Malaysia Used Car Market Size (2024 - 2029)

Malaysia Used Car Market Analysis

The Malaysia Used Car Market size is estimated at USD 25.14 billion in 2024, and is expected to reach USD 35.25 billion by 2029, growing at a CAGR of 5.40% during the forecast period (2024-2029).

The market for used cars in Malaysia is dynamic and rapidly evolving, influenced by economic conditions, consumer preferences, regulatory policies, and technological advancements. Malaysia's used car market is substantial and diverse, reflecting the country's vibrant automotive industry and robust demand for affordable transportation solutions.

With a growing middle class and increasing urbanization, there is a significant need for reliable and cost-effective mobility options, driving the demand for used cars across the country. The availability of a wide range of vehicles catering to different budgetary constraints and preferences adds to the vibrancy of the market.

From compact hatchbacks to spacious SUVs, consumers have access to a diverse selection of pre-owned vehicles from various manufacturers, both domestic and international, providing buyers with ample choices. Affordability plays a crucial role in fueling demand for used cars in Malaysia as new car prices continue to rise, particularly for vehicles equipped with advanced features and technologies.

• In the March 2024 announcement regarding the 2024 sales targets, Honda Malaysia revealed plans to implement various business activities to boost its sales momentum, including the expansion of its Honda Certified Used Car (HCUC) network.

Many consumers opt for pre-owned vehicles as a cost-effective alternative, attracted by the lower initial purchase price and reduced depreciation rates. The convenience offered by online channels has significantly expanded the reach of the used car market in Malaysia, attracting a broader audience of tech-savvy consumers.

As the automotive industry continues to evolve, the used car market in Malaysia is poised for further growth and transformation, driven by evolving consumer needs and market dynamics.

Malaysia Used Car Industry Segmentation

A used car, a pre-owned vehicle, or a second-hand car is a vehicle that has previously had one or more retail owners. Used cars are sold through various outlets, including franchises and independent car dealers, rental car companies, buy-here-pay-here dealerships, leasing offices, auctions, and private-party sales.

The Malaysian used car market is segmented by vendor type, fuel type, body type, and sales channel. By vendor type, the market is segmented into organized and unorganized. By fuel type, the market is segmented into petrol, diesel, and other fuel types. By body type, the market is segmented into hatchbacks, sedans, and sports utility vehicles (SUVs) and multi-purpose vehicles (MPVs). By sales channel, the market is segmented into online and offline. For each segment, market sizing and forecast are performed on the basis of value (USD).