Malaysian EVs: A Local Surge Against Global Giants
April 1, 2025, 4:39 pm
The electric vehicle (EV) landscape in Malaysia is shifting. Local brands are stepping up to challenge the dominance of established players like BYD and Tesla. The Malaysian government is pushing for a greener future, and local automakers are responding with vigor.
Proton Holdings and Perodua are at the forefront of this movement. Proton's e.MAS 7 SUV has already made waves. Launched in December 2024, it has sold over 1,000 units in just a few months. This model has become the best-selling EV in Malaysia, surpassing even BYD. Proton's CEO is keen to maintain this momentum. The goal is clear: keep the e.MAS 7 in the spotlight while planning new models.
Proton is not alone. Perodua, Malaysia's largest automaker, is also entering the EV market. They plan to release their first EV by the end of 2025. This model will be unique. It will be sold without a battery, reducing initial costs. Instead, customers will lease the battery. This innovative approach could attract budget-conscious buyers.
The Malaysian government is playing a crucial role. They are advocating for affordable EVs, aiming for models priced under MYR 100,000 (about USD 22,770). This initiative is part of the "New Industrial Master Plan 2030," which seeks to increase the share of EVs and hybrids in new automotive sales to 15% by 2030. The push for local production is also significant. Proton and Geely, its Chinese partner, plan to assemble EVs in Malaysia. This move will cut tariffs and transportation costs, making EVs more accessible.
The e.MAS 7 is based on Geely’s Galaxy E5. Proton engineers have tailored it for the Malaysian market. The Prime version is priced at MYR 109,800 (USD 25,000), making it nearly 30% cheaper than BYD’s Atto 3. However, it has a shorter range of 345 kilometers compared to the Atto 3’s 400 kilometers. The e.MAS 7 lacks some features, like smartphone connectivity, but it offers a compelling value proposition.
The EV market in Malaysia is growing. In 2024, EV registrations surged by 80%, reaching 28,048. While this still represents only 3% of all vehicles, it shows a clear trend. EVs have now outpaced hybrids in registrations. BYD held a 31% market share, while Tesla accounted for 18%. Local brands are beginning to carve out their niches.
Analysts note that Proton and Perodua are adopting different strategies. Proton is leveraging its partnership with Geely, which may limit its ability to differentiate itself in export markets. In contrast, Perodua is developing its own EV lineup, which may take longer but could offer more flexibility in the future. The challenge for Perodua will be achieving economies of scale to compete effectively.
However, challenges remain. Malaysia's EV charging infrastructure is still in its infancy. Gasoline-powered vehicles continue to dominate the market. In 2024, total automotive sales exceeded 800,000 for the first time, with Perodua and Proton being the top sellers. Perodua's sales increased by 8%, while Proton's dipped slightly.
The competition is fierce. Proton and Perodua are not just up against BYD and Tesla. They are also competing with established Japanese brands like Toyota and Honda, each holding around 10% of the market. The local automakers must innovate and adapt quickly to gain ground.
The Malaysian EV market is a microcosm of a larger global trend. As countries push for greener alternatives, local brands are stepping up. The race is on, and the stakes are high. The success of Proton and Perodua could inspire other nations to invest in local EV production.
In conclusion, the Malaysian EV landscape is evolving. Local brands are rising to the challenge, supported by government initiatives and strategic partnerships. The road ahead is fraught with obstacles, but the potential for growth is immense. As the world shifts towards sustainability, Malaysia's local automakers are positioning themselves to be key players in the electric vehicle revolution. The future is electric, and Malaysia is ready to charge ahead.
Proton Holdings and Perodua are at the forefront of this movement. Proton's e.MAS 7 SUV has already made waves. Launched in December 2024, it has sold over 1,000 units in just a few months. This model has become the best-selling EV in Malaysia, surpassing even BYD. Proton's CEO is keen to maintain this momentum. The goal is clear: keep the e.MAS 7 in the spotlight while planning new models.
Proton is not alone. Perodua, Malaysia's largest automaker, is also entering the EV market. They plan to release their first EV by the end of 2025. This model will be unique. It will be sold without a battery, reducing initial costs. Instead, customers will lease the battery. This innovative approach could attract budget-conscious buyers.
The Malaysian government is playing a crucial role. They are advocating for affordable EVs, aiming for models priced under MYR 100,000 (about USD 22,770). This initiative is part of the "New Industrial Master Plan 2030," which seeks to increase the share of EVs and hybrids in new automotive sales to 15% by 2030. The push for local production is also significant. Proton and Geely, its Chinese partner, plan to assemble EVs in Malaysia. This move will cut tariffs and transportation costs, making EVs more accessible.
The e.MAS 7 is based on Geely’s Galaxy E5. Proton engineers have tailored it for the Malaysian market. The Prime version is priced at MYR 109,800 (USD 25,000), making it nearly 30% cheaper than BYD’s Atto 3. However, it has a shorter range of 345 kilometers compared to the Atto 3’s 400 kilometers. The e.MAS 7 lacks some features, like smartphone connectivity, but it offers a compelling value proposition.
The EV market in Malaysia is growing. In 2024, EV registrations surged by 80%, reaching 28,048. While this still represents only 3% of all vehicles, it shows a clear trend. EVs have now outpaced hybrids in registrations. BYD held a 31% market share, while Tesla accounted for 18%. Local brands are beginning to carve out their niches.
Analysts note that Proton and Perodua are adopting different strategies. Proton is leveraging its partnership with Geely, which may limit its ability to differentiate itself in export markets. In contrast, Perodua is developing its own EV lineup, which may take longer but could offer more flexibility in the future. The challenge for Perodua will be achieving economies of scale to compete effectively.
However, challenges remain. Malaysia's EV charging infrastructure is still in its infancy. Gasoline-powered vehicles continue to dominate the market. In 2024, total automotive sales exceeded 800,000 for the first time, with Perodua and Proton being the top sellers. Perodua's sales increased by 8%, while Proton's dipped slightly.
The competition is fierce. Proton and Perodua are not just up against BYD and Tesla. They are also competing with established Japanese brands like Toyota and Honda, each holding around 10% of the market. The local automakers must innovate and adapt quickly to gain ground.
The Malaysian EV market is a microcosm of a larger global trend. As countries push for greener alternatives, local brands are stepping up. The race is on, and the stakes are high. The success of Proton and Perodua could inspire other nations to invest in local EV production.
In conclusion, the Malaysian EV landscape is evolving. Local brands are rising to the challenge, supported by government initiatives and strategic partnerships. The road ahead is fraught with obstacles, but the potential for growth is immense. As the world shifts towards sustainability, Malaysia's local automakers are positioning themselves to be key players in the electric vehicle revolution. The future is electric, and Malaysia is ready to charge ahead.