Vehicle sales drop last month due to chip shortages, MAA says

By FAYYADH JAAFAR / Pic MUHD AMIN NAHARUL

MALAYSIA recorded new vehicle sales of 58,742 units in November 2021, marking the first month-on-month contraction after four consecutive months of at least double-digit growth. 

The total industry volume (TIV) fell 7.5% from the 63,489 units sold in October 2021, the Malaysian Automotive Association (MAA) said. 

“(This was because) a shortage of chips and some parts had affected production of certain makes. (In addition), consumers may have deferred purchase of new vehicles since the sales tax exemption incentive has been extended till June 30, 2022,” it said in a statement yesterday. 

However, last month’s TIV was 1.9% higher than the 57,622 units sold in the same month last year, MAA said.

Passenger vehicles sales grew slightly to 52,601 units compared to 52,289 units in November 2020, while sales of commercial vehicles improved to 6,141 units compared to 5,333 units. 

Year-to-date sales volume recorded at 441,136 units, which declined 4% from the 459,336 units achieved a year ago. 

On total production, MAA said 58,079 units were produced in last month, a 5.9% increase over 54,832 units in November 2020. 

Of the total, 53,661 units were passenger vehicles (November 2020: 50,894 units) while 4,418 units were commercial vehicles (Novem- ber 2020: 3,938 units). 

For the first 11 months of this year, 396,530 passenger vehicles were produced compared to 405,838 units in the corresponding period in 2020, while 30,955 commercial vehicles were made versus 23,488 units previously. 

“Sales this month is expected to be maintained at November 2021 level. “Companies’ year-end promotional campaigns will spur sales,” MAA said, adding that automotive firms may also ramp up deliveries of vehicles to fulfil backlog orders, especially for those with financial year ending December 2021.