Proton Powertrain Manufacturing Hub Expands Capacity for Hybrid and Electric Vehicle Production

The Proton Powertrain Manufacturing Hub at Tanjung Malim in Malaysia has evolved from a traditional engine assembly operation into a comprehensive powertrain production center. Announced on June 23, 2026, the facility, located within the Automotive High-Tech Valley (AHTV), now manufactures a broad range of propulsion technologies that support conventional, hybrid, plug-in hybrid, and fully electric vehicles. This expansion reflects Proton’s strategy to strengthen its manufacturing footprint while supporting growing demand for advanced vehicle powertrain systems across multiple vehicle segments.

Since commencing operations in 2022, Proton has invested more than MYR 121 million into the facility. The site has expanded its production scope beyond engine assembly and now produces engines, transmissions, dedicated hybrid engines (DHE), dedicated hybrid transmissions (DHT), and electric drive units. These products serve a wide spectrum of propulsion technologies, enabling the company to support internal combustion engine vehicles alongside hybrid, plug-in hybrid, and battery electric vehicle programs from a single manufacturing location.

The facility currently operates with a designed annual production capacity of up to 240,000 engines. Proton has outlined plans to significantly expand output over the coming years, targeting an annual production capability of up to 400,000 units by 2028. The planned capacity increase is expected to strengthen the company’s ability to meet future demand while supporting broader regional manufacturing and export activities.

Beyond supporting Proton’s own vehicle portfolio, the manufacturing hub also supplies powertrain products for selected Geely programs. These programs serve export destinations that include Vietnam, Mexico, and South Africa. The facility therefore plays an important role not only in domestic vehicle production within Malaysia but also in supporting international automotive programs through a growing export-oriented supply network.

The powertrain hub works closely with a network of 16 suppliers, including eight Malaysian companies. In addition, the operation employs more than 500 personnel, highlighting its contribution to local industrial development and manufacturing employment. Through continued investment, supplier collaboration, and production expansion, the facility is positioned to support the increasing adoption of advanced powertrain technologies across conventional and electrified vehicle platforms.

Frequently Asked Questions

What products are manufactured at Proton’s Tanjung Malim powertrain facility?
Proton’s Tanjung Malim facility manufactures a wide range of powertrain components for multiple vehicle technologies. The site assembles engines, transmissions, dedicated hybrid engines, dedicated hybrid transmissions, and electric drive units. These products support internal combustion engine vehicles, hybrid vehicles, plug-in hybrid vehicles, and fully electric vehicles. The expanded manufacturing scope allows Proton to serve both its own vehicle lineup and selected Geely export programs from a single integrated production hub.

What are Proton’s future production plans for the facility?
Proton plans to substantially increase production capacity at the Tanjung Malim powertrain hub by 2028. The facility currently has a designed annual capacity of up to 240,000 engines, but the company aims to raise this figure to 400,000 units annually. This expansion is supported by continued investment, supplier partnerships, and workforce development initiatives. The increased output is expected to strengthen support for domestic vehicle production and international export programs across several global markets.