Perodua's formula has been simple and devastatingly effective for 30 years: take proven Japanese platforms, localise for Malaysian roads and incomes, price aggressively, and deliver reliability. It works. 360,000 cars sold in 2025. Nearly one in every two cars purchased in Malaysia is a Perodua. The question is whether that formula — which runs on affordable ICE vehicles — survives the EV transition.
The eMO's launch in early 2026, and its near-zero registration numbers in the months that followed, is the clearest signal yet that the answer isn't straightforward.
Ziet Invests traces Perodua's 30-year journey from 'second national car' to Malaysia's dominant brand with 43.9% market share and 5.5 million vehicles produced. Our contributors take the three angles that matter: what the eMO numbers mean for investors and the automotive sector, what Perodua's structural advantages actually are and where they don't translate, and what it means if you're buying a car in 2026.
Adam Tan — growth lens
Perodua's dominance is real but the eMO launch tells you everything about where the risk is.
360,000 cars sold in 2025 with 43.9% market share — nearly one in every two cars on Malaysian roads. Perodua has compounded this position for two decades by doing one thing exceptionally well: making cars Malaysians don't regret buying. Not exciting, not aspirational, just reliable and affordable.
The Daihatsu partnership (20% stake) is the engine behind this. Perodua doesn't design from scratch — it adapts proven Japanese platforms for local conditions, with over 90% local parts sourcing. That CKD model keeps costs down and turnaround fast. Proton tried to build everything in-house and burned through time and capital doing it.
But the eMO is a warning sign. Zero registrations in January 2026, one in February. The battery-as-a-service model — RM80,000 for the car body plus RM275/month for battery subscription over 9 years — pushes total ownership to roughly RM110,000 before insurance and road tax. For Perodua's core buyer (B40/M40, first-time purchasers), that's not affordable enough when BYD and Chery are entering with aggressively priced EVs built at massive Chinese scale.
The RM800 million Perodua invested in the eMO is their biggest single bet ever. If the EV transition accelerates faster than expected, Perodua's entire cost advantage — built on ICE supply chains and Daihatsu platforms — becomes a liability rather than an asset.
My read: Perodua's ICE business will dominate for another 5-7 years. But the EV pricing gap is closing fast. If you're investing in anything exposed to Malaysia's automotive sector (MBMR, DRB-Hicom, or the broader auto supply chain), watch Perodua's EV sales numbers quarterly. The eMO is the canary.
Daniel Lim — steady lens
Let's separate what Perodua has proven from what it's assuming.
Proven: 30 years of consistent execution. The Daihatsu platform strategy works — it delivered the Myvi, Axia, Bezza, and Alza, all of which dominate their segments. Four Perodua models rank in the top five most-wanted used cars in Malaysia, which tells you the resale feedback loop is real. Buy a Perodua, maintain it at their service network, sell it later without losing your shirt.
The service network advantage is underrated. Perodua's centres outnumber Proton's 180 significantly, and because parts are locally sourced, repairs are same-day instead of waiting weeks for Chinese imports. That after-sales experience is what keeps buyers coming back. It's not brand loyalty — it's rational economics.
Assumed: That the same formula translates to EVs. Here's where I'd slow down.
The eMO's battery subscription model makes sense from an engineering perspective — guaranteed battery performance for 9 years. But Perodua's audience doesn't think in engineering terms. They think in monthly payments. And RM275/month for a battery on top of your car loan is a psychological barrier that the near-zero registrations confirm.
More importantly, Perodua's cost advantage in ICE comes from decades of supplier relationships, CKD localisation, and Daihatsu engineering. None of that transfers directly to EVs. Battery cells come from China. EV platforms require different expertise. The RM800 million R&D investment is significant for Perodua but modest compared to what BYD spends in a quarter.
What I'd watch: Don't panic about the 'end of Perodua' narrative. ICE sales remain strong and will for years. But if you're making a 9-year car financing decision today, factor in that the EV landscape will look radically different by 2030. Perodua's next model — not the eMO — will be the real test of whether they can compete in electric.
Sarah Abdullah — action lens
Buying a new car in 2026? Here's how to evaluate whether Perodua is still your best option.
Prerequisites:
- Know your monthly budget (total car cost, not just instalment)
- Check current bank hire purchase rates (BNM base rate affects this)
- 30 minutes with a calculator
Step 1: Calculate true monthly ownership cost, not just the instalment. For a Perodua Axia (from ~RM22,000): monthly instalment around RM350-400 on 9-year tenure. Add insurance (~RM80/month averaged), petrol (~RM200-300), maintenance (~RM50-80/month averaged over service intervals). Total: roughly RM700-850/month.
For the Perodua eMO (RM80,000 + RM275/month battery): instalment around RM900-1,000 plus RM275 battery subscription plus insurance. Total: RM1,300-1,500/month — nearly double the Axia.
Step 2: Compare with Chinese EV alternatives. BYD Dolphin starts around RM99,800 (battery included). Monthly instalment ~RM1,100 on 9-year tenure, no separate battery fee. Factor in lower fuel cost (electricity vs petrol) but potentially higher insurance and uncertain long-term parts availability.
Step 3: Check resale value data before signing. Perodua ICE models hold value well — Myvi and Bezza are among Malaysia's top 5 most-wanted used cars. EV resale values are still unproven in Malaysia. If you plan to sell in 3-5 years, an ICE Perodua is currently the safer bet for value retention.
Step 4: Factor in maintenance access. Perodua's service centre network is nationwide with same-day parts. Chinese EVs rely on brand-specific centres concentrated in Klang Valley. If you're outside KV, check how far the nearest authorised service centre is before committing.
Step 5: Don't rush into EV for savings alone. The fuel savings are real (electricity is cheaper per km than petrol), but the higher purchase price and battery subscription can cancel that out at Perodua's price segment. Run the 5-year total cost comparison before deciding.
Common mistake: Comparing the eMO's RM80,000 sticker price directly to an Axia's RM22,000. The eMO's true cost is ~RM110,000 over the battery contract period. Always compare total ownership cost.
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Source Video
This analysis drew on the following video as a primary source.