Perodua maintains strong orders even after sales tax reinstated from July 1

By CARSIFU | 4 August 2022

KOTA BARU: Perodua collected some 24,265 orders in the month of July, which is a healthy sign that demand for its vehicles remain strong notwithstanding the sales tax reinstatement on July 1.

The compact carmaker also reported higher year-to-date sales numbers with a 48.7% jump to 145,689 units sold from January to July compared with 97,945 units sold in the same period last year.

Perodua president and chief executive officer Datuk Seri Zainal Abidin Ahmad said the sales increase could be attributed to two main reasons.

Zainal Abidin.
Zainal Abidin.

“The first is due to the strong demand for our vehicles, especially between January and June this year as customers wanted to take advantage of the government’s sales tax exemption initiative.

“The second reason why the 2022 year-to-date numbers are stronger is due to the nationwide Covid-19 pandemic lockdown that happened between June and mid-August last year,” he said.

Zainal Abidin said the booking momentum, while not as strong as the bookings collected in the first half of 2022, was better than expected and this showed the automotive industry still has room to grow.


The all-new Alza multi-purpose vehicle received 39,000 bookings so far, of which 9,000 was collected in July.

Zainal Abidin had earlier announced a 3,000 monthly sales target for the new Alza.

“While the year-to-date numbers are encouraging, we are still cautious as there are still lingering issues in the automotive ecosystem last month, which include shortage of labour and residual semiconductor supply availability.

“As a result, our month-to-month sales were reduced by 13.3% to 18,346 units in July compared with 21,164 units registered in June this year,” Zainal Abidin said.

He said Perodua is working closely with the government to overcome the labour shortage by early August and Perodua expects its production to resume in full beginning this month.


“On the semiconductor issue, we have secured enough chip supply for us to produce and register more than 247,800 units this year, however we are still working on sustaining production growth. This means that we could not announce our new targets yet,” he said.

Zainal Abidin said the total industry volume for this year could be more than 630,000 units as nearly all automotive brands had accumulated massive bookings between January and June this year.

“Also, given that the government has extended the registration deadline for all vehicles booked on or before June 30 to March 31 next year, we believe the industry can do better than a 30,000-registration increase by the end of this year,” he added.

In July, the Malaysia Automotive Association announced an increase in the total industry volume to 630,000 units from a forecast of 600,000 announced in January.

READ MORE: Carmakers start to see weaker demand in Europe and N. America amid inflation squeeze