Malaysia Vehicle Market in 2025 is expanding. Full-year sales grew by 7%, with BYD reporting the largest gains among leading brands. Jaecoo also showed standout gains, highlighting how chinese carmakers are securing more and more share in the country.
Economic Environment
Malaysia’s 2025 economic outlook was initially projected at a moderate 4.0–4.8% growth, but actual performance exceeded expectations, with GDP expanding by 5.2% for the year and accelerating to 6.3% in the fourth quarter. This stronger-than-anticipated outcome was driven by resilient domestic demand, supported by steady employment and wage growth, alongside robust exports and investment activity.
Broader economic trends indicate sustained momentum heading into 2026, with inflation remaining moderate and monetary policy stable, while external factors such as global trade conditions continue to pose some uncertainty. Overall, Malaysia’s economy demonstrated solid underlying fundamentals, with strong consumption, improving investor confidence, and a strengthening currency contributing to its upward trajectory.
Automotive Industry Trend and Outlook
The malaysian vehicle market reported a 7% growth in year-on-year volume in 2025 to 862,624 units sold.
Brand-wise, the leader was still Perodua (+0.5%), with an impressive 41.7% share. Proton ranked 2nd, with a 17.6% market share while gaining 2.7%, while Toyota surged in 3rd with a 27.4% increase and a share of 14.9%. Honda ranked in 4th (-9.1%) followed by Chery (-10.1%) in 5th and BYD -up 4 spots- in 6th (+68.1%). Notably, Jaecoo skyrocketed and climbed 28 spots in 8th.
Looking at models, the Perodua Bezza rose into 1st, growing 26.9% and surpassing in sales the Perodua Axia despite it growing 90.1% and 2 spots. Notably, the Perodua Myvi lost its leadership and fell 44.8% in 3rd.
EV Market Trend and Outlook
Malaysia’s EV market undergoes a structural shift in 2025, following the dominant trend for south-east Asia. While the share on the total remains at only about 3.5%, the EV landscape has been experiencing a localisation trend with brands such as BYD and Tesla supporting the development of a domestic network of production.
BYD retained about 44.1% of the market and secured top spot, followed by Tesla with 22.1% and Zeekr with 6.1%.
Medium-Term Market Trend
Over the past decade, Malaysia’s automotive market has experienced notable fluctuations, with vehicle sales remaining broadly stable in the mid-2010s before declining by 12.9% in 2016 and staying flat in 2017, followed by a modest 3.8% recovery in 2018 and a slight 0.8% dip in 2019.
The market contracted more sharply during the pandemic period, falling by 11.9% in 2020 and a further 3.8% in 2021, before rebounding strongly by 56.7% in 2022 as sales surged to nearly 790,000 units. Growth stabilised in 2023 with no change, then continued with a moderate increase of 2.2% in 2024, bringing total sales above 800,000 units. Meanwhile, although the EV segment has started to gain traction, its growth remains gradual compared to overall vehicle sales, reflecting early-stage adoption dynamics.
In the tables below we report sales for all Brands and top 10 Groups.
