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Strategic Insight into Used-Car Market in Malaysia

  • December 2014
  • 85 pages
  • Frost & Sullivan
Report ID: 2587130


Table of Contents

Used-Car Sales Expected to Decline During 2014–2020

This study analyzes the demand and key market factors impacting the trends within the used-car market in Malaysia during 2013-2020. The Malaysia market overview highlights the key participants within the used-car market and the top factors influencing the purchase of used cars, with an analysis of current market trends and situations impacting the used-car business. Comparative analysis of changing mobility patterns, mega trends, and industry convergence implications is also included. Key drivers and restraints are discussed, along with an analysis of Malaysia’s total industry volume market with future forecasts and trends for the used-car market.

Key Findings
Anticipation of further car price reduction and tightening of loans and credit control were the key factors hindering the used-car market growth in Malaysia.

Used-Car Market: Key Takeaways, Malaysia, 2013
1 In 2013, Malaysia’s used-car market witnessed a year-on-year (y-o-y) decline of %, with an overall sales volume of approximately units, which is much lower compared to the sales volume of units in 2010 and units in 2009.
2 As of 2013, Malaysia had approximately used car dealers, with a collective inventory of about – vehicles.
3 Proton and Perodua are the most popular brands in the used-car market followed by Toyota and Honda. Low price, low cost of spare parts, and high resale value are the key parameters which contribute to the popularity of cars.
4 In 2013, Malaysia was ranked 44th globally in terms of motorization level, with cars per people. As Malaysians are fond of owning cars, the vehicle ownership level is much higher in Malaysia than in various comparable and developed economies.
5 The used-car market has been declining over the years due to intense competition in terms of price points from new cars. About 60% of car buyers annually sell their used cars to purchase new ones.

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