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More than a hundred parts suppliers and vendors associated with Proton Holdings Bhd are facing severe financial strain due to escalating operational costs. Despite efforts by the Proton Vendors Association (PVA) to engage with the national carmaker regarding their challenges, appeals have gone unanswered, leading to a precarious business environment for suppliers.

According to NST,  Datuk Liu Guoquan, president of the Malaysian Fujian General Chamber of Commerce, suppliers are grappling with decreased orders, resulting in financial instability. Proton’s failure to meet promised quantities of parts orders for its models, including the X50, X70, and X90, has led to a production output reduction of 30% to 50%, exacerbating the situation for suppliers.

The financial strain faced by suppliers poses a significant threat to the automotive industry chain, potentially affecting approximately 50,000 employees. Many vendors are experiencing financial losses and some are forced to cease operations altogether, raising concerns about the industry’s sustainability.

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The Malaysian Aviation Commission (Mavcom) has unveiled revisions to the passenger service charges (PSC) for the First Regulatory Period (RP1), effective from June 1, 2024, to December 31, 2026. The updated rates aim to balance consumer welfare, promote sustainable recovery, and ensure financial stability in the aviation sector amid evolving market conditions.

Mavcom’s statement outlines the revised PSC rates, which vary based on departure and transfer locations within Malaysia. The rates range from RM7 to RM73 and include a security charge for airport security services.

The domestic departure PSC remains unchanged at RM11 for all airports except Senai International Airport, which operates under a separate rate structure.

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Malaysia’s chance to host the Formula E-Prix final next year appears to be slipping away, with Thailand emerging as a likely contender despite initial favour towards Kuala Lumpur. The delay in response from the Malaysian government has led to uncertainty, potentially costing the nation an opportunity to showcase its potential on the global stage.

According to FMT, Formula E extended an invitation to Kuala Lumpur to host the final race annually until 2030, but the Malaysian government has yet to respond. Formula E CEO James Dodd sought an audience with Prime Minister Anwar Ibrahim to discuss the event’s benefits, but the lack of a decisive response has put Malaysia’s bid in jeopardy.

While the cost of hosting the event remains undisclosed, there are concerns about the financial burden it may impose, especially in light of other costly initiatives like the attempted bid for the 2026 Commonwealth Games. However, economic projections suggest significant potential benefits, including injecting millions into the local economy and creating thousands of jobs over the next decade.

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Toyota’s CEO, Ted Ogawa, has expressed a conservative outlook regarding the penetration of electric vehicles (EVs) in the US market by 2030. Despite targets set by the EPA, Toyota aims to leverage its position as a hybrid advocate rather than heavily investing in battery electric vehicles (BEVs).

Ogawa emphasised Toyota’s commitment to aligning with customer demand, which currently leans towards various forms of electrification, predominantly hybrids with internal combustion engines. Toyota’s strategy revolves around meeting this demand while maintaining its hybrid-centric approach.

Toyota’s investment in a $13.9 million battery complex in North Carolina underscores its commitment to hybrid and EV production in North America. The company has poured approximately $17 billion into its US manufacturing operations since 2021, with a particular focus on hybrid production.

While the EPA’s 2030 regulations push for over half of new cars to be BEVs, Toyota’s plan targets only 30%. Ogawa acknowledges the regulatory gap and hints at potential credit purchases to meet compliance while prioritizing customer demand over regulatory pressures.

Despite being a top-selling automaker, Toyota’s EV sales lag behind competitors like Tesla. Ogawa admits the company’s technological gap in battery technology but asserts active efforts to catch up, emphasising not only product development but also creating a supportive ecosystem for BEVs, including charging infrastructure and energy management solutions.

Toyota’s strategy in the evolving EV market reflects a cautious yet adaptive approach, prioritising customer demand and leveraging its expertise in hybrid technology. While the company faces challenges in meeting regulatory targets and competing with established EV manufacturers, its investments and commitment to innovation signal a proactive stance in navigating the transition towards electrification.

The Audi A3, a staple in the automotive market since 1996, is back with an updated version for the 2025 model year. However, it comes with a drawback: a plethora of in-car subscriptions that might irk potential buyers.

At first glance, the new A3 closely resembles its predecessor. Notable changes include the adoption of Audi’s latest hexagonal Singleframe grille design, larger air intakes on the bumper, a prominently placed Audi logo, and updated LED headlights with customisable daytime lighting signatures. The rear bumper, inspired by the RS3, features new LED taillights, a black accent piece, and a mesh insert at the base.

Inside, the A3 offers familiar features such as the 10.1-inch touchscreen and 12.3-inch digital instrument cluster. However, Audi has introduced a new system of in-car subscriptions for basic functionalities like high-beam assist, dual-zone climate control, adaptive cruise control, and smartphone integration. Access to the app store is only granted with the upgrade to the MMI navigation system, from which Audi prompts users to subscribe to additional features like adaptive cruise control or Apple CarPlay and Android Auto for varying durations. Alternatively, users can opt to purchase these features permanently, although specific pricing details are undisclosed.

It’s important to note that this subscription model applies to the European-spec A3.

Visually, the cabin retains much of its predecessor’s design, albeit with subtle updates. The gear shifter is now slimmer and seamlessly integrated into the centre console, new fabric inserts adorn the door panels, and decorative cabin lighting offers an extensive range of 30 colour options.

Under the hood, the European-spec base Audi A3 features a 1.5-litre four-cylinder mild-hybrid engine producing 148hp, available with either a seven-speed automatic or a six-speed manual transmission. Additionally, a 35 TDI diesel variant with the same power output and a plug-in hybrid model are slated for release later in the year.

Exclusive to Europe is the A3 Allstreet trim, designed to resemble a crossover with a matte black grille, front and rear grooves resembling skid plates, and plastic trim around the wheel wells. The Allstreet sits 1.2 inches higher than the standard A3, providing a softer ride. Standard equipment includes 17-inch wheels, with 18- and 19-inch options available.

Both the Allstreet and the standard A3 Sportback offer 380 litres of cargo space behind the rear seats, expandable to 1,200 litres with the rear seats folded flat. An electric tailgate is offered as an optional extra.

The Sportback starts at €35,650 (around RM182,432), with the sedan variant costing an additional €800 (RM4,093). The A3 Allstreet is priced at €37,450 (around RM191,640).

Michelin Malaysia is thrilled to introduce its Hari Raya 2024 Promotion, inviting customers to join in the festive celebrations with enticing rewards for an elevated driving experience.

Running from March 11th to May 12th, 2024, this promotion offers customers the chance to receive exciting rewards when they purchase a minimum of two (2) to four (4) units of MICHELIN Passenger Car, SUV, or Commercial Light Truck tyre models with a tyre size of 15” and above.

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