MAA Predicts Lower Automotive Total Industry Volume In 2023

According to the Malaysian Automotive Association (MAA), total industry volume (TIV) will fall by 9.8% in 2023 after surpassing 700,000 in 2022. MAA president, Datuk Aishah Ahmad said, annual TIV is expected to fall from 720,658 units in 2022 to 650,000 units in 2023, owing primarily to the expiration of the sales tax exemption on March 31, 2023.

"Some companies have also indicated that after the sales tax exemption is no longer available, the number of booking orders may slow," she added.
Aishah predicted that vehicle sales would be relatively slow this year due to a lack of incentives for the automotive industry.

In fact, most consumers are now acting cautiously as a result of the anticipated global economic situation, which is quite challenging. "The introduction of many new vehicle models equipped with the latest technology, including electric vehicles (EV) at reasonable and competitive prices, is expected to strengthen the interest in buying among consumers.

"However, the industry as a whole will continue to face challenges and supply chain issues such as semiconductor chips, geopolitical instability, and the possibility of a resurgence of COVID-19 cases around the world," she said.