Taiwan’s Automobile Production in 2025

In 2025, automobile production in Taiwan fell 14.8% year-on-year to 234,000 units, dropping below the 2020 pandemic levels to reach a 10-year low. Since Taiwanese-made vehicles are exported to limited markets—primarily the Middle East—and export volumes remain low, production is directly impacted by fluctuations in domestic sales. In 2025, domestic sales fell 10.7% as consumers deferred purchases in anticipation of the introduction or extension of tax incentives. By vehicle type, passenger car production decreased 18.9% year-on-year to 167,000 units, falling below the 200,000-unit mark for the first time in three years. Production for the 1.3L–1.6L segment dropped sharply by 31.8% to 80,000 units, while BEVs plummeted 67.9%. Within the 1.3L–1.6L segment, production of the Toyota Yaris Cross fell 25.3% to 14,000 units, and the MG HS saw a drastic 63.4% decline to 5,862 units. The dip in Yaris Cross production is attributed to inventory adjustments, the transition to updated models, and issues surrounding type certification. Meanwhile, MG HS production was temporarily halted due to the Taiwanese government’s local content requirements. Conversely, the 1.6L–2.0L segment was the only category to see growth, rising 5.4% to 84,000 units. Driven by strong domestic sales, production of the Toyota Corolla Cross HEV increased 35.6% to 31,000 units.