Malaysia: Automobile Market Projection for 2026

Malaysia’s automobile sales for 2025 are projected to reach 800,000 units, a 2.0% decrease from the previous year. This decline is attributed to a sharp drop in sales in January 2025, which occurred as a reaction to the historic-high monthly sales recorded in December 2024 (82,000 units). On the other hand, consumer sentiment remains resilient due to rising household incomes driven by economic growth. From February onwards, sales have been performing at levels comparable to or exceeding those of 2024, indicating that the sudden slump in January was an exception.