Kenanga Investment Bank estimates Malaysia’s 2026 total industry volume (TIV) to be 790,000 units, equalling the Malaysian Automotive Association’s (MAA) forecast, reports Bernama. The figure is 3.7% lower than the record 820,752 new cars the country bought last year.
The investment bank said in a research note that global fuel prices, easing gradually as they may be following US-Iran talks, has had little impact on car sales in Malaysia due to RM1.99 a litre Budi95 petrol.
“According to the government, 90% of Malaysians use less than 200 litres per month,” it said, adding that it expects new replacement cycles to increasingly favour EVs, whose market share has jumped to 6% from below 1% five years ago.
“EVs are also expected to account for 10% of TIV by 2027 as automakers ramp up local production of EVs and hybrids (including plug-in hybrids, or PHEVs), alongside a shift towards motorcycles, hinging on the potential removal of subsidies,” said Kenanga Investment Bank.
It added that the RM2.10 a litre Budi Diesel is expected to benefit the commercial vehicle segment, particularly lifestyle pick-up trucks, which were significantly impacted by the implementation of targeted diesel subsidies (that floated diesel prices) in June 2024. Still, commercial vehicles now only make up 6% of Malaysia’s TIV, down from 11% five years ago.
790,000 units this year’s forecast may be, but in 2025 the MAA conservatively expected 780,000 units – and we ended up bursting that by 40,752! So what do you think will happen this year? Another record? We’re only about 1% slower than last year so far – plenty of time (half a year) to catch up.
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malaysia per-capita car purcahse is 8x yes eight times more than neighbour indonesia because of our strong buying power. furthermore we enjoy cheap budi95 petrol and diesel which is lowest price in malaysia 60 year indepdendence history if you account for inflation. given that oil price per barrel is above USD 100 today this is marvellous achievement that no otherh governments in the whole world can match.
What buying power when most sold cars in Malaysia are the cheapest model Bezza & Saga. Owning a car in Malaysia is a necessity by design.
Vote BN and we will go back to open subsidy for alp rakyat Malaysia without having to sell our data. Inflation will also go bavk to normal instead of today historical highs and still going up under Pakatan rule.Kick Pakatan out and things will go back to normal.I repeat Kick Pakatan out and things will go back to normal!
go back to 2MDB which almost bankrupted the country , go back to ISA which jails gomen dissidents, and DSAI will get a black eye from IGP .
B40 cannot afford any EV becos too expensive and they spend their money on vape