Interactive Automotive

The EV Race in ASEAN. Leaders and Laggards

The immediate outlook for the ASEAN automotive sector in 2026 is characterized bymixed signals and significant volatility. While some individual markets show ro

Akhyari Hananto

May 27, 2026 8:53 AM GMT+7

Loading visualization...

Data Sources

Overview of the ASEAN-6 automotive market

The immediate outlook for the ASEAN automotive sector in 2026 is characterized by
mixed signals and significant volatility. While some individual markets show robust
growth, others face headwinds that temper the overall regional picture. For instance,
Thailand demonstrated a strong start to the year, with passenger vehicle production
rising 10.53% year-on-year in January 2026 to reach 118,386 units . This positive
momentum was driven by a surge in EV demand, which saw 31,859 Battery Electric
Vehicles (BEVs) and 12,654 Hybrid Electric Vehicles (HEVs) sold during the same month,
accounting for a substantial portion of new registrations .

In stark contrast, other partsof the region have experienced more challenging conditions. New vehicle sales inIndonesia, for example, declined by 19% in August 2025, falling to 61,780 units from 76,302 in the previous year, indicating a slowdown in a critical market . This divergence underscores the necessity of looking beyond aggregate regional data to understand the specific forces at play in each country. The overall ASEAN-6 market, comprising the six largest economies, saw a dip of 5.4% in 2024, with Thailand and
Indonesia recording sharp declines of 25% and 13% respectively, highlighting the
fragility of the recovery post-pandemic

Thank you for reading until here