ASEAN regional sales continue negative, reports LMCA
That’s the finding of the latest research by LMC Automotive, which found that sales in Thailand dropped by almost 57k in the second month of the year, with the increased volume of around 21k in the other four markets unable to compensate. As a result, sales registered at around 248k, and slightly picked up from 240k in the previous month. The firm said the movement has followed its expectation, and it has retained its previous annual projection of 3.2m.
In its latest report, the firm said that: ‘Market normalisation continued in Thailand, whose February sales of around 70k were slightly less than the 75k seen in 2011. It is clear that this is the main cause of the on going decline, and not the political unrest as generally believed. A monthly sales peak in December 2013 of above 100k amid the very climax of anti‐government protests and a stable total booking number at the recent Bangkok International Motor Show confirmed our hypothesis.
‘Despite a huge drop in the Seasonally Adjusted Annualized Rate in February from 943k in the previous month to just around 882k, we have retained our forecast that the Thai market should be just below 1m. We have left some room for a driving force from the supply side, such as marketing campaigns.’
Elsewhere, the firm said that significant growth could be observed in the other four markets, with the largest rise in volume seen in Indonesia, with an increase of around 10k. Once again, monthly sales surpassed the 100k level. The main driver continued to be strong demand for Low Cost Green Car models. Annual sales are expected at 1.2m.
Sales in Malaysia were also up with an expansion of more than 5k, or 12%, registering February sales at 50k. This was a pick up from a slump in January. The increase was on strong demand for a few new models, such as the newly facelifted Perodua Alza. The outlook for Malaysia in 2014 has also been kept at around 674k.
LMCA reported that sales in the Philippines also increased considerably by 19% to 19k. Strong growth was observed in the SUV and Mini Car segments. Gradual growth is expected to continue in 2014, with sales reaching 224k.
The firm’s report also looked at the market in Vietman which, although the least by volume, saw a huge jump of a 65% expansion to 7k in February. The high growth was mainly due to a low base in the previous year. The most significant expansion was in the Sub‐Compact Car segment. Sales should recover to pre 2011 levels, reaching 120k this year, LMCA concluded.
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