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===Domestic=== [[File:Sales of Proton passenger vehicles in Malaysia, 1985 - 2013 (02).png|thumbnail|600px|right|Proton's sales grew at a stable rate in the first decade, but plunged in 1998 due to the [[1997 Asian financial crisis]]. Nonetheless, Proton bounced back and recorded its highest sales volume in 2002 at 214,373 units. Sales gradually decreased in the following five years due to cheaper and more competitive offerings from [[Perodua]]. Proton's sales have recovered slightly since 2008, but their market share is in a current state of decline. Proton has sold over 3,500,000 cars in Malaysia between 1985 and 2013.]] The first Proton, the [[Proton Saga (First generation)|Saga]] [[saloon car|saloon]] launched in July 1985 amid positive reception, but poor sales due to Proton's inability to meet the high demand.<ref name="Proton Saga Anniversary"/> However, Proton later captured a 47% Malaysian market share in the following year, with 24,148 cars sold. The company's market share later grew to 65% in 1987; 85% in the ''Under 1,600cc segment''.<ref>{{cite web |last=K.P. |first=Waran |url=https://news.google.com/newspapers?id=YWFPAAAAIBAJ&pg=6343,2036872&dq=proton+saga+1987&hl=en |title=Impressive start to overseas recognition |publisher=[[New Straits Times]] |date=9 July 1988 |access-date=21 March 2013 |archive-date=30 March 2021 |archive-url=https://web.archive.org/web/20210330235812/https://news.google.com/newspapers?id=YWFPAAAAIBAJ&pg=6343%2C2036872&dq=proton+saga+1987&hl=en |url-status=live }}</ref> Proton maintained a majority market share in the following years, which peaked in 1993 at 74% with over 94,100 units sold.<ref>{{cite web |url=https://news.google.com/newspapers?id=sbdOAAAAIBAJ&pg=3796,3546913&dq=proton+car+sales+1986&hl=en |title=Proton is 10 |publisher=[[New Straits Times]] |date=9 July 1995 |access-date=21 March 2013 |archive-date=31 March 2021 |archive-url=https://web.archive.org/web/20210331000718/https://news.google.com/newspapers?id=sbdOAAAAIBAJ&pg=3796%2C3546913&dq=proton+car+sales+1986&hl=en |url-status=live }}</ref> Car sales in Malaysia plunged from 404,000 units in 1997 to 163,851 in 1998 due to the [[1997 Asian Financial Crisis]].<ref>{{cite web |last=Abdullah |first=Zuraimi |url=https://news.google.com/newspapers?id=UMwyAAAAIBAJ&pg=6683,124453&dq=proton+sales+1999&hl=en |title=Vehicle sales set to cross 300,000 units |publisher=[[New Straits Times]] |date=27 January 2000 |access-date=21 March 2013 |archive-date=30 March 2021 |archive-url=https://web.archive.org/web/20210330235724/https://news.google.com/newspapers?id=UMwyAAAAIBAJ&pg=6683%2C124453&dq=proton+sales+1999&hl=en |url-status=live }}</ref> Proton's revenue and profits were severely affected, but a majority market share was still maintained into the early 2000s.<ref>{{cite web |url=https://www.malaysiakini.com/news/6471 |title=Motor industry sees modest rise amid global uncertainties |publisher=[[Malaysiakini]] / [[Agence France-Presse|AFP]] |date=30 January 2002 |access-date=21 March 2013 |archive-date=22 May 2013 |archive-url=https://web.archive.org/web/20130522110157/https://www.malaysiakini.com/news/6471 |url-status=live }}</ref> In the mid-2000s, Proton's revenues and sales declined sharply. In 2006, Proton's market share was 32%, down from 40% in 2005.<ref>{{cite web|url=https://malaysia-today.net/blog2006/newsncom.php?itemid=2090 |title=25/01: Malaysia's Proton loses top-selling spot for the first time |access-date=28 February 2007 |author=Petra, Raja |date=25 January 2007 |publisher=Malaysia Today |archive-url=https://web.archive.org/web/20071010051848/https://malaysia-today.net/blog2006/newsncom.php?itemid=2090 <!-- Bot retrieved archive --> |archive-date=10 October 2007}}</ref> Proton lost its majority domestic market share for the first time in 20 years to [[Perodua]], the second Malaysian car manufacturer. Factors which contributed to the fall of Proton included the revision of the National Automotive Policy (NAP), Proton's newer indigenously designed models (i.e., the [[Proton Waja]], [[Gen-2]] and [[Proton Savvy|Savvy]]) which were poorly designed and manufactured compared to the former [[Mitsubishi Motors|Mitsubishi]]-based models and stronger competitors, specifically Perodua with their best-selling [[Myvi]] which launched in 2005.<ref>{{cite web |url=https://paultan.org/2005/06/14/negative-image-hurting-proton-sales/ |title=Negative Image Hurting Proton Sales |access-date=21 March 2013 |author=M. Jegathesan |date=14 June 2005 |publisher=paultan.org / Taiwan News Online |archive-date=6 August 2012 |archive-url=https://web.archive.org/web/20120806091829/https://paultan.org/2005/06/14/negative-image-hurting-proton-sales/ |url-status=live }}</ref> Proton's total sales volume and its market share failed to recover to its pre-2002 figures and Perodua remained the domestic market leader from 2006 onwards.