The growing demand for electric vehicles is driving the development of the Southeast Asian automotive market. Data shows that total car sales in major Southeast Asian markets increased by approximately 11% year-on-year, with Indonesia, Malaysia, and Thailand performing strongly and becoming key drivers of overall growth. In the second quarter, Indonesia remained the largest automotive market in Southeast Asia, with sales increasing by 34% year-on-year to 227,545 units. Malaysia was also one of the strongest performing markets. Data shows that Malaysian car sales from April to June increased by 9.7% year-on-year to 201,242 units. Driven by the market recovery, the Malaysian Automobile Association raised its full-year car sales forecast from 790,000 units to 800,000 units. Thailand's second-quarter car sales reached 164,883 units, an increase of approximately 10% year-on-year, marking the fifth consecutive quarter of growth. However, unlike other Southeast Asian markets, Vietnam's electric vehicle transformation is mainly driven by local automakers. Data shows that VAMA member companies' sales only increased by 2% year-on-year in the second quarter, but if non-member companies such as VinFast and Hyundai are included, the overall size of Vietnam's automotive market has significantly expanded. On the other hand, the Philippines lags behind other ASEAN member countries. In the second quarter, electric vehicle sales in the Philippines fell 14% year-on-year to 97,988 units, making it one of the worst-performing markets in the region.
