A grim market condition awaits automakers, burdened with a huge pile-up of inventory, due to weak demand and have had to cutback significantly on vehicle production plans and profitability targets for 2009 since the advent of the economic slowdown. The uncertainty surrounding economic recovery and the continued lack of sufficient credit in the market is hurting sales and consumer confidence, which are key requirements for re-bound in positive sales. This presentation provides Frost & Sullivan\'s perspective on how growth is expected to unfold in the next two years and what the opportunities under current market conditions are. Take the opportunity to submit a question by sending an email to alvin.chuafrost.com and include the title of the event in the subject line.

1. Automotive & Transportation
Crisis hits Carmakers: Impact of Economic Slowdown and
Future Automotive Market Outlook
Vivek Vaidya – Director, Asia Pacific Automotive & Transportation Practice
Andriy Ivchenko – Team Leader Russia & CEE, Automotive & Transportation Practice
Vigneshwaran Chandran – Team Leader, Business Strategy and Innovation Group,
Europe
28th April 2009

2. Agenda
Impact of Economic Slowdown &
Future Automotive Market
Global Response of Governments to Automotive Industry:
Outlook
Support required to stimulate consumer spending on purchase of cars
Automotive Industry Outlook: Government Bailout Packages (World), 2008
Packages (US$ Billion)
Overview of Global Automotive Sales – History,
Note: All figures as per 24 th March 2009 US$ 22.4
20 Weak health of Carmakers
requiring financing support
Greater focus on
15
providing consumer
incentives to
10 stimulate demand $ 9.2
$ 5.3 $ 5.9
5 $ 3.7
$ 3.3
$ 2.0 $ 2.0 $ 2.3
$ 1.6
0
Italy Argentina Germany China Brazil UK Spain Russia France USA
Forecast and Breakdown by Segments
1 US$ = €0.75
Tax rebates / Scrapping Bonus / Loans / Credit Assurances / Source: Frost & Sullivan
Cash Subsidies Investment
Government Credit Consumer Incentives to
Financing Stimulate Car Sales
Conditional Bailout Nationalization
4
Developed Markets in Red; Russia and CEE are expected to
clock positive growth in 2010; West EU down until mid ‘10
European Auto Sales, 2008 European Auto Sales, 2008
18.0
3.5
-19.5%
Million Units
-11.8%
Million Units
-2.1%
12.0
2.5
Western European Automotive Sales Outlook
6.0
1.5
-3.4% -2.3% 4.8%
0.0
0.5
2007 2008 2009 2010
2007 2008 2009 2010
Germany France UK Italy Eastern Europe* Western Europe
Spain Russia West EU* *Eastern Europe excludes Russia volumes
*Austria, Belgium, Denmark, Finland, Greece, Ireland, Luxembourg, Netherlands, Norway, Portugal, Sweden, Switzerland
• Russia and Turkey are the only considerable growth markets in 2010 with positive growth trends, although
they are also expected to witness weakness in 2009
• Russia is expected to become the largest market in Europe on par with Germany by 2010
• All key 5 western European markets are expected to witness negative growth with 2010 expected to be the
year of recovery with improving economic conditions
7
Increasing competition between Chinese and Global OEMs –
Chinese brands expected to account for more than 32% of passenger car sales by
2012
Automotive Industry Outlook: Light Vehicle Sales Automotive Industry Outlook: Light Vehicle Sales
– by VMs (China), 2008 – by Segment (China), 2008
Asia Automotive Sales Outlook (China, India,
SHANGHAI-GM 100%
8.0% Sports, Van & Others
35.4% 7.4% SAIC-SGM-WULING
18.4% 18.0%
FAW VW Pickup / Truck
7.3%
SHANGHAI VW SUV
6.1% 6.9%
FAW 75%
Vehicle Segment %
4.8% 4.5% MPV
1.6%
CHANGAN 3.0% 2.7%
1.4% Super Luxury
7.2% GUANGZHOU HONDA
13.2% 13.1%
