Car Sales Set Record High in SE Asia

February 06, 2019 at 2:47 PM

Demand for new passenger vehicles in southeast Asia’s six largest markets grew 6% to an all-time record 3.57 million cars in 2018, The Nikkei reports.

Sales last year in Indonesia, the region’s largest national market, climbed 7% to 1.15 million units. Deliveries in Thailand jumped 20% to 1.04 million cars.

Volume in the area—which comprises Indonesia, Malaysia, the Philippines, Singapore, Thailand and Vietnam—was only 3.12 million vehicles in 2015. Government incentives and growing economies have fueled strong gains throughout the region.

But The Nikkei says experts predict growth will slow or stop this year because of rising interest rates and the impact on export of the simmering trade war between China and the U.S.