New Market Research Report: Malaysia Autos Report Q4 2010

Aug. 12, 2010 - PRLog -- New vehicle sales in Malaysia rose 20% in H110, which even when factoring in a slowdown in H2 due to base effects in the earlier months, puts the market on track to surpass BMI's original forecast of 544,000 units. Taking into account our Country Risk team's view that private consumption will be driven by solid economic growth (4.9% in 2010), we have revised our total vehicle sales forecast up to 571,470 units, a rise of 6.4% year-on-year (y-o-y). Total sales in H110 reached 301,077 units, boosted largely by growth in the commercial vehicle segment, which grew 27% to 29,204 units from 22,885 in H109. The passenger car segment remains the backbone of the Malaysian auto sector, however, with sales rising 19% to 271,873 units from 228,420 units in H109.

In line with BMI's view on government intervention in the auto sector, the Malaysian Ministry of International Trade and Industry (MITI) has opened a dedicated division to oversee the development of the domestic industry, as it looks to compete with other major ASEAN states. The Malaysia Automotive Institute (MAI) will be given a more defined brief under the 10th Malaysia Plan, but will broadly focus on devising industry policy and coordinating research and development. According to Deputy Minister of International Trade and Industry Jacob Dungau Sagan, the MAI was created from recommendations laid out in the Third Industrial Master Plan 2006-2020. BMI believes the government is aware that the industry needs focussed attention if it is to compete with its regional neighbours, particularly Indonesia, which is comparable in size but has previously been more open in its policies towards international involvement in the industry.

Nevertheless, BMI identifies a push from European companies to target what is one of the larger markets in South East Asia. Peugeot plans to produce its T33 low-cost model locally, bypassing import tariffs to significantly reduce the cost. Local dealer Nasim also plans to add more service centres to its network and reduce the cost of its spare parts. According to Nasim's director, Samson George, much of this strategy is directed at a perception that European cars are both expensive to buy and maintain. The catalyst for this activity among European brands is a potential FTA between Malaysia and the EU, which is currently under negotiation after talks surrounding an agreement between the EU and the collective ASEAN states were dropped.

For more information or to purchase this report, go to:
-  http://www.fastmr.com/prod/76419_malaysia_autos_report_q4...

Report Table of Contents:

Executive Summary
SWOT Analysis
- Malaysia Autos Industry SWOT
- Political SWOT Analysis
- Economic SWOT Analysis
- Business Environment SWOT Analysis
Regional Market Overview
- Good Growth Prospects Up For Grabs In ASEAN Markets
Business Environment Ratings
- Table: Business Environment Ratings -- Auto Industry Asia Pacific
Industry Forecast Scenario
- Production And Sales
- Table: Malaysia Autos Sector: Historical Data And Forecasts
- Trade
- Table: Malaysia Autos Sector: Historical Data And Forecasts
- Economic Contribution
- Table: Malaysia Autos Sector: Historical Data And Forecasts
Macroeconomic Outlook
- Table: Malaysia - Economic Activity
Competitive Landscape
- Market Overview
- Competitive Landscape
- Table: Malaysian Passenger Vehicle Sales
- Industry Developments
- Company Developments
- Commercial Vehicle Segment
Company Monitor
- Denso Eyes Local Content To Build On EM Success
Company Profiles
- Proton
- Perodua
- Toyota Motor
- Honda
BMI Methodology
- How We Generate Our Industry Forecasts
- Sources

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Business Monitor International (BMI) offers a comprehensive range of products and services designed to help senior executives, analysts and researchers assess and better manage operating risks, and exploit business opportunities, across 175 markets.  BMI offers three main areas of expertise: Country Risk BMI's country risk and macroeconomic forecast portfolio includes weekly financial market reports, monthly regional Monitors, and in-depth quarterly Business Forecast Reports.  Industry Analysis BMI covers a total of 17 industry verticals through a portfolio of services, including in-depth quarterly Country Forecast Reports.  View more research from Business Monitor International at http://www.fastmr.com/catalog/publishers.aspx?pubid=1010

About Fast Market Research

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Fast Market Research is an online aggregator and distributor of market research and business information. We represent the world's top research publishers and analysts and provide quick and easy access to the best competitive intelligence available.