Maybank Investment Bank Research believes that domestic vehicle sales are expected to be flat in 2026 versus 2025.
PETALING JAYA: Perusahaan Otomobil Kedua Sdn Bhd (Perodua) expects Malaysia’s total industry volume (TIV) to reach 820,000 units for 2025, signalling that the demand for vehicles remains healthy as customers continue to hunt for value.
In a statement, Perodua said it produced 370,370 units last year – up 0.6% from 368,100 vehicles made in 2024.
Meanwhile, the sales volume was up 0.5% to 359,904 units in 2025, compared with 358,102 units registered in 2024.
“Based on our internal estimation, our market share now stands at 43.9%; also, our 370,370-unit production and 359,904-unit registration means that we have successfully broken our previous records set in 2024,” said Perodua president and chief executive officer Datuk Seri Zainal Abidin Ahmad.
In terms of individual model performance, the Perodua Bezza retained its top ranking with 100,488 units sold in 2025, the second year it had performed above 100,000 units.
This was followed by the Perodua Axia at 84,291 units and Perodua Myvi (72,724 units).
Meanwhile, Maybank Investment Bank Research believes that domestic vehicle sales are expected to be flat in 2026 versus 2025, with the market facing structural shifts, intensifying competition and policy changes.
The brokerage has maintained a “neutral” stance on automotive stocks, projecting TIV sales to hit 790,000 units in 2026 versus the 2025 forecast of 790,000. As of November 2025, TIV sales had hit 728,000 units.
“We expect Malaysia’s automotive supply chain to transition from demand-led recovery toward a more structurally driven phase anchored on electrification and localisation,” it said, also pointing to policy uncertainty pertaining to the open market value excise duty framework, which has been postponed to mid-2026 for implementation from this month.
It has a “hold” rating on Sime Darby Bhd
, with a target price (TP) of RM2.02 as sales of the company’s motor segment face intensifying competition, including aggressive discounting from China and the upcoming expiry of imported electric vehicles (EVs) in Malaysia, which could further pressure margins.
“These headwinds are partly offset by UMW’s healthy order backlogs, around 18,000 units for Toyota and 73,000 for Perodua, providing near-term support and cushioning Sime Darby against broader challenges in both the motor and industrial segments,” it said.
Sime Darby could see quarter-on-quarter improvement in the coming second quarter ending Dec 31, 2025, supported by lumpy equipment deliveries in the industrial segment and normalised parts margins, a pickup in China driven by stronger support from BMW, and seasonally stronger demand for Perodua and Toyota in the Malaysia market.
“However, these drivers could be largely one-off or seasonal. Medium-term earnings visibility remains clouded by external risks, particularly geopolitical tensions and currency volatility, in our view,” it said.
It has a “hold” call on Tan Chong Motor Holdings Bhd with a TP of 73 sen premised on its involvement in Perodua’s maiden EV project, as well as the planned completely-knocked-down or CKD assembly of the TQ Wuling Bingo EV from last December.
“We view this as a step toward improving plant utilisation and strengthening its role within the local EV/original equipment manufacturer supply chain, although near-term earnings impact remains modest and the company is expected to remain loss-making in the near term,” it said.
“In our view, 2026 marks a key inflection point for Malaysia’s local EV supply chain, following the launch of the country’s first nationally developed EV,” it said, adding that this move created a pathway for broader EV readiness across the domestic supply chain.
