TAIPEI (Taiwan News) — Taiwan registered 35,073 new cars in January, falling short of market expectations amid uncertainty over US import tariffs, analysts said Monday.
Industry sources said the January figure was down from 47,300 in December and below the forecast of 43,000 units, per CNA. Analysts attributed the decline to cautious consumer sentiment as tariff policies remained unclear in mid-January, per UDN.
Industry insiders expect February registrations to reach 26,000 vehicles, a 6% decrease from the same month last year. The drop is partly due to fewer working days during the Lunar New Year holiday and the 228 holiday.
Hotai Motor forecast Taiwan’s car market could recover this year, driven by clearer tariff policies and growing demand. The company projects annual new car registrations could reach 440,000 units, surpassing last year.
Statistics show Hotai Motor’s Toyota brand led January sales with 11,614 units, capturing a 33.1% market share. Including Lexus, total registrations reached 14,787 units, with a market share of 42.2%.
Data for imported vehicles show 14,561 units were registered in January, down 41.3% from December and 12.2% year-on-year. Market share for imports fell to 41.5%, reflecting tariff uncertainty and cautious buyer behavior.
Luxury car registrations also declined, with 7,234 units in January, down 44.7% from the previous month and 26.1% from January 2025. Analysts said consumers postponed high-end purchases due to ongoing US import tariff concerns.
Despite the dip, industry insiders said government incentives, including commodity tax subsidies and extended trade-in programs, helped stabilize demand. Major brands also launched Lunar New Year promotions, which partially offset market caution.
