Malaysia Electric Vehicle Market: Industry Analysis and Forecast (2022-2029)

Malaysia Electric Vehicle Market size was valued at USD 15.54 Mn. in 2021 and the total revenue is expected to grow at 12.46 % through 2022 to 2029, Malaysia Electric Vehicle Market is reaching nearly USD 39.76 Mn. by 2029.
Malaysia Electric Vehicle Market Overview:
Malaysia is establishing itself as a modern market economy. Malaysia's GDP growth rate is one of the world’s most competitive; in 2021-2023, it grew at a pace of 7.2 % yearly, placing it 20th in the world, ahead of countries such as New Zealand and Australia. Malaysia is a major producer of tin and rubber on the globe. According to ERIA (Economic Research Institute for ASEAN and South Asia), the country launched a National Green Technology policy to support the EV market, and they also formulated the Genentech Malaysia plan, which states that by 2021, 100,000 passenger EVs, 2000 bus EVs, and 100,000 electric motorcycles or scooters will be available on national roads.To know about the Research Methodology:- Request Free Sample Report
Malaysia Electric Vehicle Market Dynamics:
Malaysia wants to encourage people to adopt electric vehicles and other fuel-efficient vehicles. This is mentioned in the National Transport Policy, which intends to increase the implementation of low-carbon mobility programs, among other things. The development of the electric vehicle market in Malaysia is being hampered by a lack of buyer knowledge and limited charging options. Market knowledge of the benefits of electric vehicles is still limited, and buyers of electric vehicles face challenges due to the lack of charging infrastructure in Malaysia. Hybrid and electric vehicle sales are currently limited in the country, although this situation will change over time as more people become aware of them and more infrastructure is built.

Malaysian firms have begun developing prototypes for future electric automobiles. Proton is one of these companies. Its model, the Proton Iriz EV, was on show at the 2021 International Genentech and Eco Products Exhibition and Conference Malaysia as the first locally produced electric vehicle. Electric and hybrid car research is also being conducted by companies such as Perdue in the forecast period.

The Malaysian electric vehicle market is still in its early phases of development. The Malaysian government's EV rules and the continued introduction of new models contribute to the country's EV market growth. Malaysia's government wants to be a prominent player in the regional electric transportation market by 2029. When Malaysia developed its National Automotive Policy, it began focusing on energy-efficient vehicles (EEVs) (NAP). The policy's goals were to develop a competitive local vehicle industry, make Malaysia the regional center for EEVs, and sustainably enhance value-added activities. Grants (for research and development, as well as training) and infrastructural facilities are used to give various incentives.

Companies like Oyika, a Singapore-based firm, provide the battery swap facility for electric motorcycles, with MGTC playing a significant role in supplying charging station solutions throughout Malaysia. MyKar and the Malaysia Automotive, Robotics, and IoT Institute (MARii) have signed a Memorandum of Understanding to complete the process of testing and designing electric automobiles for manufacturing. Because of poor charging facilities, vehicle maintenance costs, and the expense of electric vehicles, a major portion of Malaysia's population is uninterested in purchasing electric vehicles. Only four electric vehicles had been sold in Malaysia as of the end of 2021.

In Malaysia, fossil fuels are mostly used for energy generation and transportation. For every kilometer driven by a typical car, these non-renewable fossil fuel sources produce roughly 0.77 kg CO2eq per kWh of electricity generated and 2.31 kg CO2eq each liter of gasoline consumed, resulting in global warming. In Malaysia, using oil palm biomass to generate electricity to power electric vehicles (EVs) is one feasible method for promoting green electricity generation and reducing fossil fuel usage. Malaysia has a large supply of oil palm biomass, with 454 palm oil mills (POMs) processing a total of 112,187,800 tonnes of oil palm fresh fruit bunches (FFB) each year. Each tonne of FFB produces biomass waste, which is made up of 7% palm kernel shell (PKS), 14% palm monocarp fiber (MF), and 23% empty fruit bunch (EFB) If surplus electricity is stored and transported in a mobile energy storage system to power EVs in Malaysia, CO2 emissions might be reduced by 0.9 tonnes CO2 per EV per year by 2029. It could also be a less expensive option than gasoline. Malaysia has a large supply of oil palm biomass, with 454 palm oil mills (POMs) processing a total of 112,187,800 tonnes of oil palm fresh fruit bunches (FFB) each year.
Some of the Roadblocks slowing down Malaysia in the EV Adoption Race:
• Investing Too Much Focus On Building Petrol-Powered Vehicles – Malaysia is still focused on producing automobiles with internal combustion engines, and Hyundai, a major foreign player with an EV technology investment, will be relocating its regional headquarters from Mutiara Damansara to Indonesia. Hyundai is also constructing a small-scale electric vehicle manufacturing facility in Singapore, with a goal of producing 30,000 cars per year by 2029. Toyota Motor Corp., in addition to Hyundai, has announced plans to invest US$2 billion (about RM8 billion) in EV development in Indonesia from 2021 to 2023. Because the Indonesian government already has an EV development map," Toyota President Akio Toyoda said in a statement, "Toyota considers Indonesia as a desirable EV investment target. This demonstrates the insufficiency of our previously discussed NAP 2021.

