ASEAN to be sixth biggest auto market by 2018

ASEAN to be sixth biggest auto market by 2018

Our region, ASEAN, is on its way to become the sixth biggest automotive market in the world by 2018, powered by vehicle sales that are expected to almost double to nearly 4.7 million units, compared to 2.4 million units last year.

The Bernama report, which quotes an analysis by Frost & Sullivan, says that our neighbours Indonesia and Thailand will lead the growth, which is likely to jump at a compound annual growth rate (CAGR) of 10.1% (2011-2018).

“Thailand and Indonesia vehicle sales are likely to hit one million units by 2013, driven by local demand, increased buying power and significant investments from Japanese original equipment manufacturers (OEMs),” said Vijayendra Rao, Research Manager, Asia Pacific Automotive Practice.

“Thailand is expected to continue its dominance as a production hub in ASEAN due to the significant investments by Japanese OEMs, incentives from the government, good supply base and required talent,” Rao added.

Thailand is well known as the “Detroit of the East”, but Indonesia, with its large population, has been tipped to be ASEAN’s top auto market in the long run – click here to read more.

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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

  • NAP – The greatest policy that helped the rise of Thailand and Indonesia’s automotive industry.. HOoray!!

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  • royrogers on Aug 16, 2012 at 6:39 pm

    Malaysia could have been the TOP automobile regional hub along side Thailand if not for stupid Proton! Thanks to Dr. M!

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    • zidane on Aug 17, 2012 at 10:23 am

      How do you know that? Can you predict that if you live in 1985?

      If you live in 1985, you dont even know what will happen in 1986…

      Since our labour cost is higher and our country is small, the car maker will still go to Thailand and Indonesia, because they have cheaper labour and big market…

      Plus, Thailand implement limitation on imported vehicle in 1970’s… their move is much faster than NAP itself…

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    • Sabahman on Aug 17, 2012 at 11:28 am

      Proton was to be the new Toyota, an export success to make Malaysia rich and proud.

      Last year Proton sold 640 cars in Britain. That is a market share of 0.02%.

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  • alldisc on Aug 17, 2012 at 9:18 am

    by the time our neighbours achieved 1 million units of new car registrations, Malaysia will still stuck at just over half million, believe me.

    unless perhaps, car prices are reduced to reflect its actual value.

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  • brader on Aug 17, 2012 at 1:03 pm

    Indonesia and Thailand don’t have a national car but they have a national industry and they’re not confused between the two like Malaysia

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