Malaysia Car Sales Dip in February as Non-National Brands Face Pressure, Proton Leads EV Segment

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Kota Kinabalu (Mar 25) - Malaysia’s automotive market recorded a decline in February 2026, with overall vehicle sales dropping as festive season factors and fewer working days impacted deliveries nationwide.

Industry figures show that Total Industry Volume (TIV) fell by about 17.6% to 52,996 units during the month. The slowdown was largely attributed to holiday disruptions, which reduced showroom activity and delayed vehicle handovers.

Despite the overall dip, Proton maintained a steady presence in the market. The carmaker recorded 13,566 units sold in February, reflecting a decrease from January but still indicating consistent demand compared to previous periods.

The latest figures also highlight increasing pressure on non-national marques, which are facing stronger competition from local manufacturers such as Proton and Perodua. National brands continue to dominate the market, supported by competitive pricing and strong consumer preference.

The February decline is seen as a short-term trend influenced by seasonal factors rather than a structural downturn in the industry.

In the electric vehicle (EV) segment, Proton has emerged as a leading player in Malaysia. The company topped EV registrations, driven by demand for its models, including the Proton e.MAS 5.

The growth in EV adoption signals a gradual shift in Malaysia’s automotive landscape, with more consumers beginning to explore electrified mobility options.

For Sabahans, the temporary slowdown in vehicle sales could translate into better deals and promotional offers from carmakers, benefiting those planning to purchase new vehicles.

The continued strength of national brands like Proton and Perodua ensures that more affordable vehicle options remain available — an important factor in Sabah, where many residents depend on personal transport due to limited public transportation networks.

At the same time, the rise in EV adoption may encourage future development of charging infrastructure in Sabah, particularly in urban areas. While accessibility may still be uneven across the state, the shift towards electric vehicles signals potential long-term changes in how Sabahans travel.

Overall, while February’s decline reflects seasonal challenges, the resilience of local carmakers and the growth of EVs point to evolving trends that could shape the future of mobility in Sabah.