The results of Proton’s talks with VW have resulted in a dead end as the two firms have called off any sort of cooperation, collaboration or partnership between them. Interestingly, this is the second time that a potential partnership between the two companies has not gone through. Proton’s press release states that VW confirmed its shifting priorities and will not be in a position to continue with the deal. Proton will now go through its other projects and look into a possible deal with Mitsubishi.

We had earlier reported that the outcome was pending discussions between the two firms but that decision has not been a good one. The broken deal has put VW’s CKD plan in Malaysia at risk. VW’s recent interests in Suzuki could have resulted in an unsuccessful deal with Proton. Anyways, we feel VW has enough companies in its kitty to go on alone.

[Paultan]

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