KUALA LUMPUR: Malaysia’s automotive sales slipped by 20% to 58,490 units in September, compared with 67,302 units recorded in August, according to the Malaysian Automotive Association (MAA).

In a statement, MAA said September 2025’s total industry volume (TIV) was also 22% lower than the 74,479 units posted in August.

The association attributed the decline to four public holidays during the month, as well as a “wait-and-see” approach from consumers ahead of the 2026 National Budget, particularly regarding the petrol subsidy rationalisation.

On a year-on-year basis, total sales reached 579,336 units, marking a decrease from 595,883 units in September 2024.

For vehicle production, 58,413 units were manufactured in September — a 5.5% increase from the same month last year — consisting of 54,738 passenger vehicles and 3,675 commercial vehicles.

However, year-to-date production fell to 552,129 units, compared with 593,045 units in the corresponding period of the previous year.

MAA anticipates that sales will rebound in October 2025, supported by rising demand for battery electric vehicles (BEVs) following the Budget 2026 announcement that tax exemptions for fully imported BEVs will not be extended, alongside ongoing year-end promotional offers.