According to the most recent data from the Counterpoint Global Passenger Electric Vehicle Sales Tracker, sales of passenger electric vehicles (EV*)** in Southeast Asia (SEA) # increased by 35% y-o-y within the third quarter of 2022, with over 60% of the market in Thailand recorded the very best EV sales volume within the region, followed by Indonesia and Singapore.
The remainder of sales were plug-in hybrid electric vehicles (PHEVs), of which 61% were battery electric vehicles (BEVs). The top five brands accounted for nearly 67% of EV sales in SEA. Wuling has overtaken Volvo and BMW to change into the preferred electric vehicle brand.
Research analyst Abhilash Gupta commented available on the market dynamics, saying: “Although sales of passenger electric vehicles within the SEA region are low in comparison with other areas, demand is progressively increasing. Only just over 2% of total passenger vehicle sales within the region are currently electric vehicles.
Thanks to favorable laws, subsidies and incentives offered by necessary SEA countries resembling Thailand, Indonesia, Singapore and Malaysia, many OEMs have opened or plan to open manufacturing facilities throughout the world.
Thailand
This yr, the electrical vehicle market in Thailand has experienced phenomenal growth, becoming the clear leader within the region. In the third quarter of 2022, the country accounted for roughly 60% of electrical vehicle sales within the SEA region. It wants all domestic sales to consist of BEVs by 2035. Thailand is on target in its EV journey due to subsidies, excise tax exemptions and import tax reductions.
Indonesia
In Q3 2022, Indonesia accounted for 25% of sales within the SEA passenger electric vehicle market. Moreover, the sales volume of electrical vehicles within the country reached its highest level to this point within the third quarter. The Wuling Air EV introduced this quarter was the best-selling EV within the country.
In line with Indonesia’s goal of constructing 140 GWh of batteries by 2030, many firms have recently announced plans to establish facilities there to provide batteries for electric vehicles. In the Mediterranean region, Indonesia is a major vehicle producer.
Singapore
Nearly 12% of SEA EV sales occurred in Singapore, one other emerging EV market. It has set itself the goal of selling only zero-emission vehicles by 2030 and has implemented a variety of incentives, regulations and programs to advertise the adoption of electrical vehicles. By the tip of this decade, it also desires to have a well-connected network of 60,000 charging stations.
Malaysia
In Q3 2022, Malaysia’s share of the SEA EV market was just 3%. However, the Malaysian government has exempted electric vehicles from road, import, excise and sales taxes and is encouraging the usage of electric vehicles. Increased efforts to construct infrastructure for charging electric vehicles will increase sales.
Vietnam
In March 2022, Vietnam stated that registration costs for electric vehicles could be $0. To deal with electric vehicles, Vinfast, a number one electric vehicle brand, has discontinued the production of ICE cars. The growth potential of the Vietnamese electric vehicle market is high.
Senior analyst Soumen Mandal commented available on the market outlook, stating that “Japanese OEMs dominate the automotive sector within the SEA region. However, they face stiff competition from China, South Korea and a number of other local firms as attention shifts to electric vehicles.
The cost of electrical vehicles continues to be a significant barrier to market development. However, the situation is changing as cheaper EV solutions from Wuling, BYD, GWM and SAIC appear.
Low-cost EV solutions have gotten increasingly popular in emerging markets resembling Thailand and Indonesia, versus developed EV markets resembling the US and Europe. According to Counterpoint’s Global Passenger Vehicle Forecast, the SEA EV market is anticipated to grow rapidly, with EV sales exceeding 3.5 million by the tip of this decade at a CAGR of 124%.
Source: CounterPointSearch.com
