Malaysia Vehicle Market in 2026 reports mild gains. YTD sales up to April grew by 3.3% with Proton surging 43.2% into 2nd to challenge leader Perodua. Proton also retained the largest share in the EV segment as it secures one of the most impressive performances in the ASEANr region at +124.1%.
Economic Environment
Malaysia’s economy in 2026 is expected to remain resilient despite moderating global growth, with GDP forecast to expand by about 4.3% (slightly below 2025). Growth will be supported by strong domestic demand and continued investment, particularly linked to the global AI-driven technology cycle boosting electronics and data centre activity. Inflation is projected to stay low at around 1.6%, helping sustain household incomes and spending, while improved regional trade dynamics are likely to support exports.
The ringgit is expected to strengthen, aided by capital inflows and solid fundamentals, and fiscal consolidation should help stabilise government bond yields. However, external risks, including geopolitical tensions, shifts in global trade policy, and potential financial market volatility, could still influence Malaysia’s outlook.
Automotive Industry Trend and Outlook
After starting 2026 off strong, growth for the malaysian vehicle market stablilized through Q1 to reach a 3.3% increase in YTD sales up to April and 270,223 units sold.
The country’s strong economic performance, supported by solid domestic demand and recovering exports, drove continued growth, with rising demand for passenger vehicles, especially SUVs. Despite a decline in commercial vehicles due to subsidy changes, while overall vehicle sales are expected to remain robust moving forward
Brand-wise, the leader was still Perodua (+5.5%), with an impressive 39.3% share. Proton ranked 2nd, with a 24.6% market share while gaining 43.2%, while Toyota ranked 3rd despite a 15% drop to a share of 11.5%. Honda ranked in 4th (-28.6%) followed by Jaecoo -up 2 spots- (+35%) in 5th.
Looking at models, the Perodua Bezza climbed 4 spots and ranked 1st (+4.9%). The Protogn Saga -up 2 spots- followed in 2nd (+46.3%) while the Perodua Axia dropped 10.4% in 3rd.
EV Market Trend and Outlook
The malaysian EV sector reports major growth in 2026, with YTD sales up to April surging by 124.1% to a 7.8% share. As pre-stocked inventories and delayed tax-related cost changes help stabilise prices and sustain demand, automakers are able to maintain sales momentum despite the expiry of earlier tax incentives.
Proton became new leader, growing by 282.1% and securing a 45.7% share of the segment. BYD followed in 2nd with 17.4% while growing 9.9%. Zeekr closed the podium, up by 449.2%.
Medium-Term Market Trend
Over the past decade, Malaysia’s automotive market has followed a cyclical yet generally upward trajectory, with sales remaining relatively steady in the mid-2010s before declining by 12.9% in 2016 and remaining flat in 2017. This was followed by a modest recovery of 3.8% in 2018 and a slight dip of 0.8% in 2019.
The market contracted more significantly during the pandemic, falling by 11.9% in 2020 and a further 3.8% in 2021, before rebounding sharply by 56.7% in 2022 as sales climbed to nearly 790,000 units. Momentum continued in the following years, with volumes holding steady in 2023, rising by 2.2% in 2024, and further increasing by 7.0% in 2025 to reach over 860,000 units.
Tables with sales figures
In the tables below we report sales for all Brands and top 10 Groups.
