President Aishah Ahmad said the association expects the TIV to shrink by 2.5 per cent to 650,000 units in 2016.

“The strong 2015 performance is attributed to factors like the normalisation of vehicle sales after the implementation of the GST, introduction of new models and very aggressive sales campaigns by car companies, especially towards the last few months of the year.

“Challenges however remain for this year, with the persistently weak ringgit continuing to affect business confidence and consumer sentiment,” she said at a media briefing on the industry’s market review for 2015 and outlook for 2016.

Aishah said new models, four-wheel drives, pick-ups and the sports utility vehicle (SUV) segment, the auto sector’s saviour in 2015, are expected to continue to lend support to this year’s TIV.

On the Trans-Pacific Partnership Agreement (TPPA), Aishah said the trade pact may not affect MAA’s members that much as many of them were original equipment manufacturers (OEMs) who can only sell in the domestic market.

– BERNAMA