ASEAN car sales Q1 2016 market report – Thailand, Indonesia, Malaysia lower; Vietnam, Philippines up

toyota-showroom

Malaysia’s automotive market isn’t the only one to have started 2016 in sluggish fashion, as our ASEAN neighbours Thailand and Indonesia, the powerhouses of the region, have seen new vehicle sales slip as well. Data compiled by just-auto shows that car sales in ASEAN’s six largest markets fell by 3.6% to 737,474 units in the first quarter of 2016.

The data covers Indonesia, Thailand, Malaysia, Philippines, Vietnam and Singapore. According to the report, the Indonesian market saw a year-on-year (y-o-y) decline of 5.3% to 267,230 units in Q1, despite a moderate pick-up in economic activity due mainly to rising public and private investment.

Recent interest rate cuts (three times by the central bank, which should help stimulate domestic consumption) and fresh models (Toyota Sienta was launched at IIMS 2016) are expected to lift sales in the second half of the year.

ASEAN-Q1-2016-Car-Sales

Up north in Thailand, the decline of domestic sales has been well documented, although healthy exports are propping up manufacturing figures for the many carmakers that have made the Kingdom their regional base.

New car sales were down by 8.3% to 181,318 units in Q1, as heavily indebted Thai consumers held back on big ticket items. Prices of cars have gone up too, as a result of a new excise tax that takes into consideration C02 emissions and E85 biofuel capability, as opposed to solely engine capacity. A fourth consecutive year of decline in sales this year is predicted, with figures forecasted to fall by 5-6% to 750,000 units.

Malaysia is the third largest market in ASEAN with 131,267 units sold in Q1 2016. This figure is 22% lower y-o-y, which is a big drop, but bear in mind that Q1 2015 figures were artificially boosted by consumers buying ahead of GST implementation in April 2015. After a bad hangover in Jan and Feb 2016, March saw sales flickering back to life and almost all major brands saw increase in sales last month – see the chart listing all brands here.

Away from ASEAN’s big three, things were rosier for the carmakers. Sales in the Philippines rose by 21.6% to 76,479 units and in Vietnam, sales went up by almost 37.8% to 56,264 units. Both LHD markets have low vehicle ownership levels (which means plenty of room to grow, Malaysia is very saturated in comparison) and above average economic growth.

The controlled market that is Singapore is an oddball, and a strong cyclical rebound after many years of decline, driven mainly by a sharp fall in registration taxes, saw sales rise by 87.4% in Q1, y-o-y. The 24,916 units sold is just a small drop in the ocean, however.

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Danny Tan

Danny Tan loves driving as much as he loves a certain herbal meat soup, and sweet engine music as much as drum beats. He has been in the auto industry since 2006, previously filling the pages of two motoring magazines before joining this website. Enjoys detailing the experience more than the technical details.

 

Comments

  • -22% shj mah. Negara kekal kuat and guguh. Kena percayakan PM lagi manyak donasi akan dpt. Tak kan bankrupt pya

    Like or Dislike: Thumb up 20 Thumb down 13
  • Indon & Tomyam is largest market in ASEAN. If oso drop then its ini mesti semua salah P1/ BN/ UMNO/ NEP/ AP/ Tun M (previous version)/ Najib/ Rosmah/ 1MDB/ AK/ etc/ etc/ etc…

    Like or Dislike: Thumb up 17 Thumb down 16
    • SEAN ONG on Apr 26, 2016 at 9:41 pm

      John cringe for 1brim for first deposit.

      Like or Dislike: Thumb up 1 Thumb down 1
    • Muniandy Periasamy on Apr 27, 2016 at 8:54 am

      Only a bodoh BN will compare to Thailand and Indonesia. Why compare to other third world countries?

      There are many bodohs here say price of cars in Malaysia is cheap cause Thailand sell car more expensive. Only a bodoh will talk like this. Why compare ourselves to Thailand? Another third world country? IF Thailand eat shit we also eat shit lah?

      Malaysians need to ask our PM why our cars are very expensive compared to global prices. Infact 3X the global prices. Our gaji is low but our car prices are the highest in the world.

      Where is Najib’s promise to reduce car prices by 30%

      Like or Dislike: Thumb up 4 Thumb down 6
      • Subaru Forrester, Rm211k to Rm145k. 31% price down. Now go 14th floor turn left.

        Like or Dislike: Thumb up 2 Thumb down 2
      • The reality is, the Thailand and Indonesia (even Philippines) of today are no longer a push over when compare against Malaysia. We are still basking in the glory of the 90s when we were clearly a class above and were closer to par with Singapore. Everyone has moved since then.

        It is no ‘shame’ to fight in the same category with them as we are no better.

        At this rate, don’t be surprise our future generations are the ones that go over there and chop their oil palm and be their ‘kakak’.

        hell, I am not even sure we could beat Philippines in a game of football anymore.

        Like or Dislike: Thumb up 6 Thumb down 1
        • What does car have to do with football?

