PETALING JAYA: After a record-breaking year, analysts expect the automotive sector momentum to cool as cost pressures, regulatory changes and intensifying competition reshape the landscape.
Hong Leong Investment Bank (HLIB) Research and Kenanga Research maintained a “neutral” stance on the sector, projecting a moderation in total industry volume (TIV) after 2025 closed at a record high of 820,752 units.
HLIB Reserach forecast TIV to ease 5% to 780,000 units, while Kenanga Reserach is cautious, expecting volume to dip 12% to 725,000 units, citing weaker purchasing power and post-boom normalisation.
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