Friday, May 9, 2008

Perodua Noutica 4WD



The new Nautica SUV which was launched this afternoon signals a new phase in the evolution of Perodua. The name seems appropriate since ‘nautica’, derived from ‘nautical’, brings to mind sailing into uncharted waters and Perodua is now going into new territory in its 15th year of existence. This is the first time that Perodua is not building its own model and instead importing it as a completely built-up unit (CBU) from Japan, a move that critics say is a departure from its original mission and also not appropriate for a national car company.

The critics do not realize that Perodua has not received any import duty concessions for the Nautica (in fact, it even needs APs to import the model) and nowhere does it present the new model as a ‘national’ model. The Kembara, which was made locally, was originally portrayed as a ‘national SUV’ but the Nautica is just ‘a new compact SUV in the Perodua line-up’.

The reason why Perodua has chosen not to make the Nautica locally is that the potential sales volume is insufficient to justify the investment that would be needed. Basically, the SUV segment is no longer as large as it was 10 years ago when the Kembara was launched. Consumer preferences have changed and last year, more MPVs and pick-ups were sold than SUVs. So the SUV segment is not substantial and even the best-selling SUV, the Honda CR-V, only averaged about 443 units a month in 2007.

Perodua estimates that the successor to the Kembara would draw about 200 buyers a month at most and while making 2,400 units a year locally is possible, the question is whether it will be worth the investment and whether it will be a CKD assembly approach or manufacturing (which means stamping body panels). There are companies which do assemble less than 3,000 units a year but their plants are geared towards smaller volumes than what Perodua today produces.

What many do not realize is that Perodua, after 15 years, is no longer comparable to the other assembly plants in the country; it has evolved into a full-fledged manufacturing operation with an annual capacity of 250,000 units. In fact, even from the start, it was already manufacturing rather than assembling because it was stamping its own body panels, an aspect of the car-making process which requires high investments and therefore high volumes. Over the years, further investments in more advanced equipment for more efficient, higher quality manufacturing and increased automation have all taken Perodua to a point where it can no longer do small volumes.


“We should not be so hung up on national pride and be forced into doing things which do not make business sense,” said Datuk Syed Abdull Hafiz bin Syed Abu Bakar, MD of Perodua. “We will still make high-volume models with high quality and offer them at affordable prices and we will also continue to bring in new technology. Such technology is not just in engines but also in manufacturing and an example is how we have used the latest manufacturing processes to push the defect rate per unit down to 0.2, which is a very big improvement from the time we started.”

Of course, the company could have simply not bothered with a successor to the Kembara but in the past couple of years, it has become apparent that when someone walks into a Perodua showroom, the only models they see are the Myvi or Viva. The Rusa van and Kembara were phased out some time back and the Kancil and Kelisa are also gone while the Kenari is likely to fade away before long. So for 2007, it was decided that an additional model was needed and the Nautica was considered a suitable one which could also continue the ‘legacy’ of the Kembara even if it won’t capture the all-time high of 64% of the SUV market as the Kembara did in 1999.

The first thing most people will remark is that the Nautica looks like the Toyota Rush and yes, it is a shorter version. From various conversations with Perodua, Daihatsu and Toyota engineers, the Daihatsu BeGo/Terios from which the Nautica is derived is the ‘standard’ wheelbase model and Toyota adapted the platform to use for the Rush for Asean in order to get a 3-row SUV (and also uses the same platform for the Avanza).

Dimensional differences are therefore visually noticeable since the Rush has to accommodate three rows of seats. The wheelbase is almost 100 mm longer while the body is about 300 mm longer but the width is the same for both models. However, Perodua’s marketing people do not regard the Rush as a direct rival since that is aimed at a more family-oriented target group which needs a 7-seater. So if it is not competing with the Rush, then the Nautica is actually in a segment on its own as other 2-row SUVs are larger and cost more with the exception of the Chery Tiggo from China.

Compared to the Kembara, the Nautica is a larger vehicle in all ways: 160 mm longer wheelbase, 240 mm more length, 140 mm more width and it even stands 25 mm taller. The larger platform has allowed the wheels to be pushed further apart, which is better for stability. The centre of gravity is lower as the width-to-height ratio of the Nautica is 1.02 whereas for the Kembara, it was 1.10. Of course, the larger body means more metal and glass and it’s not surprising that the kerb weight has risen to 1200 kgs, about 10% heavier than the Kembara.

