Malaysia Used Car Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)

The Malaysia Used Car Market Report is Segmented by Vendor Type (Organized and Unorganized), Fuel Type (Petrol, Diesel, and Others), Body Type (Hatchback, Sedan, and SUVs and MPVs), and Sales Channel (Online and Offline). The Market Size and Forecasts for the Malaysian Used Car Market are Provided in Terms of Value (USD) for all the Above Segments.

Malaysia Used Car Market Size

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Malaysia Used Car Market Summary
Study Period 2019 - 2029
Base Year For Estimation 2023
Market Size (2024) USD 25.14 Billion
Market Size (2029) USD 35.25 Billion
CAGR (2024 - 2029) 5.40 %
Market Concentration Medium

Major Players

Malaysia Used Car Market Major Players

*Disclaimer: Major Players sorted in no particular order


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Malaysia Used Car Market Analysis

The Malaysia Used Car Market size is estimated at USD 25.14 billion in 2024, and is expected to reach USD 35.25 billion by 2029, growing at a CAGR of 5.40% during the forecast period (2024-2029).

The market for used cars in Malaysia is dynamic and rapidly evolving, influenced by economic conditions, consumer preferences, regulatory policies, and technological advancements. Malaysia's used car market is substantial and diverse, reflecting the country's vibrant automotive industry and robust demand for affordable transportation solutions.

With a growing middle class and increasing urbanization, there is a significant need for reliable and cost-effective mobility options, driving the demand for used cars across the country. The availability of a wide range of vehicles catering to different budgetary constraints and preferences adds to the vibrancy of the market.

From compact hatchbacks to spacious SUVs, consumers have access to a diverse selection of pre-owned vehicles from various manufacturers, both domestic and international, providing buyers with ample choices. Affordability plays a crucial role in fueling demand for used cars in Malaysia as new car prices continue to rise, particularly for vehicles equipped with advanced features and technologies.

Many consumers opt for pre-owned vehicles as a cost-effective alternative, attracted by the lower initial purchase price and reduced depreciation rates. The convenience offered by online channels has significantly expanded the reach of the used car market in Malaysia, attracting a broader audience of tech-savvy consumers.

As the automotive industry continues to evolve, the used car market in Malaysia is poised for further growth and transformation, driven by evolving consumer needs and market dynamics.

Malaysia Used Car Market Trends

Increasing Adoption of Passenger Cars is Likely to Fuel the Market Growth During Forecast Period

The hatchback segment appeals to a wide range of consumers due to its practicality and affordability. In a market where cost-consciousness is prevalent, hatchbacks offer an attractive option for budget-conscious buyers seeking value for money. These vehicles are more economical compared to larger models, making them available to a broader audience.

Moreover, hatchbacks are well-suited to urban environments, which are predominant in Malaysia. With increasing urbanization and congestion in city centers, compact cars like hatchbacks are favored for their maneuverability and ease of parking. Their smaller size makes them perfect for navigating narrow streets and tight parking spaces, enhancing their appeal among urban dwellers.

Additionally, the hatchback segment caters to diverse lifestyle needs and preferences. Whether it is young professionals seeking a stylish and fuel-efficient daily commuter or families looking for a practical and spacious vehicle for city driving, hatchbacks offer versatility to meet various requirements. This adaptability contributes to the segment's resilience and attractiveness in the Malaysian market.

Furthermore, technological advancements and innovations have further bolstered the appeal of hatchbacks. Modern hatchback models often come equipped with advanced features such as smartphone integration, touchscreen infotainment systems, and advanced safety technologies. These technological enhancements enhance the overall driving experience and appeal to tech-savvy consumers, driving demand for hatchbacks in the market.

