Southeast Asia has become a major production hub for global automakers, with countries such as Indonesia, Malaysia, Thailand and Vietnam having active manufacturing bases that attract foreign investment.
However, the region's automotive market experienced a 5.7% year-on-year decline in sales in 2024, mainly due to significant declines in the two largest markets, Thailand (-18.4%) and Indonesia (-16.1%). However, monthly sales data show a 2.1% year-on-year growth, suggesting a potential recovery by the end of the year.
For further analysis, sales data from several countries in the region are highlighted below.
The Southeast Asian automotive market showed mixed dynamics in 2024. While Thailand and Indonesia experienced significant declines, Malaysia, the Philippines and Singapore reported positive growth.
Read also: Top 10 Best-Selling Cars in Southeast Asia: Market Trends and Top-Selling Models in 2024
Japanese manufacturers remain dominant, with Toyota leading the market share in several key countries, including Indonesia with 35.0% in September 2024, followed by Daihatsu (17.4%) and Honda (10.9%).
Meanwhile, Chinese and South Korean manufacturers continue to strengthen their positions, particularly in the electric vehicle (EV) segment. Chinese brands such as BYD Auto, SAIC and Hozon Auto have made rapid progress, especially in the Thai market.
Rising EV Interest in Southeast Asia
Interest in electric vehicles (EVs) in Southeast Asia continues to grow, driven by environmental awareness, government incentives, and a wide variety of EV models.
In Thailand, BYD Auto leads the BEV market with 22,236 units registered from January to September 2024, followed by other Chinese manufacturers like SAIC and Hozon Auto. This trend reflects the increasing influence of Chinese automakers in the region's EV market.
Events and Policies Reshape Southeast Asia Market
Various policies and events have had a significant impact on the Southeast Asian automotive market in 2024. The global chip shortage continues to disrupt production and supply chains, causing delivery delays and price increases, particularly in Indonesia, which has contributed to a decline in vehicle sales.
Meanwhile, government initiatives to promote the adoption of electric vehicles (EVs) are increasingly shaping the market, including investments in EV infrastructure and purchase incentives. One example is Great Wall Motor (Thailand) presenting its vision at the 2024 International NEV Summit, highlighting a focus on sustainable mobility solutions.