FAW TOYO TA High Luxury
6.5%
DO NGFENG NISSAN 50%
3.9% Low Luxury
4.1% 6.3%
4.5% 4.7% 4.7% CHERY
33.8% Large
Beijing Hyundai 35.7%
Source: Frost & Sullivan Others High Medium
25%
Low Medium
• The Chinese market is still highly fragmented with no
Indonesia, Malaysia & Thailand)
10.3% 12.8% Small
OEM having more than 8% of the total market
7.0% 6.8% Basic
• Many large OEMs except brands such as Toyota and 0%
2008 2010
Nissan, are expected to see a sales downturn in 2009
Source: Frost & Sullivan
• OEMs such as Changan Mazda, FAW Toyota etc are • The low medium segment is the largest segment in
cutting production and others such as FAW and Chery China and is expected to grow at a moderate 5%
have delayed their market expansion plans into the US CAGR between 2007 and 2010
• New models launches such as Besturn B50 from FAW, • SUV demand has been high in China in the past few
Florid from Great Wall and Fiesta from Ford have been years and is expected to grow from less than 6%
delayed until market recovery market share in 2007 to more than 8% in 2010
11
Low credit availability for VMs, suppliers and retail buyers has
severely affected Russian car sales; Recovery not until Q4`09
Automotive Industry Outlook: Light Vehicle Sales Government Measures:
(Russia), 2007 – 2010
• The Russian government has earmarked a total of
4
200 Billion Rubles as bailout package for Auto
market
Units (Million)
3 • Increase import duties on foreign-made cars, to
10.1%
increase local production and stimulate growth
-36.1%
Russia & Turkey Automotive Sales Outlook
2 7.0% • As with other major global bailout packages, end-
consumer incentives form a very marginal part (1%)
of government expenditure for the Auto industry
1
Outlook:
2007 2008 2009 2010
Source: Frost & Sullivan • Increasing pressure on used car imports with
revision of used vehicle age to 5 years from 7 years,
• The Russian market which grew explosively at 24% and
to stimulate demand in the new car market
30% in 2006 and 2007 respectively, is expected to
slowdown drastically due to the global economic crisis • Although high import duties on foreign and used cars
may impact short-term sales, it is expected to
• The market is expected to fall an estimated 36% in 2009
support the long term production growth in Russia
on the back of a slowdown in imported cars and a huge
lack of credit financing • Huge potential for low-cost (affordable cars) with
three fourths of cars sold being under US$20,000
• Vehicle imports which constitutes more than 40% of
sales, are expected to almost halve in 2009 • Governmental measures to subsidize auto loans for
Russians are expected to generate additional
• OEMs such as Hyundai and Renault have delayed
200,000 units in sales in 2009
opening of production or assembly facilities
21
Road to Recovery: Frost & Sullivan expects a V-shaped sales
downturn and recovery – Global Car Sales expected to reach 2006 levels
only by 2012
Automotive Industry Outlook: Light Vehicle Sales – Recession and Recovery (World), 2006 - 2012
65 • Global EV volume
to exceed 200,000
• 5.4m micro-hybrid
sales globally
62 Million • 0.9m full hybrids
Q4 ’07 US Enters
Recession
Q3 ’08 EU
Conclusions & Future Outlook
Unit Sales (Million)
Enters • 17 New EV model
60 Recession launches
• 2.6m micro-hybrid
sales globally
• 0.6m full hybrids
Q4 ’08 BRIC Q3’10 EU &
Markets Slow Russian market,
Down start recovery
55
Q4’09 / Q1’10
US recovers
Q3’09 Emerging
markets, India, China
stage recovery
50
2006 2007 2008 2009 2010 2011 2012
Recession expected to impact Source: Frost & Sullivan
sales for at least two full years
25
Question & Answer (Q&A) Session
2