The following are some of the most popular used hatchback cars in Malaysia:

  • Perodua Myvi - Perodua Myvi is one of the best-selling cars in Malaysia. Almost every household owns at least one Myvi, and almost every Malaysian (with a driver's license) has driven one.
  • Perodua Axia - The Perodua Axia is many people's first car because it is the cheapest car on the market in Malaysia. It is a low-cost, no-frills commuter that does not break the bank in terms of monthly repayment and required services. Though it is inexpensive, this model combines the best of all worlds in a small package.
Malaysia Used Car Market: Malaysia Passenger Car Sales, In Million Units, 2019-2022

Europe is Likely to Account for the Largest Market Share During the Forecast Period

The increasing internet penetration rate indicates a shift in consumer behavior toward online activities and digital channels. With nearly 97% of the population having access to the Internet, there is a vast potential for e-commerce in the automotive industry, including the buying and selling of used cars. This digital trend is reshaping the automotive industry in Malaysia, with online platforms becoming increasingly popular among consumers seeking convenience and accessibility.

Moreover, the online segment offers several advantages for both buyers and sellers in the used car market. For buyers, online platforms provide a convenient and hassle-free way to browse through a wide selection of pre-owned vehicles, compare prices, and even arrange for test drives without the need to visit multiple dealerships physically. This convenience factor appeals to busy urban dwellers and tech-savvy consumers who prioritize efficiency in their purchasing process.

Similarly, for sellers, the online segment presents a prospect to reach a broader audience and showcase their inventory to potential buyers nationwide. By listing their used cars on online platforms, dealerships and private sellers can increase their visibility and attract interested buyers beyond their local geographic area. This expanded reach enhances market competitiveness and increases the likelihood of selling vehicles quickly.

Moreover, the online segment is driving e-commerce growth within the Malaysian used car market. As more consumers become accustomed to making purchases online, the demand for digital transactions and online payment solutions is expected to rise. This trend aligns with broader e-commerce trends in Malaysia and reflects a shift toward digital-first consumer behavior across various industries.

Therefore, the online segment is anticipated to play a significant role in the Malaysian used car market, driven by the country's high internet penetration rate and the growing adoption of digital channels.

Malaysia Used Car Market: Malaysia Internet Penetration, Share (%), 2018-2023

Malaysia Used Car Industry Overview

The Malaysian used car market is moderately fragmented owing to its competitive nature and the presence of a large number of players operating across the country. These players are estimated to focus on expansion, fleet upgradation, collaborations, etc., to strengthen their position in the market. For instance,

  • In July 2023, the Malaysian national carmaker Proton established strategic alliances with three e-bidding companies (EBC), namely, myTukar, MUV, and Carsome, to enhance the trade-in car disposal process for customers.

Malaysia Used Car Market Leaders

  1. Sdn Bhd

  2. CARSOME Sdn Bhd

  3. myTukar Sdn. Bhd.

  4. MT Digital Sdn Bhd

  5. Caricarz Sdn Bhd

*Disclaimer: Major Players sorted in no particular order

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Malaysia Used Car Market News

  • March 2023: Mitsubishi Malaysia introduced its pre-owned car initiative, the Max Certified program, with some key features as follows:
    • Every used car undergoes a thorough 150-point inspection conducted by certified company specialists.
    • Each vehicle comes with a 12-month warranty covering the repair or replacement of essential components such as the engine, transmission, steering, and electronic systems.
    • Buyers will receive a service e-voucher valued at MYR 500 (USD 10.43), which can be utilized at any authorized dealer for routine maintenance.
  • February 2022: The Honda Certified Used Car (HCUC) program launched by Honda Malaysia in 2022 continues to be operational. The HCUC business offers certified pre-owned Honda vehicles equipped with genuine parts and free from major accidents. This initiative aims to provide customers with quality assurance and reliability when purchasing used Honda vehicles in Malaysia.

