the Year” award three years in a row since 2006.

Air Products' Hydrogen Fueling Technology Now Available on Long Island

Air Products' Hydrogen Fueling Technology Now Available on Long Island   Green Energy Initiative Launched by Town of Hempstead

LEHIGH VALLEY, Pa., Oct. 21 /PRNewswire-FirstCall/ -- Long Island, New York now boasts hydrogen vehicle fueling capability. Air Products' (NYSE: APD) hydrogen fueling technology was formally dedicated at a ceremony today as part of an alternative fuel, green energy initiative led by the Town of Hempstead. Air Products is a member of the project team establishing Long Island's first hydrogen fueling station, along with the Town of Hempstead, the New York State Energy Research Development Authority (NYSERDA), National Grid, and Proton Energy Systems.

"This is a wonderful project with a lot of visibility being located on Long Island. It showcases our dispensing technology, which has the capability to provide hydrogen generated from multiple sources, and in this case, generated by electrolysis from water. We have also fueled vehicles and provided hydrogen at other sites from electrolysis driven by solar and wind methods. The Town of Hempstead and all the New York agencies involved with this green energy demonstration project should be applauded for their effort," said Bruce Luff, business development manager-Hydrogen Energy Systems at Air Products.

"We are very excited to be at the forefront of an innovative project that explores what we can do to reduce our dependence on fossil fuels and improve our environment," said Hempstead Town Supervisor Kate Murray. "By demonstrating hydrogen technology and educating the public about hydrogen as an alternative fuel, Hempstead Town's hydrogen fueling station will help us to lay the groundwork for a cleaner community and a greener planet for future generations."

Hydrogen for this fueling station, located at the town's Conservation and Waterways facility in Point Lookout, will be produced through an electrolysis process that generates hydrogen from water. The process does not involve any fossil fuels. The electrolyzer is provided by Proton Energy Systems.

"We are honored to be a part of Long Island's first hydrogen fueling station, an innovative and important project," said Rob Friedland, president and chief executive officer at Proton Energy Systems. "Our mission at Proton Energy is to apply advanced hydrogen technology in creative and practical ways to achieve the goals of a project. Hydrogen fueling stations such as Hempstead's offer major promise for the future, and today marks an important milestone in renewable energy initiatives."

The project's goals are to demonstrate, evaluate and educate people about hydrogen's energy technology and potential. The technology includes an electrolyzer, hydrogen storage and compression system, and multiple fueling dispensers, which are able to provide hydrogen, a hydrogen and compressed natural gas blend, and compressed natural gas for alternative fueled vehicles. Air Products supplied the fueling technology and installed all hydrogen infrastructure for the demonstration project.

Today's station dedication program had on-hand several hydrogen powered passenger vehicles providing vehicle fueling demonstrations, and ride and drive opportunities for attendees. Air Products' hydrogen powered bus, which operates daily at the company's headquarters and at nearby locales for civic, educational and charitable events, gave rides, and its interactively designed interior provided information and quizzes on hydrogen. There was also a fuel cell powered golf course greens-cutter lawn mower there for demonstration.

Air Products, the leading hydrogen supplier to refineries to assist in making cleaner burning transportation fuels, has placed over 100 hydrogen fueling stations in the United States and 16 countries worldwide. Cars, trucks, vans, buses, scooters, forklifts, locomotives, planes and other material handling equipment, and even submarines, have been fueled with this trend-setting technology that involves Air Products' know-how, equipment and hydrogen. Use of the company's technology is increasing and is currently at 120,000 hydrogen fills per year. Air Products provides liquid and gaseous hydrogen, and HCNG (hydrogen/compressed natural gas) fueling, and has developed a variety of enabling devices and protocols for fuel dispensing at varied pressures. Hydrogen for these stations is delivered to a site via truck, or produced by on-site natural gas reformation, biomass conversion, or by electrolysis, including electrolysis that is solar and wind driven.

Air Products has more than 50 years of hydrogen experience and is on the forefront of hydrogen energy technology development. Air Products has an extensive patent portfolio with over 50 patents in hydrogen dispensing technology. For more information on Air Products' hydrogen fueling station technologies go to www.airproducts.com/h2energy.

About Air Products

Air Products (NYSE: APD) serves customers in industrial, energy, technology and healthcare markets worldwide with a unique portfolio of atmospheric gases, process and specialty gases, performance materials, and equipment and services. Founded in 1940, Air Products has built leading positions in key growth markets such as semiconductor materials, refinery hydrogen, home healthcare services, natural gas liquefaction, and advanced coatings and adhesives. The company is recognized for its innovative culture, operational excellence and commitment to safety and the environment. In fiscal 2009, Air Products had revenues of $8.3 billion, operations in over 40 countries, and 18,900 employees around the globe. For more information, visit www.airproducts.com.

About Proton Energy Systems

Proton Energy Systems designs and manufactures proton exchange membrane (PEM) electrochemical systems to make hydrogen from water in a zero pollution process producing safe, pure, reliable onsite hydrogen to meet today's global hydrogen requirements. Proton Energy Systems has been developing and manufacturing world-class electrolysis systems since 1996, with more than 1200 units deployed world-wide, on every continent. With a reputation for building robust, reliable, and safe systems, federal, state, and commercial partners repeatedly seek the creative solutions that Proton Energy Systems has proven it is capable of delivering. For more information, visit www.ProtonEnergy.com.

***NOTE: This release may contain forward-looking statements. Actual results could vary materially, due to changes in current expectations.

SOURCE Air Products