Volkswagen sees robust sales

It has wide range of models to cater to different target market
PETALING JAYA: Volkswagen Group Malaysia Sdn Bhd (VGM)
is optimistic about the outlook of the local automotive industry
despite the tightening of loan approvals which is causing a slowdown in
new vehiclesales.
“Malaysia has the highest number of passenger
cars on the road in Asean. It remains the biggest passenger car market
in the region with the highest demand. With more than 600,000 vehicles
sold in 2011, the Malaysian Automotive Association (MAA) had forecast a
2.5% increase in vehicle sales volume in 2012,” said VGM managing director Ricky Tay in an e-mail.
“With these figures in mind, Volkswagen is looking at a very robust 2012,” he added.
An analyst from a local bank-backed brokerage said he was upbeat about VGM's sales performance for this year.

[You must be registered and logged in to see this image.] Volkswagen Group Malaysia managing director Ricky Tay with a Passat C “Those
who go for brands like Volkswagen comprise a discerning group of
individuals and should have no problems securing loans to purchase such
vehicles.”
Meanwhile, Tay said: “Volkswagen is in a unique
situation as compared with other industry players as we have a wide
portfolio of Volkswagen models to cater to different target consumers.”
Most
car companies are reporting a slowdown in sales since the
implementation ofthe responsible lending guidelines, which came into
effect since Jan 1.
Under the new rules, loans are now approved
based on net income compared with gross income previously. The new
guidelines are intended to help manage the household debt in Malaysia
to reasonable levels.
According to the MAA, total vehicle sales
slipped 6.3% to 47,736 units in April this year from 50,936 units in
the previous corresponding period.Year-to-date April sales fell 11% to
186,280 units from 209,368 units a year earlier.
MMA said vehicle sales volume was expected to improve this month due to introduction of new models.
Tay confirmed that VGM would be launching a new model soon, although he declined to go into specifics.
“Volkswagen will be launching a face-lift of a current model within the next one month,” he said.
It learnt that the next model to be launched would be the Volkswagen CC, a four-door coupe version of the Passat. Market talk suggests that the Volkswagen CC could be launched as early as next week.
VGM recorded a 162% jump in sales to over 7,300 units last year making it the leading European brand in Malaysia.
Tay said the sales increase was primarily due to high consumer response to the Polo 1.2TSI and the Golf 1.4TSI.