Recently published research from Business Monitor International, "Malaysia Autos Report Q4 2013", is now available at Fast Market Research
Boston, MA -- (SBWIRE) -- 10/04/2013 -- Over H113, new vehicle sales grew by 4% year-on-year (y-o-y), to reach 313,418 units, according to figures from the Malaysian Automotive Association (MAA). This headline figure was made up of 275,991 passenger cars, up 3.8%, and 37,497 commercial vehicles, up 6%. Although the passenger car segment underperformed the CV segment, BMI is happy to maintain its 2013 passenger car sales growth forecast of 4.1%, to 574,829 units.
In line with our view, vehicle sales slowed down considerably in the past few months after their strong start to the year. One possible reason for this slowdown could have been that consumers waited to see how the ruling coalition, which won the May 2013 elections, would follow through on its promise of lowering car prices. Election uncertainty was a risk we highlighted back in March, which prompted us to downgrade our sales forecast at that stage.
With regards to government policy, it will not be until the release of the National Automotive Policy (NAP) in H213, that we will get greater clarity on the government's strategy for the country's auto sector. Should car sticker prices fall in the coming months, it will be due to discounts provided by carmakers and not any specific government policy.
View Full Report Details and Table of Contents
The commercial vehicle (CV) segment outperformed the passenger car segment for the first half of 2013, as H113 CV sales grew by 6.0%, to 37,497 units. However, we expect base effects of H212 to pose a drag on sales in the latter half of 2013, which has prompted us to downgrade our full-year CV sales growth forecast to 4.0%, to 78,587 units, from 6.0% previously.
On the other hand, we expect the passenger car segment to stage a comeback in H213 and improve on its H113 performance, when sales grew by just 3.8% y-o-y. With aggressive sales campaigns and new model offerings by dealers on the cards, we expect many consumers who have sat on the sidelines recently to jump in and make a purchase. Furthermore, the upcoming festive month sales promotions will further provide a lift to car sales. Therefore, we are happy to maintain our 2013 passenger car sales growth forecast at 4.1%, to 570,000 units.
This will then revise our total vehicle sales forecast to 4.1%, to 653,415 units, from 4.3% previously. One risk to our upbeat view on passenger car sales for H213 comes from the recent tougher lending restrictions imposed on banks by Bank Negara Malaysia (BNM). This could have the effect of further tightening consumer credit (which would affect auto loans) due to a more stringent loan approval process. That said, our conservative car sales growth forecast does provide some margin for such a scenario.
About Fast Market Research
Fast Market Research is an online aggregator and distributor of market research and business information. Representing the world's top research publishers and analysts, we provide quick and easy access to the best competitive intelligence available. Our unbiased, expert staff will help you find the right research to fit your requirements and your budget. For more information about these or related research reports, please visit our website at http://www.fastmr.com or call us at 1.800.844.8156.
Browse all Transportation research reports at Fast Market Research
You may also be interested in these related reports:
- Japan Autos Report Q4 2013
- Algeria Autos Report Q4 2013
- Brazil Autos Report Q4 2013
- China Autos Report Q4 2013
- Venezuela Autos Report Q4 2013
- Mexico Autos Report Q4 2013
- Qatar Autos Report Q4 2013
- Germany Autos Report Q4 2013
- Pakistan Autos Report Q4 2013
- Hungary Autos Report Q4 2013
Copyright © 2005-2013 - SBWire, The Small Business Newswire - All Rights Reserved - Important Disclaimer
Contact Us: 888-4-SBWIRE (US) - 920-593-5640 (International)