The Heavy Industries Corporation of Malaysia Bhd., MMC, and Mitsubishi Corporation established Proton in 1983 as the centerpiece of former Malaysian Prime Minister Dr. Mahathir bin Mohamad's efforts to build the country's first car. In 1985, Proton succeeded in this mission when it launched the Saga backed by the full support of MMC and Mitsubishi Corporation.

Over the years, Proton continued to improve its technical capabilities and in 2000 the company launched its first independently developed passenger car-the Waja. In February this year the company went one step further when it launched the Gen-2, which uses a Proton-developed engine. Proton cars account for around half the cars on the road in Malaysia.

Although today's decision marks the end of the capital alliance, MMC will continue to cooperate with Proton through transferring technology and supplying parts and components as a responsive supplier and partner.

Meanwhile, MMC is also looking to rebuild its sales network in Malaysia. The company currently sells sport utility vehicles, pickup trucks and vans-all of which are classified as light commercial vehicles in Malaysia-under the Mitsubishi-badge and enjoys strong results in sales satisfaction surveys. With the continued development of the ASEAN Free Trade Area and increased opportunities in Malaysia, MMC is considering expanding its passenger car lineup there under the Mitsubishi marque.