High car ownership drives Tuhu Car Care's Penang expansion
KUALA LUMPUR: Tuhu Car Care is expanding into Penang with the simultaneous opening of three stores, targeting a northern Malaysian market where car ownership is among the key drivers of demand for automotive maintenance and after-sales services.
Tuhu Car Care, a Malaysian automotive services provider, is set to expand its operations into Penang, capitalizing on the region's high car ownership rates as a key driver of demand for automotive maintenance and after-sales services. Vincent Chen, the company's regional head, revealed that Penang boasts a 92% car ownership rate, closely mirroring the national average of 92.3%.
The expansion into Penang signifies Tuhu Car Care's intent to establish a multi-city automotive service network and enhance accessibility to automotive services throughout Malaysia. The company has already established operations in Kuala Lumpur and surrounding areas, where it trialed its online appointment system, product selection, transparent pricing, and in-store services.
Penang's burgeoning vehicle population, with 870,300 new four-wheeled vehicle registrations recorded in 2025, presents a substantial customer base for automotive after-sales services. Tuhu Car Care's model enables consumers to purchase automotive products through its online platform, which they can then book for installation, maintenance, and other services at its stores.
The expansion into Penang is part of a broader strategy to venture beyond the Klang Valley and cater to motorists in other urban centers. In tandem with the Penang rollout, Tuhu Car Care and Continental have unveiled three new tyre products tailored to withstand Malaysia's prevalent conditions, such as frequent rainfall and high daily mileage.
Industry research from Motorist Malaysia suggests that Malaysian drivers frequently cover 20,000 to 30,000 kilometers annually, underscoring the importance of tyre handling, ride comfort, and wet-road braking. Moving forward, Tuhu Car Care aims to expand its reach into additional Malaysian cities, with expansion decisions largely influenced by local driving habits and market demand.
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