{{citation needed|date=September 2022}} [[File:Sales of Proton and Perodua passenger vehicles in Malaysia, 1985 - 2013 (l).png|thumbnail|400px|right|A comparison of Proton & Perodua sales in the domestic market. Perodua, which started out in 1994 as a complement and not a competitor to Proton has overtaken the latter to become Malaysia's best selling car manufacturer. Perodua cars manage to sell in greater numbers due to their cheaper pricing range, in which there are few competitors, as well as their inheritance of generally better designs from their parent company, [[Toyota]].]]{{citation needed|date=September 2022}} Sales of Proton cars grew at a stable rate in the latter half of the 2000s and in the early 2010s. The company briefly regained the top-spot from Perodua in June 2009, after the introduction of the [[Proton Exora]] [[Multi Purpose Vehicle|MPV]].<ref>{{cite web |url=https://biz.thestar.com.my/news/story.asp?file=/2009/7/24/business/4382138&sec=business |title=Proton overtakes Perodua in total sales |access-date=21 March 2013 |date=24 July 2009 |work=[[The Star (Malaysia)]] |archive-date=14 July 2014 |archive-url=https://web.archive.org/web/20140714203105/https://biz.thestar.com.my/news/story.asp?file=%2F2009%2F7%2F24%2Fbusiness%2F4382138&sec=business |url-status=live }}</ref> Proton also matched Perodua's market share in the first quarter of 2011.<ref>{{cite web |url=https://biz.thestar.com.my/news/story.asp?file=/2011/4/7/business/8428936&sec=business |title=Proton closing in on Perodua |access-date=21 March 2013 |author=Huong, Thomas |date=7 April 2011 |work=[[The Star (Malaysia)]] |archive-date=14 July 2014 |archive-url=https://web.archive.org/web/20140714133551/https://biz.thestar.com.my/news/story.asp?file=%2F2011%2F4%2F7%2Fbusiness%2F8428936&sec=business |url-status=live }}</ref> Factors which contributed to the rise of Proton were well-designed cars which catered to the needs of the domestic market (i.e., the [[Proton Persona]], [[Proton Saga (second generation)|second generation Saga]] and [[Proton Exora|Exora]]) in addition to better management of the company under the then managing director, Syed Zainal Abidin. However, despite the improvements made between 2007 and 2012 in addition to improved overall sales, Proton's Malaysian market share continued to decrease. In 2011, the company had a 26.4% (158,657 units) share which plummeted further to 22.5% (141,121 units) in 2012.<ref>{{cite web |last=Gasnier |first=Matthias |url=https://bestsellingcarsblog.com/2013/03/11/malaysia-full-year-2012-record-year-but-no-more-info/ |title=Malaysia Full Year 2012: Record year β now with brands ranking |publisher=bestsellingcarsblog.com |date=11 March 2013 |access-date=21 March 2013 |archive-date=9 April 2013 |archive-url=https://web.archive.org/web/20130409031148/https://bestsellingcarsblog.com/2013/03/11/malaysia-full-year-2012-record-year-but-no-more-info/ |url-status=live }}</ref> In comparison, [[Perodua]] retained a majority market share of 30.1% (189,137 units) in 2012, with [[Toyota]] maintaining its third place at a 16.8% share with 105,151 units sold.{{citation needed|date=September 2022}} Proton's decline in market share stabilised in 2013. In the first half of that year, Proton sold 64,782 cars, representing 20.7% of the market share, a decline of 1.8% over its full-year 2012 share.<ref>{{cite web |first=Matthias |last=Gasnier |url=https://bestsellingcarsblog.com/2013/07/23/malaysia-full-year-prediction-upped-to-record-638000-units/ |title=Malaysia: Full Year prediction upped to record 638,000 units |publisher=bestsellingcarsblog.com |date=23 July 2013 |access-date=27 August 2013 |archive-date=28 July 2013 |archive-url=https://web.archive.org/web/20130728073437/https://bestsellingcarsblog.com/2013/07/23/malaysia-full-year-prediction-upped-to-record-638000-units/ |url-status=live }}</ref> However, by the end of 2013, Proton had managed to raise its market share to 21.2% with a total of 138,753 units sold.<ref>{{cite web |first=Paul |last=Tan |url=https://paultan.org/2014/01/22/maa-2013/ |title=MAA reveals vehicle production & sales data for 2013 |publisher=paultan.org |date=22 January 2014 |access-date=29 January 2014 |archive-date=29 January 2014 |archive-url=https://web.archive.org/web/20140129025316/https://paultan.org/2014/01/22/maa-2013/ |url-status=live }}</ref> Nonetheless, Proton's market share has still declined by an overall 1.3% between 2012 and 2013. In July 2013, Proton sold around 16,600 cars, which accounted for 25% in market share during that specific month, the company's highest ever in 2013.