3. Recessions in the Automotive Industry usually last for 2
years; 2010 is expected to be the turnaround year
Global Automotive Passenger Cars Production History 1950 – 2008
30 31.2 30.8 36.3 35.5 41.3 41.4
28.9 30 35.1 34.2 40.1
28.6
26 25 27.5 26.7
60
1973 1974 1975 1976
1978 1979 1980 1981 1982 1983 1990 1991 1992 1993 2000 2001 2002
50
4
3
Units (Million)
40
1 2 Collapse of the housing market in the
30
US, leads to bank collapses in the US
and Europe. Credit availability is
20 sharply curtailed and consumer
confidence falls to a low.
10
0
1950
1955
1960
1965
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
Source: American Automobile Manufacturers Association, DRI-WEFA, and Global Insight;
Frost & Sullivan Analysis
1 1973 – 75 2 1980 – 82 3 1990 – 93 4 2001 – 03
-1973 Oil Crisis driven by OPEC -1973 oil crisis and 1979 energy -The 1987 stock market crash, -Dot-com bubble bursts driving
embargo on oil exports to west, crisis leads to high inflation and followed by the 1990 Gulf war the economy down
leads to global economic economic stagnation (stagflation) and a resulting rise in Oil prices -September 11 attacks on the US
slowdown affected global industrial further causes an economic
production contraction
3

4. Global Response of Governments to Automotive Industry:
Support required to stimulate consumer spending on purchase of cars
Automotive Industry Outlook: Government Bailout Packages (World), 2008
Packages (US$ Billion)
Note: All figures as per 24th March 2009 US$ 22.4
20 Weak health of Carmakers
requiring financing support
Greater focus on
15
providing consumer
incentives to
10 stimulate demand $ 9.2
$ 5.3 $ 5.9
5 $ 3.7
$ 3.3
$ 2.0 $ 2.0 $ 2.3
$ 1.6
0
Italy Argentina Germany China Brazil UK Spain Russia France USA
1 US$ = €0.75
Tax rebates / Scrapping Bonus / Loans / Credit Assurances / Source: Frost & Sullivan
Cash Subsidies Investment
Government Credit Consumer Incentives to
Financing Stimulate Car Sales
Conditional Bailout Nationalization
4

5. The global automotive market is expected to contract at a
CAGR of close to -5% between 2007 and 2010
Automotive Industry Outlook: Sales Volumes of Light Vehicles (World), 2007 – 2010
CAGR : –4.6%
63.7 million
55.2 million
7.9m 3.0m 2.0m 0.54m 0.53m
6.3m 0.49m 0.43m
2.4m 1.5m
China Brazil India Malaysia Indonesia
20.0
With import barriers and 2007 2010
15.0 collapsing vehicle credit
Units (Million)
financing, sales is expected
to plummet a whopping
10.0 36% in 2009 and stabilize
in 2010. Imports expected
to halve in 2009 to 0.55m
5.0
0.0
2007
2007 North Western Eastern Russia South Asia Japan Middle East 2010
2010
America Europe Europe America & Africa
Note: CAGR calculated for 2007 to 2010 Note: All figures are rounded; the base year is 2008. Source: Frost & Sullivan
5

6. Small, affordable and clean cars are mega trend in the auto
industry in the next 5 years
Global Sales Volumes of Light Vehicles – by Vehicle Segment, 2008
18.9m
13.2m • Basic and small cars have a
10% 5.0m strong sales trend in Europe
Vans 13.5m 9% and Asia at present making
13% Vans
one fourth of the market size
Vans
42% • USA to witness a strong
growth of Small cars and
super-minis in 2009 and 10
30% • Pickup sales expected to reach
close to 1m units, while SUVs
are expected to sell 1.3m
units in Asia by 2010
41%
• Asia and Europe are big
49%
markets for commercial Vans,
while Japan has Vans in the
16.1%
passenger segment too
Europe USA Asia* Japan
(including Russia)
Basic Small Low Medium
High Medium Large Low Luxury
High Luxury Super Luxury MPV *(India, China, Thailand, Malaysia,
SUV Pickup / Truck Sports, Van & Others Indonesia, Korea)
6

