South East Asia Used and New Cars Market Expected to Reach $471,490.57 Million by 2033 - Allied Market Research

According to a recent report published by Allied Market Research, titled, “South East Asia Used and New Cars by Vehicle Type, Type, Application, Range, and Power Output: Regional Opportunity Analysis and Industry Forecast, 2024-2033,” the South East Asia used and new cars market size was valued at $205,807.60 million in 2023, and is projected to reach $471,490.57 million by 2033, registering a CAGR of 8.9% from 2024 to 2033.

The Southeast Asia used and new cars market holds high potential for the automotive industry. The South East Asia used and new cars market share has witnessed a notable rise, capturing a larger portion of the automotive industry. Companies in this industry are adopting various innovative techniques to provide customers with advanced and innovative feature offerings. Currently, the Southeast Asia used and new cars market has witnessed steady growth. High new vehicle prices and affordability concerns, and surge in demand for off-lease cars & subscription service by the franchise, leasing offices, and car dealers are the key factors that boost the sales of automobiles in the developing economies. The South East Asia new car and used car market is driven high new vehicle prices and affordability concerns, and surge in demand for off-lease cars & subscription service by the franchise, leasing offices, and car dealers. However, unorganized used car sales and lack of regularization hamper the growth of the South East Asia used and new cars industry.

The South East Asia used and new cars market size is experiencing substantial growth due to increasing consumer demand. Moreover, advent of e-commerce & online technologies, steady increase in organized/semi organized sales in emerging countries, and growth in electric vehicle business across the globe and demand for car sharing services are expected to offer lucrative opportunities for the growth of the South East Asia new car and used car market. The South East Asia used and new cars market share has grown considerably in recent years. Major players in the industry are capitalizing on this trend to expand their market presence. Furthermore, the nations of Malaysia, Indonesia, the Philippines, Singapore, and Thailand are members of the Association of Southeast Asian Nations (ASEAN). Due to the expansion of the automotive sector, rising adoption of innovative urban mobility, population growth, affordability, higher GDP growth rate, and expansion of the rental car market, ASEAN countries are anticipated to be the primary growth drivers for the rest of the Southeast Asia used and new cars market. In the Southeast Asia used and new cars market, purchasers place the most demand on hatchback vehicles.

South East Asia used and new cars market analysis reveals key factors driving the industry's growth. The hatchback category of the used automobile market is expanding due to its low maintenance requirements, reasonable pricing, attractive design, and convenience of city driving. Its low weight also makes it simple to produce and market as an electric car. As a result, it is anticipated that accessibility and affordability will fuel market expansion during the projection period. The South East Asia used and new cars market growth is projected to continue rising due to increased demand and economic expansion. Moreover, at present, SUVs are the most sought-after models on the new and used automobile markets. The primary characteristics that drive the market demand for SUVs include higher ground clearance, simple access and exit, high engine power, off-road capability, improved visibility, and superior safety. Also, SUVs are popular right now because of their roominess, safety, and off-road ability, among other things. As a result, SUVs are currently the most popular cars, increasing their market share. As a result, increased demand for SUVs is expected to lead to increased demand for SUV vehicle types in the used automobile market. There is a significant South East Asia used and new cars market opportunity for investors and manufacturers.

The market size for used and new cars in South East Asia has expanded significantly, driven by the adoption of different sales channel. In the passenger vehicle sales market in Southeast Asia, both new and used cars are sold through various online and offline channels. There are websites and apps dedicated to vehicle sales, such as Carro, Carsome, and OLX. These official websites offer customers the chance to browse models, configurations, and prices, and sometimes complete the purchase process. With rising internet penetration and smartphone usage in Southeast Asia, more consumers are comfortable making purchases online. The success of e-commerce in other sectors has built trust and familiarity with online transactions. Online platforms allow consumers to browse and purchase vehicles at any time, from anywhere. Many consumers prefer to see, and test drive a vehicle before making a purchase, which is only possible through offline channels.

Personal interactions with sales representatives can build trust and provide a tailored buying experience. Well-known dealerships and showrooms provide a sense of security and trust, especially for high-value purchases like cars. Offline channels cater to consumers in areas with limited internet access or those who prefer local dealerships. Local dealerships often have a strong reputation within the community, which can influence buying decisions. Both online and offline sales channels are growing in Southeast Asia's passenger vehicle market because they cater to different aspects of consumer needs and preferences. The online channel offers convenience, comprehensive information, and technological innovations, while the offline channel provides a tangible experience, personal interaction, and cultural alignment. Moreover, the South East Asia used and new cars market trends indicate a shift towards more environmentally friendly vehicles which drives the growth of the market.

Key Findings of The Study

• On the basis of vehicle type, the hatchback segment is anticipated to exhibit a remarkable growth during the forecast period.
• On the basis of propulsion, the electric and hybrid segment is anticipated to exhibit a remarkable growth during the forecast period.
• On the basis of distribution channel, the peer to peer segment is anticipated to exhibit remarkable growth during the forecast period.
• On the basis of registration type, the used car segment is anticipated to exhibit remarkable growth during the forecast period

The key players analyzed in this report are Trusty Cars Ltd. (Carro), CARSOME Sdn Bhd, Cars24, Carousell, Olx Group, TKM (Toyota Trust), Philkotse.com, Valuedrive Technologies (Spinny), Big Boy Toyz, and Mahindra First Choice. The companies have adopted strategies such as expansion, partnership, product launch, and others to improve their market positioning.