Nautica (left) has a bolder bumper design than the Daihatsu version sold in Japan. Bumpers are made in Malaysia

Although the Nautica is derived from the Daihatsu Terios/BeGo, its looks are not 100% identical if you look closely. The grille, with its Perodua badge, is an obvious difference but compare the front bumper of the Terios with the Nautica and you will see that the Nautica’s is ‘bolder’. To provide a bit of differentiation, Perodua’s designers reshaped the bumper a bit and this meant that the bumper had to be made locally (along with the grille). The rear bumper is also made in Malaysia and incorporates reverse sensors from a local supplier.

One thing which people don’t appreciate is the colour-matching of the bumper to the bodywork. Both parts are done separately and usually in different facilities so the fact that you can’t see a difference in the colour between the bumper and the body is evidence of how well the matching is done. Add to this the fact that the paint used is also different because the bumpers are of a smoother plastic material and not steel.

Chassis may have same hybrid monocoque design as Rush/Avanza but additional reinforcements (circled) increase rigidity by 30% for the Nautica


Rear suspension

The structure of the Nautica is monocoque, like a passenger car’s, so it is also rigid. However, the monocoque concept is a hybrid type with the chassis frame welded into the chassis and the chassis itself is welded with the upper bodyshell as a single unit. This approach gives extra strength and also better load-carrying.

Perodua engineers point out that although there are similarities to the Rush/Avanza platform, the one used under the Nautica has additional reinforcement which increases body rigidity by 30%. The additional rigidity is considered useful since the Nautica is likely to be driven by younger people who would probably drive in a ‘spirited’ style.

The suspension is a simple layout consisting of MacPherson struts in front and a 5-link arrangement to locate the live rear axle. Coil springs and telescopic dampers are used front and rear. As for brakes, again a fairly conventional disc/drum set-up while the steering is a rack and pinion type with hydraulic power assistance.

The Nautica has a 1.5-litre (1495 cc) DVVT petrol engine with a DOHC, 16-valve aluminium cylinder head and cast iron block. This is the largest engine now offered by Perodua as the Rusa van, which had a 1.6-litre engine, is no longer in production.

The compression ratio of the engine is around 10.0:1 but it is tuned to run on RON92 petrol without problems. In this state of tune, it produces 80 kW/108.8 bhp of power at 6000 rpm and 141 Nm of torque at 4400 rpm. DVVT, the variable valve-timing mechanism, enhances driveability throughout the rev range which, in turn, helps in fuel economy and promotes more complete combustion for less toxic emissions.

Only a 4-speed automatic transmission is available but the drivetrain is a full-time 4WD, like the Kembara’s. The use of 4WD in small models is not new in Japan and many of the manufacturers have provided it as a means to improve stability on slippery surfaces like ice and snow, and not for off-road capability. Thus the 4WD in the Nautica is essentially a ‘mild’ system that will come in useful on wet roads and also for casual off-road driving. Don’t expect it to perform like a Toyota Land Cruiser just because it has 4WD and in any case, the Dunlop Grandtrek tyres (215/65R16) are not intended for extreme conditions.

1.5-litre DVVT engine is largest currently offered in a Perodua model

As with the Kembara, the Nautica’s 4WD system also comes with a Centre Differential Lock (CDL) which, when activated by pressing a button on the dashboard, locks the front and rear axles so they rotate at the same rate. If unlocked – the normal mode – the wheels on the front and rear can rotate at different speeds to compensate for slip and surface conditions that vary grip. This is important to avoid excessive wear as a locking them can cause some wheels to be dragged along. Thus it is important that the CDL be used only in very difficult situations, ie very muddy ground when the Nautica is stuck, to ensure that equal torque goes to each wheel to get whatever grip is available. Not many small SUVs have this feature and not many people understand it either!

Moving inside the Nautica, it will be immediately evident that it is very different from the Kembara. The earlier SUV was small and the cabin was compact but the Nautica offers a lot more space with its wider body. Those who felt the Kembara’s seating made them too ‘intimate’ with their passengers will be pleased with the extra elbow room and also the larger seats. The driver’s seating position is high, like in the Kembara, something which was a major reason for many people buying the SUV.

