KUALA LUMPUR (Jan 19): Perusahaan Otomobil Nasional Sdn Bhd (Proton) is planning to introduce premium electric vehicle (EV) brand smart Automobile Co Ltd's range of new EVs into the rapidly growing ASEAN automotive market.

In a statement Wednesday (Jan 19), Proton said it and smart Automobile have signed a memorandum of agreement (MoA) which will see both parties collaborating via Proton Edar, who will be appointed as the importer, distributor and dealer for smart Automobile in Malaysia and Thailand. At the same time, smart Automobile (Nanning) Sales Co Ltd — a wholly-owned unit of smart Automobile — will fulfil the role of a gateway for smart Automobile to the region, said Proton.

smart Automobile is a joint venture between German and Chinese automotive groups Mercedes-Benz AG and Zhejiang Geely Holding Group Co Ltd founded in 2019, which they plan to develop into a world-leading, premium EV technology brand.

“With the signing of the MoA, Proton is taking its first steps on its New Energy Vehicle strategic journey. By collaborating with smart Automobile, we will be able to gain experience in the selling, servicing, and charging of new EVs and build up the skill sets we require to be a force in Asean’s rapidly expanding new EV sector. This is also an opportunity to tap on smart’s customer base, which will open up more opportunities for the Proton brand,” said Proton chairman Datuk Seri Syed Faisal Albar.

Proton also shared, citing forecasts by the International Renewable Energy Agency, that the new EV market will grow to around 10 million units in Southeast Asia by 2025, and that smart Automobile, with its new product portfolio due to be launched in the coming years, will be well placed to take advantage of growth in the region.

“The MoA with Proton Edar is for the company to establish a multi-level sales and service network in Malaysia and Thailand, as well as a brand experience centre and a number of sales locations, providing local markets with sales and after-sales services for smart vehicles.

“With smart’s ‘dual-home’ (Europe and China) business strategy, the company already covers two of the world’s largest automotive markets. Now, as part of our forward-looking strategy, we are joining hands with Proton in Southeast Asia. With minimal investment, the agreement will allow us to enter the Thai and Malaysian markets in the near future.

"As our regional partner, Proton has a first-class corporate reputation, extensive experience and valuable knowledge of local operations. We look forward to working together to provide consumers in Southeast Asia with a new premium, intelligent, all-electric driving experience,” said smart Automobile's chief executive officer Tong Xiangbei.

According to Proton, the MoA with Proton Edar is for the company to establish a multi-level sales and service network in Malaysia and Thailand, as well as a brand experience centre and a number of sales locations, providing local markets with sales and after-sales services for smart vehicles. "Currently, there are no plans to collaborate beyond the tenets of the agreement," it added.