Latest Stories

  • GST zero-rated: Nissan prices drop by up to RM9.4k

    Edaran Tan Chong Motor (ETCM) has a new price list for its Nissan vehicle line-up, and this should officially come into effect from June 1, when the 6% goods and services tax (GST) that is in place will be zero-rated as per the announcement made by the new Pakatan Harapan government on May 16.

    The new on-the-road (OTR) excluding insurance prices will remain in effect until GST is eventually replaced by the sales and services tax (SST). The exact return of SST has not been revealed, but according to Tun Daim Zainuddin, head of the government’s Council of Eminent Persons, SST should be back in place within a two to three month timeframe.

    With the removal of GST, savings range from RM3,861 for an Almera 1.5E manual transmission to RM9,420 for an X-Trail 2.5L Premium Impul. The Almera 1.5E manual, which is priced at RM68,500, will be RM64,639 once GST becomes zero-rated. The X-Trail 2.5L Premium Impul, meanwhile, will see its OTR price being adjusted from RM167,600 to RM158,180 from the start of next month.

    Click to enlarge.

    As is the case everywhere else, the differences as listed are never directly six percent, based on an OTR price comparison with and without GST. As mentioned in earlier reports, the 6% GST is only applied on the selling price of a car (and in the case of CBU models, a Puspakom inspection fee), with road tax, registration fee as well as an ownership endorsement fee then added on top of that (these with no GST applied) to form an OTR price without insurance.

    During the launch of the C27 Serena S-Hybrid, ETCM had stated that a price protection scheme similar to what Motor Image announced for Subaru vehicles – would be introduced to protect customers against impending price movements.

    Under the programme, customers who purchased their cars starting this month will get the difference refunded to them should prices go up with the move from GST to SST, although exactly what form the refund will take has yet to be decided.

     
  • Volvo says its China-made cars are of higher quality

    While many have a preconceived idea that cars made in China are of questionable quality, Volvo is saying that those days are long gone. The Swedish automaker, which has facilities in China, claims that cars built in the country are now at a higher quality than those manufactured in Europe.

    This is according to Volvo Cars senior vice-president of design, Robin Page, in an interview with Go Auto. He also quelled concerns about Volvo using China as a secondary production foothold, where it has assets in Chengdu, Daqing and Zhangjaikou, with another coming up in Luqiao.

    “What we’re finding is that the quality of the cars are actually better in China than they are in Europe. Everyone was worried about quality, but as soon as they started the quality was even higher on score than in Europe,” he said.

    “To be honest with you, if you talk to the (European) manufacturing guys they’ve put so much automation into the system, you haven’t got that manual adjust,” he continued, noting that Chinese manufacturing operations aim for tighter tolerances and that having less automation allows for fine adjustments during the production process.

    “They’ve got more people on it, less automation, which actually gives you that ability to get tighter on the tolerances … and make finer adjustments. It’s not a massive difference but if you do scores-to-scores and averages, China’s pretty damn good, so we’re not so worried about that now,” Page ended.

     
  • Malaysian racer Hafizh gains points in French MotoGP

    After finishing just outside the points with a 16th place in the previous MotoGP in Jerez, Spain, Malaysian racer Hafizh Syahrin made amends in the race at Le Mans, France. Finishing in 12th position, Hafizh, popularly known as “El Pescao” or “The Fish”, garnered four points, bringing his world championship total to 13.

    Recovering from an injury suffered during training in Spain a few weeks ago, Hafizh started the race in 18th position, fighting his way up to mid-pack, finishing 34.962 seconds behind the race winner. Meanwhile, Monster Tech 3 Yamaha team mate Johann Zarco crashed out on lap 8 of his home race despite starting from pole position with a time of 1’31.185.

    Hafizh’ 13 points puts him within three points of rookie rival Franco Morbidelli of Italy, who rides for EG 0,0 Marc VDS on a Honda. Hafizh has previously stated his goal this year is to win the “Rookie of the Year” title.

    In Moto2, Khairul Idham Pawi (20), riding for Idemitsu Honda Team Asia finished 15th, earning him a single world championship point, his first for the 2018 season. Adam Norrodin, riding for Petronas Sprinta Racing in Moto3, finished the race one lap behind eventual winner Spaniard Albert Arenas of Angel Nieto Team Moto3.

    The 27-lap MotoGP race at Le Mans was won by Spaniard Marc Marquez of Repsol Honda with a time of 41’49.773 with Italians Danilo Petrucci and fan favourite Valentino Rossi coming in second and third, respectively. The MotoGP circus moves to Mugello, Italy on June 3 for the Oakley Italian Grand Prix.

