Proton had half of the fast-growing Malaysian market, thanks both to import tariffs (as high as 350% for a Mercedes) that made the Proton cars by far the cheapest in their class, and loans so generous that a buyer could pay as little as 10% of the price of the car up front and the rest over as much as ten years.

ECONOMIST: Malaysia��s car industry

He convinced the board of Lotus Cars owner Proton to back his ambitious plans, which also include the launching of five new road-car models.

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Meanwhile, in March Mitsubishi ended its 20-year alliance with Proton, which bases its cars on the Japanese firm's designs.

ECONOMIST: The car industry

Lotus Racing team principal Tony Fernandes agreed a deal to use the Lotus name in F1 this year with the owner of Lotus Cars, the Proton car company.

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Internationally, Proton sold just 8, 000 cars in 2003 and its one overseas expansion buying Britain's Lotus brought only losses.

ECONOMIST: The car industry

Proton sold only 5, 500 cars in April in Malaysia, half the sales of a year before, and even that was an improvement on a dreadful March (see chart).

ECONOMIST: Malaysia��s car industry

And he broke ground for a second Proton factory that would treble production to 500, 000 cars by 2000.

ECONOMIST: Malaysia��s car industry

High domestic prices allow Proton to charge overseas buyers one-fifth less for its cars.

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But until recently they have suffered from a low power-to-weight ratio, unlike the other sort of room-temperature fuel cell, the temperamental and costly proton-exchange-membrane device, which several firms hope soon to use in motor cars.

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The cars, including the Toyota Fuel Cell Hybrid Vehicle advanced (FCHV-adv), fuel up at Proton OnSite in Connecticut, are in test fleets, and the numbers are very small.

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