7. Developed Markets in Red; Russia and CEE are expected to
clock positive growth in 2010; West EU down until mid ‘10
European Auto Sales, 2008 European Auto Sales, 2008
18.0
3.5
-19.5%
Million Units
Million Units
-11.8%
-2.1%
12.0
2.5
6.0
1.5
-3.4% -2.3% 4.8%
0.0
0.5
2007 2008 2009 2010
2007 2008 2009 2010
Germany France UK Italy Eastern Europe* Western Europe
Spain Russia West EU* *Eastern Europe excludes Russia volumes
*Austria, Belgium, Denmark, Finland, Greece, Ireland, Luxembourg, Netherlands, Norway, Portugal, Sweden, Switzerland
• Russia and Turkey are the only considerable growth markets in 2010 with positive growth trends, although
they are also expected to witness weakness in 2009
• Russia is expected to become the largest market in Europe on par with Germany by 2010
• All key 5 western European markets are expected to witness negative growth with 2010 expected to be the
year of recovery with improving economic conditions
7

8. Small segment cars expected to witness growth in Eastern
Europe, especially post 2010 with the launch of low-cost cars
designed for CEE and Russia
Automotive Industry Outlook: Light Vehicle Sales Automotive Industry Outlook: European
– by VMs (Europe), 2008 Powertrain Mix (Europe), 2015
Volkswagen Group 2%
1.7% PSA Group 7%
8.8% 17.0% 18%
4.4% Renault-Nissan Group
4.4% Ford Group
5.5% General Motors Group 41%
12.5%
Fiat Group 32%
5.7% Toyota Group
Daimler Group
8.4% 11.7% BMW Group
8.4% Hyundai Group
11.5% Gasoline Diesel
Suzuki Group
Others Hybrids Alternative Fuels
Note: 1. *Ford Group includes volumes of Jaguar and Land Rover account 0.7%
market share Electric Vehicles
Source: Frost & Sullivan
2. Figures exclude Russia
• Micro Hybridisation to continue on a large scale in
• Volkswagen leads sales in Europe with a strong 2008 in
Europe
a rapidly falling market
• EVs infrastructure – public paid recharging stations
• PSA had a weak sales in the second half of 2008 and
to cater to both EVs and plug-in Hybrids.
end with total annual sales down by more than 15%, in
sync with the market • Downsizing and Turbocharging – Drive towards
compliance with ACEA CO2 norms in Europe; SCR
• Renault, which has a strong focus on emerging markets
systems - EURO 6 application in passenger vehicles
including Russia and Eastern Europe saw a fall in sales
likely.
of more than 5% in 2008
8

9. China will continue to grow in 2009, although at a very low-
rate than anticipated
Automotive Industry Outlook: Light Vehicle Sales Government Measures:
(China), 2007 – 2010
• The National Development and Reform Commission
launched a rescue package for sustaining more than
Units (Million)
8 8.2% 12% growth of the automotive industry, by:
3.6%
12.1% 1. RMB 5bn towards boosting local consumption
through vehicle purchase tax cuts and incentives to
6
scrap old models in favour of new ones
2. RMB 10bn Government funding supporting
development of fuel efficient vehicles and new-energy
4
2007 2008 2009 2010 vehicles
Source: Frost & Sullivan
• Reduction in Consumption tax from 3% to 1% for
• The Chinese market is expected to continue sales small cars with engine size less than 1 litre (Sept 08)
growth, although at a slower rate – 8% CAGR from 6.3
Outlook:
million units in 2007 to 7.9 million units by 2010
• Chinese OEMs such as Chery are delaying their
• While Sales in China has seen an explosive CAGR of
market entry into developed markets such as US, due
over 20% between 2002 and 2007, it is expected to
to the global slowdown
cool down and moderate to 3.6% in 2009
• Chinese OEMs are trying to penetrate tier 2 and tier 3
• RMB appreciation, rise in raw material prices, low
cities in China for growth of vehicle sales
demand in export markets (Middle east & South
America) and low credit availability have affected • Exports to emerging markets such as Russia, Ukraine
China's auto export market and Vietnam are a popular growth routes too
9

