Taiwan’s new vehicle market declined by 4.5% to 31,407 units in April 2026 from 32,876 units in the same month last year, according to registration data compiled by Taiwan’s Ministry of Transportation.

The market last month declined from already weak year-earlier sales, with the overall market remaining sluggish following a 10% decline to 414,436 units in the whole of 2025, despite a pickup in domestic consumption growth. Economic growth in Taiwan accelerated to 13.7% year-on-year in the first quarter of 2026, from 12.6% in the fourth quarter of 2025, reflecting strong global demand for IT products such as semiconductors, while household spending growth accelerated to 4.9% from 3.5%.

Vehicle sales in the first four months of 2026 declined by 3.7% to 127,841 units from 132,737 units in the same period last year. Sales of battery electric vehicles (BEVs) increased by 32% to 11,131 units in this period, from 8,422 units a year earlier.

Toyota continued to lead the market with sales falling by over 6% to 39,788 units; while its Lexus division saw its sales fall by 18% to 9,070 units; Honda 7,989 units (+19%); China Motor 7,294 (-17%); Mercedes-Benz with 6,097 units (-35%); Ford 5,970 (+43%); Hyundai 5,467 (-4%); Tesla 5,439 units (+94%); and Mitsubishi 5,436 (+29%).

Earlier this year, Hotai Motor, the distributor of the Toyota, Lexus, and Hino brands, said it expects the market to rebound moderately this year, by just over 6% to around 440,000 units. GlobalData is forecasting a 10% rebound in light vehicle sales to 429,000 units, following a 10% decline to 390,000 units in 2025.