BANGKOK, May 17 — Malaysia has overtaken Thailand as Asean’s second-largest auto market after Indonesia, reflecting a major shift in a region that has become a key battleground for Asian automakers, Japan’s Nikkei Asia online newspaper reported.
It compiled sales data released by industry groups in the three countries plus the Philippines and Vietnam, and found that Malaysia’s sales figures topped Thailand’s for three consecutive quarters.
The Malaysian Automotive Association said auto sales rose 5 per cent in the first quarter from a year earlier to 202,245 vehicles. This followed an 11 per cent increase in 2023 to a record 799,731 vehicles.
Sales tax exemptions for domestically produced vehicles — part of the government’s economic stimulus package — provided a tailwind for national brands Perodua and Proton, which hold about 60 per cent of the market share, VNA reported.
Figures in the Philippines increased 13 per cent in the first quarter, the highest among the five countries, after inflation eased to around 4 per cent in late 2023 and as consumer spending remained strong.
Sales in Thailand have been in a slump. The country had long held second place until sales fell 25 per cent in the first quarter from a year earlier.
Thailand’s monthly auto sales have declined year-on-year from June 2023 due to increasingly non-performing auto loans and general stagnant consumption. The share of electric vehicles is growing thanks to the entry of Chinese makers.
Indonesia also lacks momentum. Auto sales in the first quarter fell 24 per cent from the previous year as interest rates rose, leading consumers to hold back on purchases.
— Bernama
