Strong yearly sales forecast for auto industry

A Perodua customer care executive (right) assisting a customer at a showroom in Sungai Buloh. — AZLINA ABDULLAH/The Star

PETALING JAYA: The strong sales registered by the automotive sector in August foretell a strong year for the sector, while strong balance sheets of listed companies signal attractive dividend payouts.

MIDF Research said the auto sector can be seen as a major beneficiary of the recovery in domestic consumption, despite the risks posed by higher interest rates and inflation pressures.