Motor vehicle sales up 44% in SE Asia last year

Motor vehicle sales up 44% in SE Asia last year

KUALA LUMPUR (DPA): Sales of motor vehicles shot up 44.3 per cent last year in Southeast Asia as the region recovered from its economic troubles, an industry body said Friday.

The ASEAN Automotive Federation said a total of 1,091,926 cars, commercial vehicles and 4X4 vehicles were sold in the region's seven strongest economies last year, up from 756,619 units the previous year.

Malaysia registered the largest number of sales, accounting for 31 per cent of the market with 343,173 vehicles sold, followed by Indonesia in second place with 298,633 units and Thailand with 262,189 vehicles.

The annual sales figures were released by the federation, which is based in Kuala Lumpur.

On a country basis, Indonesia saw the highest jump in sales, with a 218 per cent rise from 93,814 units sold in 1999.

Malaysia experienced a 19 per cent increase in vehicle sales last year, from 1999's 288,547 figure.

Vehicle sales were also up in Thailand last year by 20 per cent from 1999, Singapore recorded a 58 per cent increase, and the Philippines a 13 per cent rise.

However, sales of automobiles dropped 38 per cent in Vietnam to 13,957 units from 22,650 previously, and by 3 per cent in Brunei to 5,136 units from 5,282.

Federation president Aishah Ahmad, who is also head of the Malaysia Automotive Association said Malaysia has forecast a growth of 11 per cent in vehicle sales for this year to 380,000 units.

She said she was unable to give a forecast for the rest of the region for this year's sales as members were uncertain about sale projections due to political problems at home, such as unrest in Indonesia and the Philippines.

Referring to Malaysia's performance, she said last year had been good for the industry and she expects a similar situation this year based on steady economic growth, low price increases, a softer Japanese yen, low interest rates and easily available loans.

Passenger cars accounted for 82 per cent of all vehicles sold last year in Malaysia, with the national car, Proton, maintaining its position as the best-selling car by capturing 63 per cent of the market.

Japan's Honda was the best-selling foreign car, with a 1.6 per cent share of the market, or 4,550 cars sold, followed by Toyota and Nissan.

Malaysian-made cars have the highest demand in the country because of their cheaper prices as the government slaps high import duties on foreign cars in a bid to protect the domestic industry.