10. Increasing competition between Chinese and Global OEMs –
Chinese brands expected to account for more than 32% of passenger car sales by 2012
Automotive Industry Outlook: Light Vehicle Sales Automotive Industry Outlook: Light Vehicle
– by VMs (China), 2008 Sales – by Segment (China), 2008
SHANGHAI-GM 100%
8.0% Sports, Van & Others
35.4% 7.4% SAIC-SGM-WULING
18.4% 18.0%
FAW VW Pickup / Truck
7.3%
SHANGHAI VW SUV
6.1% 6.9%
FAW 75%
4.8% 4.5%
Vehicle Segment %
1.6% MPV
CHANGAN 3.0% 2.7%
1.4% Super Luxury
7.2% GUANGZHOU HONDA 13.2% 13.1%
FAW TOYOTA High Luxury
6.5%
DONGFENG NISSAN 50%
3.9% 6.3% Low Luxury
4.1%
4.5% 4.7% 4.7% CHERY
33.8% Large
Beijing Hyundai 35.7%
Source: Frost & Sullivan Others High Medium
25%
• The Chinese market is still highly fragmented with no Low Medium
OEM having more than 8% of the total market 10.3% 12.8% Small
• Many large OEMs except brands such as Toyota and 7.0% 6.8% Basic
0%
Nissan, are expected to see a sales downturn in 2009 2008 2010
Source: Frost & Sullivan
• OEMs such as Changan Mazda, FAW Toyota etc are • The low medium segment is the largest segment in
cutting production and others such as FAW and Chery China and is expected to grow at a moderate 5%
have delayed their market expansion plans into the US CAGR between 2007 and 2010
• New models launches such as Besturn B50 from FAW, • SUV demand has been high in China in the past few
Florid from Great Wall and Fiesta from Ford have been years and is expected to grow from less than 6%
delayed until market recovery market share in 2007 to more than 8% in 2010
10

11. Booming exports to constitute one-fourth of total production
(3.5million) by 2015
Automotive Industry Outlook: Light Vehicle Sales Government Measures:
(India), 2007 – 2010 • The government’s fiscal package to stimulate passenger
2.5
cars (PC) sales include a 4% excise duty cut for all
Units (Million)
vehicle types
2.0 • PSU banks to provide a line of credit to NBFCs, to
14.0%
encourage lending to consumers for buying commercial
11.0% vehicles (CV)
2.1%
1.5
• Consumer incentives for CV purchases in the form of
accelerated depreciation at 50% for purchases between
January 1 and March 31
1.0
2007 2008 2009 2010 Outlook:
Source: Frost & Sullivan
• Government stimulus for PC segment has resulted in
• The growing population of middle class with increasing YOY sales growth in Feb 09, although CV sales continued
to slip in January & February 2009
affordability to buy basic mobility is expected to spur
growth of Indian market • An increasing demand for personal mobility and the
narrowing price gap between two-wheelers and low-cost
• The automotive market is expected to continue to grow
cars (Ex., Tata Nano) will drive growth
in India, with sales growth increasing rapidly, touching
• Hyundai, Suzuki and Tata are aiming to make India a
the two million mark in 2010
low-cost production hub
• Growth in the low-cost car segment is expected to be
• Exports expected to exceed one-fourth of total vehicle
moderate until 2010, with Tata’s planned production of
production between 2012 and 2015
the Nano to amount to only 40,000 units in 2009
11

