New vehicle sales in Malaysia fell 7% to 58,046 units in June 2024 from 62,601 units in the same month of last year, according to registration data released by the Malaysian Automotive Association (MAA).
The market in June also dropped 17% month on month compared with 70,130 units in May. This was the market’s first major reversal this year and came after two years of strong growth, as sales rebounded from the 2021 pandemic lows.
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Despite the central bank having hiked its benchmark interest rate from 1.75% to 3.0% in the last two years, the Malaysian domestic economy remained strong with GDP growth expected to have accelerated to 5% year on year in the second quarter of 2024.
The vehicle market in the first half of 2024 expanded 7% to 390,296 units from 366,176 in the same period of last year, driven by a 9% rise in passenger vehicle sales to 356,859 units while commercial vehicle sales fell by 15% to 33,437 units.
National brands Perodua and Proton accounted for 62% of the total market, or 241,937 units, according to the association.
Total vehicle production rose by 8% to 392,052 units in the first half compared to 362,535 units a year earlier.
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By GlobalDataProton global sales fell 5% to 73,696 units in the first six months of 2024, including an estimated 1,550 exports. The Saga remained by far the company’s best selling model with deliveries up 4% at 34,838 units followed by the Geely-based S70 sedan with 10,914 units, the Geely-based X50 compact SUV 10,204 units and the Persona sedan with 9,753 units.
The automaker last month said it expected sales of the X50 to strengthen after it launched upgraded versions of the model.
UMW Toyota Motor reported a 6% increase in combined Toyota and Lexus sales to 48,659 units year to date. The company launched the new Lexus LM in May which helped improve the brand’s performance last month.
This week MAA increased its full year domestic sales forecast from 740,000 units to 765,000 units with the market now expected to decline by just 4% compared with 799,731 units in 2023, citing the country’s resilient economy, steady interest rates and “healthy order backlogs, especially for A segment passenger cars” at domestic automakers Proton and Perodua.
