Proton inks deal to make electric cars

Malaysian automaker Proton Holdings Bhd and battery manufacturer Detroit Electric Holdings Ltd. (DE) have banded together to launch an electric vehicle by the first quarter of 2010, targeting sales of 40,000 units in its first year of mass production. DE has inked a strategic licensing and contract assembly agreement with Proton, under which the car maker licensed DE the use of two of its vehicle platforms, the Persona and Gen 2, for production of the electric cars, which would be assembled at its plant in Tanjung Malim. The electric vehicles would be sold in the United States and Europe under the DE brand for between US$23,000 and US$33,000. Proton, the company said, is likely to be given the rights to sell the vehicles under its brand name in the Asia-Pacific and Organisation of Islamic Conference markets. Key to DE’s electric cars is its Magnetic Flux Motor Technology, which allows a 180 kilometer (km) range on a single charge for the city model and 320 km for the extended range model. DE plans to adapt Proton’s platforms and interiors, but redesign distinctive exterior elements such as lighting, in addition to installing its patented electric drive system so that the vehicle would be homologated for different markets. (March 31, 2009)