Hino Motors seeks 3.3% sales growth in Malaysia after slump in 2019
PETALING JAYA, Malaysia, NNA - Japanese commercial vehicles maker Hino Motors Ltd. aims for a 3.3-percent sales increase in Malaysia to 5,700 units in 2020, with the prospects for growing demand from the agriculture and construction sectors.
Setting such a target follows a 6 percent year-on-year drop in truck sales in the domestic market last year despite a double-digit plunge in overall truck demand, Atsushi Uchiyama, chairman of Hino Motors Sales (Malaysia) Sdn. Bhd. said told reporters.
“We had a tough year.” Slack exports and a slowdown in domestic consumption contributed to the weak demand, he added.
Hino Motors Sales (Malaysia) Sdn. Bhd., the local subsidiary of the Japanese maker of trucks and buses, seeks to achieve the 2020 target by increasing sales of towing vehicles and keeping stable sales of buses as well as strengthening services with an expansion of a service facility.
The subsidiary estimates that Malaysia’s commercial vehicle market this year will recover by 3 percent on the back of the potential for new investments in plantations due to a rise in palm oil prices.
The development of the country’s national project called Bandar Malaysia, including building a railway and constructing office buildings and houses in Kuala Lumpur, could be another driver, Uchiyama said.
The company also expects stable sales of buses, mainly sightseeing buses. For route buses, it plans to bring in more low-floor models.
In 2019, Hino Motors secured a 37-percent share in Malaysia’s truck market including towing vehicles, staging a comeback as the top seller since 2013. The Japanese company also ranked number one in the bus market last year for four consecutive years, with a 62 percent share.
Hino Motors accumulated sales topping 100,000 units since its tap into the local market in 1977, it announced at a ceremony in Petaling Jaya, the central state of Selangor on Wednesday.
Looking back, Uchiyama cited small trucks put into the Malaysian market in 2004 as significant support for accumulated sales of more than 100,000 units. By bringing heavy trucks in the local market in 2008, Hino Motors lined up small, medium and heavy trucks.