     
  • GST zero-rated: MINI prices reduced by up to RM19k

    BMW Group Malaysia has released a new price list for MINI that will come into effect from June 1, when the goods and services tax (GST) will be rolled back to 0% from the current 6%. The effective removal of GST was announced by the new Pakatan Harapan government two days ago, fulfilling a major campaign promise.

    These new prices – which are on-the-road excluding insurance – will remain in effect until the sales and services tax (SST) comes back in to replace GST. The latest update is that it will happen “in two, three months” time according to Tun Daim Zainuddin of the government’s Council of Eminent Persons. That’s a fairly large tax-free window of opportunity, should you want to take full advantage.

    Click to enlarge

    Without GST, savings range from RM11,241 for the MINI 5 Door Urbanite Edition to RM19,707 for the MINI John Cooper Works Countryman. There are slight variations in the percentage of reduction, which is typically slightly less than 6% flat. This is because 6% GST is only applied on the selling price of a car (and in the case of CBU models, a Puspakom inspection fee), before GST-free registration essentials (road tax, registration fee, ownership endorsement fee) are added on.

    Buying a MINI from the official source will also get one four years of unlimited mileage warranty with free scheduled service, and MINI Black Card membership.

     
  • GST zero-rated: Honda absorbs 6% GST for Civic, City, CR-V and HR-V; rebates up to RM9.5k – May 18-31

    Honda Malaysia has announced a GST Bonus programme that will see it absorb the 6% goods and services tax (GST) on selected vehicles. This, after the newly-formed Government revealed that it will roll back GST to 0% (effective June 1) from the current 6%.

    The Honda models applicable for this are the City (non-hybrid), Civic, CR-V and HR-V. As expected, the rebates get bigger the more expensive the car is, ranging from RM4,282 for the City 1.5 S all the way up to RM9,497 for the CR-V 1.5 TC-P in White Orchid Pearl. These rebates go on top of those already offered for Honda’s Welcome Ramadan Rewards campaign, resulting in a saving of up to RM11,497.

    Click to enlarge

    Other models such as the Jazz, Jazz Hybrid, BR-V, Accord, Odyssey, Civic Type R and City Hybrid are not eligible. Instead, those models are only entitled to the aforementioned Ramadan bonus.

    The GST Bonus programme starts from May 18 to May 31. Honda Malaysia will soon announce its new vehicle pricing prior to the re-introduction of the Sales and Services Tax, or SST. In the meantime, you may read in further detail on how GST affects the selling price of a car, here.

     
  • GST zero-rated: Proton now offers GST rebate option

    Proton previously announced it would provide service vouchers to customers who purchased and registered their cars from May 16 to May 31 as a response to the ministry of finance’s (MoF) switch to zero-rated goods and services tax (GST). The national carmaker is now expanding that initiative by providing customers the option of a cash rebate as well.

    “Yesterday Proton announced an initiative to give Malaysian car buyers the benefit of paying zero-rated GST prices before it comes into effect. Today, we are giving them options on how they would like to receive this benefit, either as service vouchers or a cash rebate. There is now no reason to wait until June 1, 2018 to buy a new Proton as we have delivered the savings ahead of time,” said Abdul Rashid Musa, Proton’s VP of sales and marketing.

    As was the case with the service vouchers offered, the cash rebates will be equivalent in value to the difference between the current and new price of the car after GST is zero rated.

    Other initiatives include a 6% discount by Proton Customer Care on periodical maintenance (labour and periodical maintenance parts only) to all owners who bring their car in for servicing at authorised service centres. This service initiative will run from May 19 to May 31.

     
  • SST will return in two to three months’ time – Tun Daim

    As previously reported, the new government has announced the current goods and services tax (GST) will be revised from 6% to 0% on June 1. This will be followed by the reintroduction of the sales and service tax (SST), and it has now been revealed that such a move will take place within two to three months.

    This is according to Tun Daim Zainuddin, head of the government’s Council of Eminent Persons during a recent press conference. “SST can be established in two, three months,” he said, according to a report from The Edge. Daim didn’t explicitly state from when the timeframe will begin, but it is likely an ongoing process – GST zero-rated will apply till then.

    He added that the return of the SST is estimated to raise approximately RM30 billion and will mitigate the loss from GST collection. However, he did not disclose what the SST rate will be, which was previously set at 10%.

    With this revelation, consumers will enjoy a relatively lengthy “tax-free window” after June 1 until the SST comes into effect, with many car companies already releasing updated price lists sans GST. This includes UMW Toyota, Volkswagen Passenger Cars Malaysia (VPCM), TC Subaru and BMW Group Malaysia, where price reductions on all models are realised, although not all at precisely 6%.

