ASEAN auto sector saw weak demand in 2020 hit by the pandemic COVID-19 and production dropped significantly below two years low, said ASEAN Automotive Federation. It is likely that the auto recovery will be slower-than-expected and the slump could continue in the rest of 2020.
During Jan-Aug 2020, the total production of vehicles in the ASEAN region (including Myanmar) tumbled by 41pc from the prior year to 1.64mn units. Two major auto producer countries, Thailand and Indonesia lowered their output by 42pc to 812,721 units and 49pc to 427,607, respectively, from the prior year. Weak demand pushed sales down by 33pc and 51pc, respectively. Car output in Indonesia over the year 2020 is projected to drop by 43pc from a year prior to 775,000 units.
Malaysian auto production was at 263,876 units in Jan-Aug period, down 31pc from the year prior period. While the Philippines and Vietnam reduced production by 33pc and 24pc, respectively.
In line with this, the Federation of Thai Industries (FTI) anticipates, auto demand would gradually recover in the last four months of 2020. The country is still likely to produce 1.4mn units of vehicles in 2020, down around 21pc from a year ago.
|ASEAN auto production in 1,000 units|
|Jan-Aug 2020||Jan-Aug 2019||% Change|