          Like or Dislike: Thumb up 0 Thumb down 4
          • dericchin on Apr 27, 2016 at 8:49 pm

            Actually Philippines and Vietnam is growing faster than the rest of SEA now. Philippines grew faster than China recent year. So not surprised their car market growing but we are declining

            Like or Dislike: Thumb up 0 Thumb down 0
    • james on Apr 27, 2016 at 9:21 am

      Better you get educated before speak. The provision is extremely negative for Malaysia regardless of its market size at all. Fall in percentage spells shrinking in spending.

      Like or Dislike: Thumb up 11 Thumb down 0
  • Steven on Apr 26, 2016 at 10:55 pm

    Every one already have car , you want to buy it , but they don’t accept trade in , how to buy ? Plus bank requirement is high . If you own a Korean car with loan , don’t think about to sell it .

    Like or Dislike: Thumb up 3 Thumb down 0
  • Ben yap on Apr 26, 2016 at 11:10 pm

    The drop in malaysia is because everyone waiting for the civic turbo. Once it’s launch, sales will rise.

    Like or Dislike: Thumb up 4 Thumb down 9
    • Same L0rr on Apr 27, 2016 at 8:36 am

      Malaysia still waiting for new Perdana, New Saga & new Proton Persona.. oh wait, Malaysian waiting for new GDi petronas-proton engine.. Oh wait, malaysian waiting for Iriz hybrid, oh wait, Iriz EV, Oh, no.. Suzuki based new Proton MPV, New Proton SUV, Exora platform Proton Pick up truck, Preve facelift,.. oh waiting and waiting and waiting.. Perodua Sedan?

      Like or Dislike: Thumb up 3 Thumb down 0
      • Preve facelift will be nice…..

        Like or Dislike: Thumb up 0 Thumb down 1
        • Same L00 on Apr 27, 2016 at 5:11 pm

          Proton models are all Sendiri Cakap, Sendiri Syok. Talk a lot but no one buy. That’s why Proton need RM1.5bil soft loan, and best thing is… its hybrid model still testing on Mars. Matt Damon forgot to bring it back last year.

          Like or Dislike: Thumb up 0 Thumb down 0
    • xoxox on Apr 27, 2016 at 8:40 am

      i doubt that…even now the different brand of car manufacturer is giving promotion hard corely.. the sales still drop….i expect even worse if no promotions been giving…
      expect for next 6months…the sales is like shit (if promotion stops…)

      Like or Dislike: Thumb up 2 Thumb down 1
    • Muniandy Periasamy on Apr 27, 2016 at 9:09 am

      Proton is such a failure. Last month it only sold 5535 cars. And I can bet, 90% of them was ordered by Bomba, Spanco, PDRM, TLDM, TUDM and Government Ministries.

      Year to date Proton has only sold 19225 cars. That is 3 months. So, we can assume, by end of this year, maximum Proton can sell is 76,000 units.

      Last year Proton created biggest shame for the whoe of Malaysia by selling only 100,000 cars. This year, another shame, as the figure will be much lower. Malu betul.

      We can assume that the RM1.5 billion will disappear like David Copperfield magic. That RM1.5 billion came from your pocket and my pocket. That same RM1.5 billion could have built at least 10 fully fledged Government schools and 10 fully fledged free Government hospitals for the rakyat.

      How is Proton going to turn around? Mustapa did a big drama for the rakyat initially not wanting to give Proton the money. But we ll know, they sure give Proton the money free.

      This RM1.5 billion is not a one off. Proton has been getting billions every other year from our tax payers money. Don’t forget, when Mahathir was PM and towkay in Petronas, he took billions every other year to keep his baby Proton alive.

      Time to close Proton down. It is a waste of our money. I can presume Proton has sucked about RM100 billion since its inception of our hard earned money.

      Like or Dislike: Thumb up 4 Thumb down 2
  • Silthice on Apr 27, 2016 at 12:15 am

    Haval/GWM have sold quite a number of cars as well but I doubt the numbers have include them as well…

    Like or Dislike: Thumb up 5 Thumb down 1
  • Semitruck on Apr 27, 2016 at 8:02 am

    I don’t know Indon economic quite strong now, they overtaken Thailand as number 1 in 2014 and widen the gap with the rest of other countries.

    Like or Dislike: Thumb up 2 Thumb down 0
    • Ex VGM staff on Apr 27, 2016 at 1:06 pm

      More than 250 million population. Even though Indonesia has beri high level of poverty it also has many more pipu who can afford to buy cars. 600k units target is nothing for them if Indonesia has 40 million capable of buying new cars.

      Like or Dislike: Thumb up 2 Thumb down 2
    • z00b00 on Apr 27, 2016 at 1:45 pm

      our economy now is in bad shape businesses very quiet. if not indon has potential to sell 2mil cars/year easily.

      Like or Dislike: Thumb up 2 Thumb down 0
  • interesting numbers.
    it goes to indicate that how much we malaysian like our cars. Our population is only higher than Singapore in the list. the rest are at least double of ours.

    Like or Dislike: Thumb up 1 Thumb down 1
 

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