PERUSAHAAN Otomobil Nasional Bhd (Proton) remains cautious on its production capacity amid a chip supply crunch and pressure from rising costs in the car industry, said Proton Edar CEO Roslan Abdullah.

However, the national carmaker has secured its chip supply for this month and next month, and is anticipating a quick turnaround following a difficult month in April.

“The situation is still uncertain for the rest of the year,” said Roslan in a statement.

“The global car industry is under pressure from rising costs, but the company is working on counter measures to ensure customers get the best products and value locally and internationally.”

Despite best efforts to turn around a shortfall in production in the first quarter, April proved to be another challenging month as chip supply issues continued to limit the number of cars sold, he added.

“After two years of pandemic-affected sales, Malaysia’s automotive market continues to show strong growth potential this year, as evidenced by the long waiting list for new car deliveries.

“Proton is trying to catch up with market demand, but it also acknowledges being most-affected by chip supply issues.”

Its sales last month slumped 41% to 8,839 units compared with a year earlier, and down 32% from March.

Its export sales last month stood at 456 units, “a figure also affected by parts supply issues”, said the company.

Pakistan is its biggest export market with 1,050 units, followed by Egypt and Brunei with 172 and 138 units, respectively. – Bernama, May 6, 2022.