KUALA LUMPUR, July 11 (Xinhua) -- Malaysia's electric vehicle (EV) adoption is expected to accelerate in the second half of 2026, supported by fuel subsidy rationalization, expanding charging infrastructure and a growing range of models, according to several research houses.
BIMB Securities said in a recent note that it expects EV penetration to reach between 8 percent and 10 percent of total industry volume (TIV) by year-end, up from the current 7 percent to 8 percent.
The research house said structural demand for EVs remains intact, driven by fuel subsidy rationalization, expansion of public charging infrastructure, and broader model offerings from both local and foreign automakers.
Meanwhile, Hong Leong Investment Bank expects the electrification trend to gain further momentum, citing affordable EV launches and a growing charging network.
Hong Leong also said the government's revised completely built-up (CBU) EV policy, which took effect on July 1, is likely to reshape the market by restricting imported EVs to models meeting the 200,000 ringgit CIF (cost, insurance, and freight) threshold and the 180kW minimum output requirement.
As a result, the research house expects the policy to benefit national automakers, particularly Proton and Perodua.
Maybank Investment Bank also remains positive on the sector, forecasting continued growth in EV adoption led by national marques and global brands that have established or are planning local assembly operations. ■
