Malaysian new vehicle sales stalled in 2011 on supply disruptions due to disasters in Japan and Thailand, and a shaky global economy will limit growth this year, an industry group said Tuesday.
Sales fell 0.9 percent to 599,877 units as Japan's earthquake and tsunami and record floods in neighbouring Thailand caused supply chain disruptions, said Aishah Ahmad, head of the Malaysian Automotive Association (MAA).
Malaysia — Southeast Asia's second-largest vehicle market after Indonesia, according to the MAA — had seen 2010 sales grow 12.7 percent to 605,156 units thanks to a robust domestic economy and strong consumer confidence.
But sales of passenger vehicles in 2011 slipped 1.6 percent to 535,112 units, while commercial vehicle sales rose 5.2 percent to 64,765, Aishah said.
Malaysian carmaker Perodua kept its top spot last year with a 30 percent market share, followed by national car brand Proton with 26.4 percent and Japan's Toyota at 14.5 percent.
Aishah predicted 2012 sales growth of just 2.5 percent, citing uncertainties in the eurozone and forecasts of slower growth in Malaysia's economy.
"It is modest growth. It is a realistic forecast. The auto industry is tied to the economy," she said.
Analysts predict Malaysia's economic growth will slow to 4.8 percent in 2012, from 5.0 percent last year, warning that exports of Malaysian commodities and manufactured goods were likely to be hit by weak global demand.
However, consumer confidence will hold firm, while continued low interest rates should limit the impact on car sales, observers said.
