Competitive Chinese marques to affect Tan Chong

TheStar Wed, Mar 04, 2026 12:00am - 2 months View Original


Tan Chong’s sales volume for Malaysia declined 14.8% year-on-year to 7,014 units in FY25.

PETALING JAYA: The domestic vehicle market is expected to remain highly competitive in 2026 and Hong Leong Investment Bank (HLIB) Research remains cautious on Tan Chong Motor Holdings Bhd’s prospects.

It said this was due to subdued sales volumes and ongoing competitive pressures particularly from Chinese original equipment manufacturers (OEMs).

It maintained a “sell” for Tan Chong with an unchanged target price of 58 sen a share, based on unchanged 0.15 times price to book value tagged to book value per share for the financial year ended December 2025 (FY25).

The research house said Tan Chong had recorded losses again with core loss after tax and minority interests of RM161mil in FY25 although it was a slight improvement from FY24’s loss of RM165mil.

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