___________________________________________________________________________ 2012/AD2/015 Agenda Item: 5 Overview of the Malaysian Automotive Industry Purpose: Information Submitted by: Malaysia 17th Automotive Dialogue St. Petersburg, Russia 30-31 October 2012 17th APEC THE MALAYSIAN AUTOMOTIVE AUTOMOTIVE INDUSTRY DIALOGUE DATUK AISHAH AHMAD PRESIDENT OF MAA CONTENTS 1. Overview of the Malaysian automotive industry 2. Performances of the industry (Sales, production, exports & imports) 3. Market prospects 2012 CONTENTS 1. Overview of the Malaysian automotive industry OVERVIEW OF THE MALAYSIAN AUTOMOTIVE INDUSTRY The automotive industry is one of the most important industries in Malaysia’s manufacturing sector and contributed significantly in her drive towards an industrialized nation. It is the focus of a wide range of industrial and related activities ranging from supply of materials to production, sales, services, and other auto-related operations. OVERVIEW OF THE MALAYSIAN AUTOMOTIVE INDUSTRY (Cont…..) CURRENT STATUS OF THE INDUSTRY A total of 77 Manufacturing licenses issued.1 Currently 35 licensed motor vehicle assembly plants and manufacturers in operation. Total production capacity: > 800,000 units.2 > 700 component parts manufacturers producing more than 5,000 parts. Total Employment: > 300,000 workers.3 OVERVIEW OF THE MALAYSIAN AUTOMOTIVE INDUSTRY (Cont…..) Sales made up of local assembled vehicles and imported CBU vehicles. More than 50 makes of vehicles available in the domestic market. Ranging from local brands such as PROTON and PERODUA to international makes like Toyota, Honda, Nissan, BMW, Land Rover, etc. Entry of Chinese makes in recent years. For e.g. Chery, Changan, Jinbei, Shacman & Great Wall. 4 OVERVIEW OF THE MALAYSIAN AUTOMOTIVE INDUSTRY (Cont…..) KEY CHARACTERISTICS The industry is geared mainly towards the production of Passenger Vehicles (PV).5 Highly dependent on the local market. 6 Sales of PV made up of 89% of the Total Industry Volume. Within the PV category, the Passenger Cars segment accounted for more than ¾ of the total PV market. CONTENTS 3. Performances of the industry MALAYSIA ~ SALES DATA 700,000 Total 600,000 500,000 PV 400,000 CV 300,000 200,000 100,000 0 1990 1995 2000 2005 2010 2011 To t a l 165,861 285,792 343,173 552,316 605,156 600,123 PV 114,441 238,557 309,441 454,496 543,594 535,113 CV 51,420 47,235 33,732 97,820 61,562 65,010 Notes: Passenger Vehicles reclassified in January 2007 to include all passenger carrying vehicles i.e. Passenger Cars, 4WD/SUV, Window Vans and MPVs. Commercial Vehicles reclassified in January 2007 to include Trucks, Prime Movers, Pick-ups, Panel Vans & Buses. MALAYSIA ~ PRODUCTION DATA Notes: Passenger Vehicles include all passenger carrying vehicles i.e. Passenger Cars, 4WD/SUV, Window Vans and MPVs. Commercial Vehicles include Trucks, Prime Movers, Pick-ups, Panel Vans & Buses. MALAYSIA – EXPORTS VARIANCE 2011 2010 (RM mil.) (RM mil.) RM mil. % MOTOR (11.5 VEHICLES 785.5 888.8 (103) ) MOTOR CYCLES 28.7 21.2 7.5 35.4 COMPONENTS & PARTS 5,175.1 4,998.0 177.1 3.5 MALAYSIA – IMPORTS VARIANCE 2011 2010 (RM mil.) (RM mil.) RM mil. % MOTOR VEHICLES 10,852.5 11,438.3 (585.8) (5.1) MOTOR CYCLES 435.5 368.4 67.1 18.2 COMPONENTS & PARTS 8,322.1 8,798.5 (476.4) (5.4) CONTENTS 4. Market prospects 2012 (A) MALAYSIA - MARKET PROSPECTS Prospects for the Malaysian industry in 2012 are positive. Reasons: Despite the global economic uncertainties, our local economy is expected to remain resilient1 2 Interest rates remain low Attractive new models in the pipeline Market adapted to the Bank Negara's stringent lending guidelines. The various Government projects under the ETP will generate investment and boost growth3 MALAYSIA: SALES BY TYPES OF VEHICLE YEAR-TO-DATE SEPTEMBER SEGMENT Variance 2012 2011 units % Total Industry Volume (TIV) 458,447 450,244 8,203 1.8 PV (Passenger Vehicles) 403,916 402,676 1,240 0.3 PC (Passenger Cars) 310,579 313,786 (3,207) (1.0) WV (Window Vans) 4,371 3,766 605 16.1 MPV (Multi-Purpose Vehicles) 75,145 70,947 4,198 5.9 4x4/SUV (Four Wheel Drive / Sports Utility Vehicles) 13,821 14,177 (356) (2.5) CV (Commercial Vehicles) 54,531 47,568 6,963 14.6 PV (Panel Vans) 3,518 2,347 1,171 49.9 PU (Pick Ups) 37,182 31,989 5,193 16.2 Trucks 12,579 11,591 988 8.5 PM (Prime Movers) 714 593 121 20.4 Bus 538 1,048 (510) (48.7) MALAYSIA: PRODUCTION BY TYPES OF VEHICLE YEAR-TO-DATE SEPTEMBER SEGMENT Variance 2012 2011 units % Total Industry Production (TIP) 425,192 416,416 8,776 2.1 PV (Passenger Vehicles) 378,322 383,001 (4,679) (1.2) PC (Passenger Cars) 295,087 301,256 (6,169) (2.0) WV (Window Vans) 4,529 4,064 465 11.4 MPV (Multi-Purpose Vehicles) 70,791 70,859 (68) (0.1) 4x4/SUV (Four Wheel Drive / Sports Utility Vehicles) 7,915 6,822 1,093 16.0 CV (Commercial Vehicles) 46,870 33,415 13,455 40.3 PV (Panel Vans) 4,072 2,023 2,049 101.3 PU (Pick Ups) 27,418 18,080 9,338 51.6 Trucks 14,377 11,865 2,512 21.2 PM (Prime Movers) 602 515 87 16.9 Bus 401 932 (531) (57.0) (A) MALAYSIA - MARKET PROSPECTS (CONT…) VARIANCE 2012 2011 (FORECAST) (ACTUAL) UNITS % PASSENGER VEHICLES 547,000 535,113 11,887 2.2 COMMERCIAL VEHICLES 68,000 65,010 2,990 4.6 TOTAL VEHICLES 615,000 600,123 14,877 2.5 TERIMA KASIH Thank You.