Proton Xchange Programme: RM2,000 rebate for old cars + free road tax for new models

Got a 15-year-old (or older) rust bucket sitting around? Proton wants to take it off your hands and give you RM2,000 for it. The national carmaker has just launched the Proton Xchange Programme, a vehicle scrappage initiative aimed at getting ageing, unsafe cars off the road while nudging Malaysians toward newer, greener alternatives.

Announced today at the company’s Centre of Excellence in Subang Jaya, the programme was officiated by transport minister Anthony Loke and is part of Proton’s broader push to support road safety and sustainable mobility. It is open to any brand and vehicle types including cars, MPVs, vans, lorries, and even buses qualify, as long as they are at least 15 years old and beyond sensible repair.

What’s on the table? A flat RM2,000 overtrade incentive, applicable to any new Proton model including the eMas 7 EV. To sweeten the deal further, Loke also announced a one-year road tax exemption for cars registered under the programme.

Proton has earmarked RM4.8 million for the initiative, which means it is limited to 2,400 vehicles on a first-come, first-served basis, and you will need to get your new car registered by the end of 2025.

Handling the end-of-life process is Car Medic, a Department of Environment-certified and JPJ-appointed authorised automotive treatment facility (AATF). They’ll take are of the deregistration, towing, safe disposal, and issuance of the required Certificate of Destruction (COD). Owners must also submit the JPJK1KD form as proof of deregistration from JPJ.

Car Medic also supports JPJ’s e-Dereg system, allowing owners in selected areas to complete the entire deregistration process at their doorstep. For fleets, groups of five or more vehicles can be processed within two working days.

“With the Xchange Programme, Proton is making it easier for Malaysians to upgrade to safer, more efficient vehicles,” said Dr Li Chunrong, Proton CEO. “We hope this effort will support the nation’s vision of a carbon-neutral future by 2050.”

Transport minister Loke praised the initiative, urging other OEMs to step up: “Proton is showing leadership by focusing not just on sales but on the bigger picture. The government is proud to support this move.”