Malaysia Used Car Market Report - Table of Contents


    1. 1.1 Study Assumptions

    2. 1.2 Scope of the Study




    1. 4.1 Market Drivers

      1. 4.1.1 Diverse Selection Among Car Models is Anticipated to Drive the Market Growth

    2. 4.2 Market Restraints

      1. 4.2.1 Counterfeit and Illegally Imported Vehicles are Restraining the Market Growth

    3. 4.3 Industry Attractiveness - Porter's Five Forces Analysis

      1. 4.3.1 Threat of New Entrants

      2. 4.3.2 Bargaining Power of Buyers/Consumers

      3. 4.3.3 Bargaining Power of Suppliers

      4. 4.3.4 Threat of Substitute Products

      5. 4.3.5 Intensity of Competitive Rivalry


    1. 5.1 Vendor Type

      1. 5.1.1 Organized

      2. 5.1.2 Unorganized

    2. 5.2 Fuel Type

      1. 5.2.1 Petrol

      2. 5.2.2 Diesel

      3. 5.2.3 Others

    3. 5.3 Body Type

      1. 5.3.1 Hatchback

      2. 5.3.2 Sedan

      3. 5.3.3 SUVs and MPVs

    4. 5.4 Sales Channel

      1. 5.4.1 Online

      2. 5.4.2 Offline


    1. 6.1 Vendor Market Share

    2. 6.2 Company Profiles*

      1. 6.2.1 CARSOME Sdn Bhd

      2. 6.2.2 Sdn Bhd

      3. 6.2.3 myTukar Sdn Bhd

      4. 6.2.4

      5. 6.2.5 MT Digital Sdn Bhd

      6. 6.2.6 Sime Darby Auto Selection

      7. 6.2.7 Caricarz Sdn Bhd

      8. 6.2.8 UMW Toyota Motor Sdn Bhd

      9. 6.2.9 Mercedes-Benz Malaysia Sdn Bhd

      10. 6.2.10 BMW Malaysia Sdn Bhd


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Malaysia Used Car Industry Segmentation

A used car, a pre-owned vehicle, or a second-hand car is a vehicle that has previously had one or more retail owners. Used cars are sold through various outlets, including franchises and independent car dealers, rental car companies, buy here pay here dealerships, leasing offices, auctions, and private party sales.

The Malaysian used car market is segmented by body type, vendor type, sales channel, and fuel type. By vehicle type, the market is segmented into hatchbacks, sedans, and sports utility vehicles (SUVs) and multi-purpose vehicles (MPVs). By vendor type, the market is segmented into organized and unorganized. By fuel type, the market is segmented into petrol, diesel, and others. By sales channel, the market is segmented into online and offline. For each segment, market sizing and forecast are performed on the basis of value (USD).

Vendor Type
Fuel Type
Body Type
SUVs and MPVs
Sales Channel
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Malaysia Used Car Market Research FAQs

The Malaysia Used Car Market size is expected to reach USD 25.14 billion in 2024 and grow at a CAGR of 5.40% to reach USD 35.25 billion by 2029.

In 2024, the Malaysia Used Car Market size is expected to reach USD 25.14 billion. Sdn Bhd, CARSOME Sdn Bhd, myTukar Sdn. Bhd., MT Digital Sdn Bhd and Caricarz Sdn Bhd are the major companies operating in the Malaysia Used Car Market.

In 2023, the Malaysia Used Car Market size was estimated at USD 23.78 billion. The report covers the Malaysia Used Car Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Malaysia Used Car Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.

Key factors driving the Malaysia Used Car Market are a) Economic factors b) Changing consumer preferences towards used cars c) Government policies d) Technological advancements in online sales platforms

Malaysia Used Car Industry Report

The Malaysia used car market has seen remarkable growth, fueled by a shift towards personal mobility and an increase in online platform adoption for sales, making the buying and selling process more efficient. This market, characterized by its diverse segments and a strong preference for sedans, hatchbacks, and reliable brands, is thriving in urban areas like Kuala Lumpur and Selengor, with a notable presence of both organized and unorganized dealers. The digital shift in the used car landscape is pivotal, enhancing consumer experiences and expanding market reach. With a competitive landscape marked by intense competition, the market is set for further growth, driven by affordability, a trend towards shorter ownership periods, and a budding interest in electric vehicles. For detailed insights, Mordor Intelligence™ offers a comprehensive analysis, including Malaysia car market share, size, revenue growth rate, and a forecast outlook, available as a free report PDF download.

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Malaysia Used Car Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)