ASEAN Motorcycles Industry in 2024 is flat. In the first nine months the regional market is reported flat from the correspondent period last year. Thailand is losing in double-digit while Myanmar is collapsing.
Actually we have data on new motorcycles and scooter/moped sales for the following countries: Thailand, Malaysia, Indonesia, Vietnam, Philippines, Singapore. Myanmar and Cambodia. The numbers reported in this article aggregate these markets and do not include Myanmar, Laos and Brunei.
Within the Global disruptions created by Russian war to Ukraine, Energy crisis, Inflation hick, weak consumer’s demand in China, raw material shortage and others, the center of the global economy continues to gravitate east, accelerated by unprecedented GDP growth and the rise of foreign direct investment (FDI) throughout the Asia Pacific (APAC) region. In particular, the growth of FDI has been a key driver of success for the emerging economies of the Association of Southeast Asian Nations (ASEAN), which are the focus of this special report.
Originally founded as a political bloc of five countries in Southeast Asia, ASEAN has evolved into a 10-member economic powerhouse. The ASEAN Economic Community (AEC) is now home to some of the world’s fastest growing markets, where hundreds of millions of people have joined the ranks of the middle class. ASEAN’s rapidly rising middle class is driving domestic consumption and fueling the demand for more discretionary and aspirational products and services – with a focus on quality, convenience and choice.
A typical product on-demand in the region is the 2-wheeler, used as primary individual mobility device chosen for the economicity, easy mobility within the highly congested metropolis, low maintenance, low consumption and, finally, low emissions.
The 2-wheeler industry peaked the record in 2019 at over 15 million sales, representing near the 25% of global market, before to be hardly hit by the pandemic effects and decline very sharply in 2020.
Starting from the second part of 2021 the industry is recovering, reporting 9.2% increase ar 14.7 million sales in the 2023.
Due to the sales collapse in Myanmar (-45.6%) in the first nine months of the 2024 the regional market is reported flat from the correspondent period last year.
However, looking at the single market, the largest, Indonesia, is consolidating the last year double-digit growth, with a moderate +3.9%.
A similar performance (+2.2%) is reported for Vietnam , which have lost last year and is performing below analysts expectations.
The third largest market is the Philippines with sales up a mere 0.8%, again underperforming versus our forecasts.
Thailand is the fourth market and struggles with sales down 10.9% while Malaysia lost 6.6%.
Cambodia is growing but slowly than in the past (+4.6%) while Myanmar is collapsing due the the emission limits drastically introduced by the military government. Finally, the smaller country, Singapore, is steady (+2.5%).
