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Malaysia auto production drops 10% in H1, driven by CV slump

Malaysia's production output faces a slump in the wake of diesel subsidies being cancelled in 2024. By Stewart Burnett

Malaysian automotive production fell 10.1% year-on-year to 352,626 units in the first half of 2025, with commercial vehicle (CV) output plummeting 11.9% to 18,775 units following the government's withdrawal of diesel subsidies in June 2024. According to the Malaysian Automotive Association, passenger vehicle production declined 10.2% to 333,212 units, reflecting weaker demand across the sector.

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