    Keep in mind that there is a likelihood that the implementation of the SST might result in car prices going above the GST zero-rated prices being offered from June 1, but we’ll have to wait for the exact SST rate to deduce anything further. For now, will you be looking to take advantage of the GST-free pricing?

     
  • GST zero-rated: Perodua to offer GST rebate in cash for sales, service and parts between May 18 to May 31

    Perodua has announced that it will fully reimburse the goods and services tax (GST) to customers who purchase a new Perodua vehicle between May 18 and 31, ahead of the implementation of zero-rated GST on June 1. The automaker added that the GST-based rebate will also be applicable to those who service their Perodua vehicle or buy parts during that particular timeframe.

    “Perodua will fully reimburse our valued customers the GST amount in cash upon registration or servicing of their vehicles as well as parts purchased,” Perodua Sales MD Datuk Dr Zahari Husin said.

    “Starting from tomorrow, May 19, our customers will receive an instant 6% cash rebate for vehicles serviced. For our customers who have made transactions at any of our service centres today (May 18), we will reimburse you in the form of e-vouchers, which is valid on June 1 onwards,” he explained.

    The company has also listed out the value of the GST-based rebate on all its vehicle models. In this case, the published GST rebate amounts are based on the vehicles’ nett selling price without GearUp accessories, insurance and other selling expenses.

    As previously mentioned in earlier reports, the 6% GST is only applied on the selling price of a car (and in the case of CBU models, a Puspakom inspection fee), with road tax, registration fee as well as an ownership endorsement fee going on top of that – with no GST applied – to form an on-the-road (OTR) price without insurance.

    Rebates start from RM1,345 for the Perodua Axia 1.0 Std E manual transmission, which means that the current OTR (without insurance) price of RM23,966 inclusive of GST for the model will now be RM22,621. The price drop goes all the way up to RM3,572 for the Alza 1.5 Advanced auto – priced before this at RM63,390 OTR without insurance, the car will go for RM59,818 with GST removed from the equation.

     
  • FIRST DRIVE: 2018 C27 Nissan Serena video review

    The C27 Nissan Serena S-Hybrid has finally arrived in CKD form, and the mild-hybrid MPV is available in two variants – Highway Star (RM135,500) and Premium Highway Star (RM147,500).

    To recap, power comes from a carryover MR20DD 2.0 litre direct-injected four-cylinder petrol engine, now revised to make 150 PS at 6,000 rpm and 200 Nm at 4,400 rpm. Drive is sent to the front wheels through an Xtronic CVT, and assisting propulsion is a 2.6 PS/48 Nm ECO electric motor that provides torque boost for up to one second when moving away from a standstill.

    The model we reviewed in this video is of the Premium Highway Star variant, clad in the new Cashmere Gold paint with Imperial Umber roof. It’s also fitted with the two-tone Truffle Brown and Chestnut leather upholstery. Is it better than the outgoing C26 model? If so, by how much? Watch the video to find out!

    GALLERY: 2018 Nissan Serena S-Hybrid (Premium Highway Star)

     
  • BMW Motorrad removes GST from motorcycle prices

    In response to the Ministry of Finance directive that goods and services tax (GST) will be set at 0% effective June 1, BMW Motorrad Malaysia has released an updated price list for their motorcycle models. BMW Motorrad stated that the 0% GST rate will remain in effect till further notice is received from the Ministry of Finance.

    This reduction in tax does make some of the BMW Motorrad models slightly more attractive to the rider who purchases brand new. Its best-selling model, the R1200 GS adventure bike in base trim now goes for RM97,100, down RM5,800 from RM102,900.

    The bigger R1200 GS Adventure goes from RM114,900 to RM108,421, a drop of RM6,479. Reductions at the lower of the scale are much less, of course, with the G310 GS going for RM28,223, down RM1,677 and the mid-range F800 GS now priced at RM58,415, down from RM61,900.

    In the sports bike stage, the R1200 RS sports-tourer can be yours for RM96,157, a reduction of RM5,743 from the GST attached priced of RM101,900. Meanwhile, the S1000 RR super bike is now priced at RM102,761 from RM108,900, dropping RM6,139 with the removal of GST.

    As for the naked sports category in BMW Motorrad’s catalogue, the top-of-the-range R1200 R goes from RM97,900 to RM92,383 while the G310 R shows a less significant drop of RM1,508, going from RM26,900 to RM25,392. In the touring category, BMW Motorrad’s big six-cylinder machine, the K1600 GTL drops RM9,592 from RM169,900 to RM160,308.

    Greatest savings comes from the track-only HP4 Race, dripping in carbon-fibre and going to RM491,420 from RM520,900, a drop of RM29,480. What do you think dear reader? Is this enough to make you feel the effort of changing the government was worth it?

     
 

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Last Updated 10 May 2018



 

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