The dashboard has a modern appearance with metallic trim for the centre console area and around the instrument panel which has 3 separate meters (but no coolant temperature gauge). It looks better than the one in the Rush which has a ‘cheaper’ appearance. If you closely study the three knobs (for controlling the air-conditioning/ventilation system), you will notice that they are different from those in the Rush (which has only two knobs and one slider) and are the same ones as used in the latest Toyota Vios. However, while they present a higher quality image, the operation of the fan speed knob is flawed in the same way as the one in the Vios. Most people would instinctively grip the outer surface of the circular knob assuming it is for adjusting the speed – but actually it is the smaller knob in the middle of the large knob that does it. It takes some getting used to and it’s surprising that the interior designers got it wrong. The fitment of the audio head unit is also done in a neat integrated manner rather than slotting a 2-DIN panel in.
Further down, a removable astray cylinder is provided which can be slotted into either of the shallow cupholders. There’s no additional 12V socket in the dashboard but there is one in the cargo area which should be useful for powering vacuum cleaners. The shift lever location differs from the BeGo sold in Japan in that it is further back towards the handbrake lever whereas the Daihatsu version has it at the base of the centre console and angled more sharply.

Of note is the inclusion of a multi-information display which is incorporated in the speedometer. The LCD panel shows the time of the day, trip distance (dual displays), cumulative mileage, average fuel consumption in litres/100 kms, range with the fuel remaining in the 50-litre tank, and the temperature of the air outside the Nautica.

The cargo area is obviously much greater than before and accessible by opening the side-hinged door on which the spare wheel is mounted. With the floor height 640 mm from the ground, it’s easy to slide heavy items onto the carpeted area. The backrests are divided in a 60:40 ratio so one or both can be folded down for flexibility. For maximum storage, the entire rear seat can be flipped forward against the backs of the front seats and a catalogue picture shows that a racing bicycle can be accommodated diagonally with the front wheel installed too.

Being a SUV means that storage space is important for those whose activities require all sorts of gear, not to mention drinks and food. The interior designers have provided quite a lot of storage areas around the cabin and even in the floor. The front door pockets are also wide enough to slot a small water bottle in and sunglasses or the remote control for the gate can be kept in a drop-down compartment above the rearview mirror.

Small doesn’t mean less safe and through careful engineering, the structure of the Nautica is designed to dissipate collision forces before they harm the occupants. The frontal areas are also pedestrian-friendly and will reduce injuries to the head and legs if an accident occurs. Inside, there are two front airbags which work together with the seatbelts that have pre-tensioners and force-limiters to optimize restraint. The brake pedal is also designed in such a way that it will not cause injury to the driver’s feet and legs in the event of a severe collision where the front end is compressed.

ABS is standard to prevent wheel lock-up on slippery roads and enable the driver to retain steering control while braking. There is also Brake Assist to boost braking pressure in emergency situations and Electronic Brakeforce Distribution (EBD) to optimize braking according to the load on board. EBD can actually reduce braking distances as it balances the braking forces between the front and rear brakes to get the best out of the stopping power.

Little needs to be said about build quality since this model is built in Japan and most of the parts are also sourced from Japan. For now, you can get it either in Grey or Black and standard accessories include a rear roof spoiler and bee-sting antenna. The door mirrors which fold at the touch of a button also have signal indicators built into their housings.



Now for the shocker: the Nautica costs RM89,900 (with insurance). Yes, it’s much higher than any Perodua sold before and in recent times, the most expensive model has been under RM60,000. So it is a different price segment that Perodua is entering and there are many skeptics who think it’s crazy to do so. There was no way Perodua could offer the Nautica any cheaper since MoF won’t give any waiver or even reduction on import duties so it is taxed just like any model from Japan. If it came from another Asean country, like the Rush, then it could be imported with a 5% import duty as per AFTA but there is no such version being made in Indonesia or Thailand.

Whether the Malaysian public will accept a Perodua that costs RM89,900 remains to be seen and it really depends on the strength of the brand image today. Much has gone into brand building in recent years to try to get away from the cheap image that it started off with and make it a brand of choice. Given the serious and consistent efforts to raise build quality and after-sales service, Perodua has succeeded to some extent.

“We are striving to reach a point where people buy a Perodua not because it is the cheapest available but because they actually want and trust our brand. We are No. 1 in sales but not necessarily in the hearts of our customers - yet,” said Datuk Syed Abdull Hafiz. He is hoping for the day when the Perodua badge on a model will not be drawback and it will be regarded like any other global brand. However, he acknowledges that there is still a lot of work to be done and some way to go before Perodua really becomes a global brand and he is not going to ‘jump the gun’ and make ridiculous declarations like Perodua being ‘Malaysia’s answer to the Mini’ or something like that. He would like to see the brand firmly established in the hearts and minds of Malaysians first before embarking on more ambitious plans beyond our borders.

The Nautica will be a good test of how Malaysians regard Perodua today and besides that, by offering a model at this price will enable the company to more easily adjust its prices later on if and when the government decides to remove all special privileges for national carmakers and their prices will need to be revised upwards.