12. India to become the home for manufacture of low-cost cars
with demand both from domestic and South Asian population
Automotive Industry Outlook: Light Vehicle Sales Automotive Industry Outlook: Light Vehicle
– by VMs (India), 2008 Sales – by Segment (India), 2008
100% 1.1%
Maruti Suzuki Group 5.3% Sports, Van & Others
2.2%
3.5% 4.5% 13.1%
9.0%
Tata Pickup / Truck
3.9%
4.3% 46.8% Hyundai Group 13.0% 11.6% SUV
75%
Mahindra & Mahindra MPV
Vehicle Segment %
6.7% 5.5% 7.7%
0.5% 1.5%
General Motors Group 3.9% Super Luxury
4.3%
Honda Group 17.4% High Luxury
50% 18.4%
13.5% Toyota Group Low Luxury
Ford Group Large
14.6%
Others High Medium
Source: Frost & Sullivan 25%
45.2% 42.2% Low Medium
• Maruti-Suzuki joint venture is the market leader Small
commanding about 40% of the total market share Basic
0%
• Tata to gain a significant portion of the low-cost car market 2008 2010 Source: Frost & Sullivan
with production of its Nano peaking at 250,000 units in • Alto, Indica, Wagon R and Santo are the most successful
2010 basic segment models with a combined sales of 0.6
million, more than 75% of segment sales
• Hyundai has a huge production base of 300,000 cars which
was expanded to 600,000 units in 2008; Potential low-cost • Medium segment cars along with Pickups are expected to
car beyond 2010 witness considerable growth at a CAGR > 20%
• New market entrants, such as Renault-Bajaj, expected • The phase out of models such as Suzuki Versa and Omni
after 2010 with increasing demand for low-cost cars is expected to wipe out the Van segment
12

13. 2008 was a historical year for Indonesia market with highest
ever sales and became No. 2 market in ASEAN
Automotive Industry Outlook: Light Vehicle Sales Government Measures:
(Indonesia), 2006 – 2009
0.7 • JIEPA (Japan Indonesia Economic Partnership
Agreement), signed in 2007 would benefit Indonesian
Units (Million)
0.6 automotive & auto parts industries
39.3% (29.2%)
0.5 • Under this agreement, Japanese import in Indonesia
35.9% would be cheaper
0.4
• Japanese companies set to train manpower to improve
0.3 overall capability of auto component sector
• Indonesia automotive industry stands to gain from this
0.2
2006 2007 2008 2009 in long term
Source: Frost & Sullivan • Government intends to continue with initiatives for
• Indonesian market rebound strongly from the lows of 2007 stimulating exports from Indonesia, such as zero import
in 2008 but is expected to drop by 29.2% in 2009 due to duty on components for exports-oriented units
economic slowdown and limited model launch
Outlook:
• 2008 saw a stronger purchasing power of people outside of
• Chinese manufacturers plan to make Indonesia as
Java and higher demand of commercial vehicles due to the
automotive production base
rise of commodity export (coal, CPO, etc).
• GM is likely to reopen the facilities; Proton is likely to
• Strong economic condition and low interest rate in the first
assemble the MPV
half of 2008 increased the new customers confidence in
taking up new loan for first vehicle ownership and • Eco cars are set to enter Indonesian market following
replacement. encouraging response in Thailand
13