<ref>{{cite web |url=https://www.freemalaysiatoday.com/category/business/2013/08/27/automotive-sector-tiv-may-dwindle-in-august/ |title=Automotive sector TIV may dwindle in August |publisher=freemalaysiatoday.com / The Malaysian Reserve |date=27 August 2013 |access-date=29 August 2013 |archive-url=https://web.archive.org/web/20140202151053/https://www.freemalaysiatoday.com/category/business/2013/08/27/automotive-sector-tiv-may-dwindle-in-august/ |archive-date=2 February 2014 |url-status=dead }}</ref> Perodua on the other hand sold around 19,200 or 2,600 more cars than Proton in July 2013. The rise in Proton's sales were attributed to the launch of the [[Proton Saga (second generation)#Proton Saga SV|Proton Saga SV]], a cheaper variant of the second best-selling car in Malaysia.{{citation needed|date=September 2022}} Another factor which continues to play a significant role in the sales of Proton cars is the National Automotive Policy (NAP), enforced by the Malaysian government in the interests of Proton, Perodua, [[Naza]] and foreign brands with manufacturing plants in Malaysia.<ref name="maa.org.my">{{cite web |url=https://www.maa.org.my/pdf/MEDIA_RELEASE_NAP_Media_281009.pdf |title=Ministry of International Trade and Industry (Malaysia) β Review of National Automotive Policy |publisher=maa.org.my |date=28 October 2009 |access-date=5 April 2013 |archive-date=10 February 2013 |archive-url=https://web.archive.org/web/20130210003747/https://www.maa.org.my/pdf/MEDIA_RELEASE_NAP_Media_281009.pdf |url-status=live }}</ref> Under the NAP, imported vehicles are subjected to varying degrees of import and excise duties depending on the vehicle's origin of manufacture and engine displacement, with excise duty imposed at 60 to 105 percent being the highest component in the duty structure. Vehicles imported from members of the [[Association of South East Asian Nations]], such as Thailand and Indonesia, are subject to the least import duties, whereas those from Europe suffer the worst.<ref name="maa.org.my"/> However, imported [[hybrid vehicles]] and cars purchased in duty-free [[Langkawi]] are exempted from the import and excise duties. The NAP ensures the survival of Proton and other Malaysian-made vehicles under a biased playing field in the Malaysian market. Nonetheless, the import duties of the NAP have been progressively revised and reduced in line with the eventual liberation of the market, but excise duties, the larger component of tariffs, continues to be high and opaquely applied, with non-tariff barriers effectively reducing the rate for Malaysian made vehicles.<ref>{{cite web |author=Hans |url=https://www.livelifedrive.com/malaysia/news/view/3802/explaining-the-mystery-behind-high-car-prices-in-malaysia---part-1 |title=Explaining The Mystery Behind High Car Prices in Malaysia |publisher=livelifedrive.com |date=1 July 2013 |access-date=25 May 2014 |archive-date=25 May 2014 |archive-url=https://web.archive.org/web/20140525202026/https://www.livelifedrive.com/malaysia/news/view/3802/explaining-the-mystery-behind-high-car-prices-in-malaysia---part-1 |url-status=live }}</ref> In March 2013, the Ministry of International Trade and Industry (Malaysia) announced that vehicles manufactured in Australia and Japan will face a gradual reduction of import duties in stages to zero by 2016.<ref>{{cite web |author=Jonathan James Tan |url=https://paultan.org/2013/03/01/import-duties-japan-australia/ |title=Import duties on cars from Japan, Australia to be reduced in stages to zero by 2016 β MITI |publisher=paultan.org |date=1 March 2013 |access-date=5 April 2013 |archive-date=5 April 2018 |archive-url=https://web.archive.org/web/20180405093407/https://paultan.org/2013/03/01/import-duties-japan-australia/ |url-status=live }}</ref> Proton however responded positively to the announcement, citing their recent positive developments such as the 5-star [[Australasian New Car Assessment Program|ANCAP]] safety recognition of the [[Proton PrevΓ©]] as part of its commitment to progress.<ref>{{cite web |url=https://corporate.proton.com/en/News-Events/2013/February/PROTONS-RESPONSE-TO-STATEMENT-BY-MITI.aspx |archive-url=https://archive.today/20130630045602/https://corporate.proton.com/en/News-Events/2013/February/PROTONS-RESPONSE-TO-STATEMENT-BY-MITI.aspx |url-status=dead |archive-date=30 June 2013 |title=Proton's response to statement by MITI |publisher=corporate.proton.com |date=28 February 2013 |access-date=5 April 2013 }}</ref>
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