Maybank Investment Bank has identified favorable regulations, local brand presence and the entry of Chinese automakers as key aspects driving growth in electric vehicle (EV) sales within the ASEAN region. The research firm emphasized that ASEAN corporations collaborating with Chinese manufacturers in battery production, sales and provide chains can profit greatly from the growing EV market, supported by solid production infrastructure for the automotive industry and growing demand.
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Electric vehicle sales growth in ASEAN countries
Malaysia
Malaysia saw a major increase in sales of all-electric vehicles, which increased by 142% year-on-year to 10,663 units in the primary half of the yr. The market share of all-electric vehicles increased to 2.6% in comparison with 1.6% in 2023. Sales of hybrid cars also increased by 22% to 11,722 units. The Malaysian government is considering reducing fuel subsidies, which could further increase the competitiveness of electrical vehicles.
Indonesia
Indonesia saw its all-electric automobile sales greater than double, selling 11,943 units in the primary half of the yr, increasing its market share to 4%. Hybrid automobile sales rose 47%, reaching a complete of 24,397 units and accounting for 8% of total automobile registrations. The Indonesian government prolonged sales tax breaks and suspended import duties on all-electric vehicles until 2025. China’s largest automobile manufacturers are opening production plants within the country.
Singapore
Sales of all-electric cars in Singapore rose 218% year-on-year to six,019 units, accounting for 32.4% of total automobile sales. Sales of hybrid cars also rose 63% to eight,922 units, accounting for 48.1% of total sales.
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Thailand
Thailand saw a 41.8% year-on-year increase in all-electric automobile sales, with 26,377 units sold from January to April. However, overall automobile sales within the country fell. The Thai government goals to sell 175,000 cars in 2024. Despite an oversupply of Chinese electric vehicles, Japanese carmakers are reducing the variety of their petrol automobile production plants.
Philippines
The Philippines has not yet released EV sales figures. However, the National Economic and Development Authority (NEDA) has announced tax exemptions for various electric and hybrid vehicles, including jeepneys and buses, through 2028. The government goals to have 311,700 EVs and seven,300 charging stations by 2028.
Global Trends and Challenges within the Electric Vehicle Market
Globally, electric vehicle sales rose 24% to six.7 million units in the primary half of the yr, accounting for 21% of total automobile sales. However, the pace of growth in all-electric automobile sales slowed, while plug-in hybrids grew 59%. Challenges akin to market saturation in Europe, weaker demand within the United States, insufficient charging infrastructure and range anxiety are all weighing on the expansion of all-electric cars.
Market leaders and future prospects
China stays the dominant player within the EV market, accounting for 65% of sales, followed by the United States with 11%. Tesla and BYD are the leading players within the all-electric market, with BYD also seeing significant growth in plug-in hybrid sales. Hybrids, seen as a transitional step toward all-electric cars, are regaining popularity. Hybrid sales rose 17.7% to 4.3 million units in the primary half of the yr, outpacing the expansion of all-electric cars. Japan leads in hybrid sales, but Japanese manufacturers are losing ground to Chinese corporations because of slower progress in all-electric vehicles. The United States is the second-largest marketplace for hybrids, with a shift toward hybrids.