14. Toyota, Daihatsu, Nissan, Mitsubishi and Isuzu gained market
share at the expense of Suzuki, Honda and other makes; MPV
segment would continue to dominate the Indonesia segment
Automotive Industry Outlook: Light Vehicle Sales Automotive Industry Outlook: Light Vehicle
– by VMs (Indonesia), 2008 Sales – by Segment (Indonesia), 2008
100% 3.1% 3.2%
6.9% Toyota 5.7% 5.6%
4.3%
35.1% Mitsubishi
5.3%
24.3%
Daihatsu 26.8%
75%
8.7%
Vehicle Segment %
Suzuki O t he rs
S e da n
Honda
P ic k up
Nissan 50%
12.3%
4 x2 t ype
Isuzu
12.9% 14.5%
Others 64.4% 66.8%
Source: Frost & Sullivan 25%
• Toyota remains as no.1 while Suzuki market share dropped
due to the stronger sales growth by Daihatsu and Nissan. 0%
2008 2009 Source: Frost & Sullivan
• Grand Livina, Livina XR and Livina X-Gear launched in
• Demand of 4x2 MPV is likely to be affected by global crisis.
January and May 2008 helped Nissan reach sales of 31K - a
Affordable and fuel efficient MPV with price range between
more than 67% sales growth in 2008
Rp 100-200 millions will continue to gain good sales, due
• Mitsubishi benefited from the rise of commodity export to condition of Indonesia family mobility needs and shift
that created higher demand for pickups and trucks. This from higher price segment.
has helped its sales reach 87K units in 2008, a more than
• Sedan sales is expected to drop especially cars above Rp
42% growth.
200 millions.
14

15. New model launch and stronger purchasing power assisted
the high growth of the Malaysia automotive industry in 2008
Automotive Industry Outlook: Light Vehicle Sales Government Measures:
(Malaysia), 2006 – 2009
0.6 • Bank Negara’s move to cut the Statutory Reserve
Requirement (SRR) and Overnight Policy Rate (OPR) will
Units (Million)
assist in lowering the consumer financing rate
(8.5%)
12.5%
• Car financing rate is expected to lower slightly around
0.5 (0.7%) 2.8%~2.9% in first half of 2009
• High domestic consumption and active countermeasures
by the government will continue to support the economic
activities
0.4
2006 2007 2008 2009 Outlook:
Source: Frost & Sullivan • Passenger vehicle will see a higher concentration of sales
in entry level models which will benefit the national
• Malaysia automotive industry has achieved another high
carmakers in retaining their sales
point of domestic sales in 2008 with a good growth of
12.5% in 2008 • MPV sales will grow in anticipation of Proton MPV launch
in the first quarter, and Perodua MPV in the fourth
• TIV is projected to drop by 8.5% in 2009 due to economic
quarter
slowdown and limited new model launch
• Commercial vehicle segment will see the biggest drop as
• Passenger vehicles will be affected by the economic
many companies are freezing their new asset purchase
situation as consumer will be more cautious in taking up
due to the slow economic activities
new loan and may hold up their vehicle replacement plan
15

16. Toyota, Daihatsu, Nissan, Mitsubishi and Isuzu gained market
share at the expense of Suzuki, Honda and other makes; MPV
segment would continue to dominate the Indonesia segment
Automotive Industry Outlook: Light Vehicle Sales Automotive Industry Outlook: Light Vehicle
– by VMs (Malaysia), 2008 Sales – by Segment (Malaysia), 2008
100%
9.2% 7.8%
Perodua
9.0% 33.8% 1 .4%
1
4.4% 1 %
0.1
Proton 2.9%
6.7% 3.0%
75%
Vehicle Segment %
Toyota CV
M PV
Honda
S UV
50%
17.4% Nissan C ar
77.7% 78.0%
28.7% Others
Source: Frost & Sullivan 25%
• Perodua market share dropped by 2.8% due to the
stronger sales growth by Proton, Toyota & Nissan 0%
2008 2009 Source: Frost & Sullivan
• Proton market share increment is mainly contributed by • Passenger cars segment sales is expected to drop by 8%
New Saga model making it the biggest gainer in 2008 with due to hold up in big purchase by customers.
additional 24k units
• MPV segment will be the only segment that will see
• Grand Livina launched in December 2007 helped Nissan growth in 2009.
reach sales of 33k- a 97% sales growth in 2008
• SUVs will see a drop as concentration in sales among the
• Toyota also benefited from the launch of new model Vios & private buyer will be shifting towards passenger car / MPV
Rush. with lower engine capacity & price segment.
16