Former premier Dr Mahathir Mohamad should be more realistic in calling for a new automotive company similar to Proton, said Communications and Multimedia Minister Salleh Said Keruak.

"It is up to him lah (if he wants to start another company)... Mahathir should not be looking at the past. We have to be looking to the future and be more realistic. The competition is overwhelming.

"For me, what happened now (with Proton's shares being bought over by a Chinese company) will ensure Proton is able to handle challenges to come," he told reporters at the Hotel Istana in Kuala Lumpur today.

Salleh was responding to Mahathir's remark that should Pakatan Harapan take Putrajaya, a new automotive company similar to Proton may be started.

The national carmaker is the brainchild of Mahathir during his 22 years of premiership. The nonagenarian had previously decried the sale of Proton's stakes to Geely as an attempt to spite him for voicing out against the current administration.

Meanwhile, Salleh also reaffirmed the government's s move to sell Proton's shares.

"We have always aggressively supported the industry, even until now.

"When investors show their interest in working together (with Proton), there is no reason not to support such efforts and it will not make us lose our identity," he explained.

The government had previously stated it (selling the shares) was a necessary move to revive Proton's ailing fortunes.