Malaysia’s Automotive Sector Sees April 2025 Slowdown, May Recovery Likely
The Malaysian automotive industry experienced a noticeable slowdown in April 2025, with both production and sales taking a hit due to seasonal factors. According to the Malaysian Automotive Association (MAA), total vehicle production declined by 2% year-on-year, with 56,313 units assembled compared to 57,208 units in April 2024.
Passenger vehicle (PV) production fell slightly to 52,925 units (-2%), while commercial vehicle (CV) production rose by 12% to 3,388 units. However, year-to-date (YTD) figures tell a different story, with PV production down 13% and CVs down 15% compared to the same period in 2024.
On the sales front, the industry managed a modest 1% year-on-year increase in total sales, with 60,527 vehicles sold in April 2025 compared to 59,900 units a year earlier. Passenger vehicle sales grew 2% to 55,971 units, while commercial vehicle sales dropped 5% to 4,556 units. Despite this slight monthly gain, YTD sales still trailed 2024 by 5%, with 248,730 vehicles sold in the first four months of 2025.
The drop in Total Industry Volume (TIV) is attributed primarily to the long Hari Raya holiday (April 1–6) and frontloaded festive deliveries in March. April’s TIV was also 16.8% lower than March’s 72,730 units.
Looking ahead, the MAA forecasts a rebound in May 2025. Several factors are expected to drive recovery: higher demand in East Malaysia ahead of the Kaamatan and Gawai festivals (May 30–June 2), a greater number of working days, and continued momentum from new model launches in earlier months.
While 2025 has started on a softer note compared to last year, the industry remains cautiously optimistic that improved consumer sentiment and strategic product rollouts will support a stronger second half.
