Gasgoo Munich- On September 20, at the 2026 TEDA Forum's Special Session 8—Strategic Upgrade of Chinese Brands in the Southeast Asian Market—Wen Liefeng, Southeast Asia Operations Director at SAIC-GM-Wuling's overseas division, shared his insights on the regional automotive landscape.
SAIC-GM-Wuling has cultivated the Southeast Asian market for nearly a decade, launching its Indonesia plant back in 2017. While the region has become a strategic stronghold for Chinese NEV exports, shifting entry policies mean a simple trade model is no longer viable. Automakers must now expand their presence across the entire industrial ecosystem.
The data highlights the shift: ASEAN's total auto sales hit 3.4 million in 2025, with NEVs accounting for 580,000 units—a 17% penetration rate. By the first half of 2026, that rate climbed further to 24%. Japanese brands still dominate the top ten, but Chinese players like BYD and Chery have broken through. Overall, Chinese brand sales surged 52% year-on-year, capturing over 30% of the market.
By country, Thailand's NEV penetration reached 30%, while Vietnam hit 40% and the Philippines 45%. In Indonesia, demand centers on MPVs; the market is expected to rebound to 850,000 units this year, with a first-half NEV penetration of 16.8%.
According to Wen, policy winds are shifting across Southeast Asia. Early incentives like tax exemptions and subsidies are phasing out, replaced by rules pushing for local production. Malaysia has set price thresholds for new cars and plans a specific EV tax, while Thailand is expected to raise import duties next year alongside strict localization requirements for parts. Japanese incumbents and local players have built high barriers; Vietnam's VinFast, for instance, operates a closed charging network that shuts out competitors.
He believes Chinese automakers cannot simply replicate their domestic models in Southeast Asia. Instead, they must adopt a "one country, one policy" approach, pursue deep localization, and embrace KD (knocked-down) assembly as an inevitable path forward.
SGMW's overseas operations have produced over 4 million NEVs and exported more than 1.6 million vehicles in total. Its footprint spans 70 countries, eight KD factories, and 260 retail outlets. In Southeast Asia specifically, Wuling's DURIO topped its segment in Thailand. The company now operates 220 stores in the region, serving over 160,000 users.
Wen emphasized that Chinese brands are evolving from simple product exporters to builders of global brands and ecosystems. Automakers need to collaborate to complete the supply chain, tailor models to local needs, and fully localize their products, channels, and marketing. The goal is a sustainable, symbiotic industrial ecosystem.
