No such thing as rebates through RnD. There is such thing as RnD grant been given to proton. ~The grant is 200million per year.
The rebates the article referring to is before 2005, where proton/perodua did get tax rebate 50% in excise duty. Because of this, our goverment have been punish due to infringement of AFTA. Need to pay fine to thai/indo.
After 2005, proton no longer receive any tax rebate. In terms of excise rate, proton get the lowest rating due to engine is locally produce. The lowest rate is 65% if im not mistaken. Other car markers is 75% for 1.6liter engine. If CKD the rating is as close as Proton. Nissan Almera is high on local content, that is why it is cheap.
If you saying RnD grant is protectionsm, it is a normal practice around the world. RnD grant is given to any local company that do extensive RnD. Not only Proton. And 200 million is not a lot. Ford, holden get more RnD grant from AU government.
In terms of tax, Proton does not have any advantage, in fact disadvantage. In langkawi, they do not enjoy the excise tax exemption because of custom act does not justify product originate from malaysia to have tax exemption. That is why Proton in langkawi is not that cheap.
Actually you just echoed what I said previously. If it's not clear enough, then should I say the grant is given as an R&D incentive which is essentially used to offset the tax. That is how proton can price its car at its current market prices (which is already not cheap).