• Consumers will not receive any subsidies to purchase electric vehicles – For the time being, the high cost of electric vehicles may hinder Malaysians from making the switch. Consider Tesla's Model S, which costs more than RM 650,000. It makes adoption nearly hard for the majority of Malaysians in the M40 age group. Renault's Zoe and Nissan Leaf are more cost-effective solutions, with prices starting at RM145, 888 and RM180, 566 in Malaysia, respectively. EVs are most accessible to individuals in the T20 sectors with such rates, especially without government incentives to make the switch. According to a 2021 MMR survey, nearly 65 % of Malaysian respondents said that tax breaks would encourage them to purchase an electric vehicle. In addition, the presence of local charging stations would entice 56 % of Malaysian respondents to purchase an EV. Malaysia may learn from countries like Norway, which saw a boom in electric vehicle purchases in 2021. To boost demand, the government offered EV drivers a 90 % road tax reduction. Despite the fact that the NAP made no mention of EV incentives or tax advantages, MITI deputy minister Ong Kian Ming indicated that such details have yet to be finalized.

• Malaysia stuck making parts rather than vehicles – Malaysia already has a strong ecosystem for producing lithium batteries, which are used in the manufacture of electric vehicles. According to Malaysia Automotive, Robotics, and IoT Institute (MARii), Samsung SDI's plant in Negeri Sembilan has been producing lithium batteries for electric vehicles. Because Malaysia is already late to the game, Nano Malaysia’s CEO Rezal Khairi Ahmad suggests focusing on components rather than actual EVs. Nano Malaysia is the first country to create a totally homegrown hybrid vehicle.
Malaysia Electric Vehicle Market Segment Analysis:
The Malaysia Electric Vehicle Market is segmented into Vehicle Type and Electric vehicle type.

Based on Type, the market is sub-segmented into Two-wheeler, Passenger vehicle, and Commercial vehicles. The passenger vehicle leading the Malaysia electric vehicle market in 2021. When compared to its nearest neighbor, Singapore, Malaysia was the first to introduce electric buses. Gemilang had already delivered more than 40 units to Singapore, much outnumbering the number sold in Malaysia.

The objective of the report is to present a comprehensive analysis of the Malaysia Electric Vehicle Market to the stakeholders in the industry. The past and current status of the industry with the forecasted market size and trends are presented in the report with the analysis of complicated data in simple language. The report covers all the aspects of the industry with a dedicated study of key players that include market leaders, followers, and new entrants.

PORTER, PESTEL analysis with the potential impact of micro-economic factors of the market have been presented in the report. External as well as internal factors that are supposed to affect the business positively or negatively have been analyzed, which will give a clear futuristic view of the industry to the decision-makers.

The report also helps in understanding the Malaysia Electric Vehicle Market dynamics, structure by analyzing the market segments and projects the Malaysia Electric Vehicle Market size. Clear representation of competitive analysis of key players by product, price, financial position, product portfolio, growth strategies, and regional presence in the Malaysia Electric Vehicle Market make the report investor’s guide.
Malaysia Electric Vehicle Market Scope: Inquire before buying



Malaysia Electric Vehicle Market


Base Year
2021
Forecast Period
2022-2029


Historical Data
CAGR
Market Size in 2021
Market Size in 2029


2017 to 2021
12.46%
US$ 15.54 Mn
US$ 39.76 Mn


Segments Covered


by Type
• Two-Wheeler
• Passenger Car
• Commercial Vehicle
by Vehicle Type
• BEV
• PHEV
• HEV


Regions Covered


North America
• United States
• Canada
• Mexico
Europe
• UK
• France
• Germany
• Italy
• Spain
• Sweden
• Austria
• Rest of Europe
Asia Pacific
• China
• S Korea
• Japan
• India
• Australia
• Indonesia
• Malaysia
• Vietnam
• Taiwan
• Bangladesh
• Pakistan
• Rest of APAC
Middle East and Africa
• South Africa
• GCC
• Egypt
• Nigeria
• Rest of ME&A
South America
• Brazil
• Argentina
• Rest of South America



Malaysia Electric Vehicle Market Key Players
• Mercedes Benz
• Bollore
• Mistubishi
• Nissan
• Peugeot
• Tesla
• Volkswagen
• Renault
• BMW
• Hyundai
• Jaguar
• Proton
• Perodua
• Eclimo

Frequently Asked Questions:

1. Which region has the largest share in Global Malaysia Electric Vehicle Market?
Ans: Asia Pacific region held the highest share in 2021.

2. What is the growth rate of Global Malaysia Electric Vehicle Market?
Ans: The Global Malaysia Electric Vehicle Market is growing at a CAGR of 12.46% during forecasting period 2022-2029.

3. What is scope of the Global Malaysia Electric Vehicle Market report?
Ans: Global Malaysia Electric Vehicle Market report helps with the PESTEL, PORTER, COVID-19 Impact analysis, Recommendations for Investors & Leaders, and market estimation of the forecast period.

4. Who are the key players in Global Malaysia Electric Vehicle Market?
Ans: The important key players in the Global Malaysia Electric Vehicle Market are – Mercedes Benz, Bollore, Mistubishi, Nissan, Peugeot, Tesla, Volkswagen, Renault, BMW, Hyundai, Jaguar, Proton, Perodua, and Eclimo

5. What is the study period of this Market?
Ans: The Global Malaysia Electric Vehicle Market is studied from 2021 to 2029.