Malaysia Car Market 1H 2026 Who's Up Who's Down

Malaysia Car Market 1H 2026: 409,310 Registrations Recorded

The Malaysia car market in the first half of 2026 recorded 409,310 new vehicle registrations, according to data from the Road Transport Department (JPJ). This figure represents the second-best first-half performance in the country’s history, trailing only the 1H 2025 record of 415,200 units. The data covers all passenger and commercial vehicle segments, including national and non-national brands.

“The 1H 2026 total of 409,310 registrations is a 1.4% decline compared to the same period in 2025, but still significantly above the pre-pandemic average of approximately 350,000 units,” the report states. The analysis is based on official JPJ registration figures compiled by the Malaysian Automotive Association (MAA) and published by Paul Tan’s Automotive News.

Market Share and Brand Performance

Perodua maintained its dominant position with 175,200 units registered in 1H 2026, representing a 42.8% market share. This is a 2.1% increase from 171,600 units in 1H 2025. Proton secured second place with 95,100 units (23.2% share), a 3.5% decline from 98,600 units year-on-year. Toyota ranked third with 45,800 units (11.2% share), down 1.8% from 46,600 units. Honda recorded 38,200 units (9.3% share), a 4.0% drop from 39,800 units. Mitsubishi saw 12,400 units (3.0% share), up 5.1% from 11,800 units. Nissan registered 8,900 units (2.2% share), a 6.3% decline from 9,500 units. Mazda posted 7,600 units (1.9% share), down 2.6% from 7,800 units. BMW (including Mini) recorded 6,200 units (1.5% share), up 3.3% from 6,000 units. Mercedes-Benz registered 5,400 units (1.3% share), a 1.8% decline from 5,500 units. Other brands collectively accounted for 14,610 units (3.6% share).

Key Facts

Which Brands Gained Market Share in 1H 2026?

Perodua and Mitsubishi were the only major brands to record year-on-year growth in registrations during the first half of 2026. Perodua’s 2.1% increase was driven by strong demand for the updated Axia and Bezza models, while Mitsubishi’s 5.1% rise was attributed to the Xpander MPV and Triton pickup. BMW also posted a 3.3% gain, supported by the locally assembled 3 Series and X1.

“Perodua’s 175,200 units in 1H 2026 is the highest first-half total ever achieved by a single brand in Malaysia,” the report notes. In contrast, Proton, Toyota, Honda, Nissan, Mazda, and Mercedes-Benz all experienced declines ranging from 1.8% to 6.3%.

Which Brands Lost Market Share in 1H 2026?

Nissan recorded the steepest decline among major brands, with registrations falling 6.3% to 8,900 units. Proton’s 3.5% drop to 95,100 units was attributed to supply chain constraints for the X70 and X90 models. Honda’s 4.0% decline to 38,200 units was linked to the phase-out of the City Hatchback and delayed launch of the new Civic. Toyota’s 1.8% dip was marginal, while Mazda’s 2.6% fall was partly due to the discontinuation of the CX-3.

“Nissan’s 8,900 units in 1H 2026 is its lowest first-half total since 2019,” the report states. Mercedes-Benz also saw a 1.8% decline to 5,400 units, though the brand maintained its lead in the premium segment.

How Does 1H 2026 Compare to Pre-Pandemic Levels?

The 1H 2026 total of 409,310 units is 16.9% higher than the 1H 2019 pre-pandemic figure of 350,200 units. The market has consistently exceeded 400,000 units in the first half since 2023, driven by strong consumer demand, new model launches, and government incentives such as the SST exemption for hybrid vehicles.

“The 1H 2026 result is the second-best first-half performance in Malaysian automotive history, only 1.4% below the record set in 1H 2025,” the report concludes. The full-year 2026 forecast by MAA stands at 780,000 units, which would be a new annual record if achieved.

Who Is This For in Malaysia?

This market analysis is relevant for Malaysian car buyers, dealers, investors, and policymakers. For urban dwellers in Klang Valley condominiums, the data shows that compact hatchbacks (Perodua Axia, Proton Iriz) remain the most registered vehicles, reflecting the need for fuel-efficient, easy-to-park cars. For families in landed properties, the popularity of MPVs (Mitsubishi Xpander, Toyota Avanza) and SUVs (Proton X70, Honda HR-V) is evident. The data also highlights the shift towards hybrid and EV models, with brands like BMW and Mercedes-Benz seeing growth in their electrified line-ups.

“Malaysian consumers in 1H 2026 continued to favour national brands, with Perodua and Proton accounting for 66% of all new car registrations,” the report notes. This trend is consistent with the country’s price-sensitive market, where affordability and fuel economy are top priorities.

Common Questions

Why did Perodua’s sales increase while Proton’s declined?

Perodua’s 2.1% growth was driven by the updated Axia and Bezza, which offer competitive pricing and fuel efficiency. Proton’s 3.5% decline was due to supply chain issues for the X70 and X90, as well as increased competition from Toyota and Honda in the SUV segment.

Is the 1H 2026 car market data from JPJ reliable?

Yes, the data is sourced directly from the Road Transport Department (JPJ) and compiled by the Malaysian Automotive Association (MAA). Paul Tan’s Automotive News has been reporting these figures for over a decade, and the methodology is consistent with previous years.

Which car brands are best for compact urban living in Malaysia based on 1H 2026 sales?

Perodua Axia and Bezza, along with Proton Iriz and Saga, are the top-selling models in urban areas. Their small dimensions, low running costs, and compatibility with narrow streets and tight parking spaces make them ideal for KL condominium dwellers.

Sources and Methodology

This article is based on the report “Malaysia Car Market 1H 2026: 409,310 Registrations – Second Best 1H Ever, Who’s Up Who’s Down” published by Paul Tan’s Automotive News (paultan.org) on 13 July 2026. The primary data source is the Road Transport Department (JPJ) of Malaysia, compiled by the Malaysian Automotive Association (MAA). All figures are in Malaysian Ringgit (RM) where applicable; no currency conversion was required as the source uses RM. This article was last updated on 13 July 2026. Information specific to Malaysia was verified against the MAA’s official press release for 1H 2026.