The ringgit has been floated to a managed float against a basket of currencies which Malaysia trades with. This floating followed China’s decision to float their yuan. How will this affect our automotive market?
The float is supposed to strengthen all Asian currencies together with China, and in turn all western currencies will depreciate against our currencies collectively.
I think Proton’s exports will take a hit as they mainly export to western countries.
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no lar it wont affect proton sales to western countries … the amount have to be significant enuff to affect the company as a whole. I dont think 20 cars a year will create a significant amount LMAO!!!
Hmm…it's a funny situation. With floating USD, Proton prices in UK, Aus might increase, due to the strengthening Euro. This might actually do them a little good. Apparently, Proton cars are deemed too cheap esp in UK and people do not buy it simply because it deprecitates a lot and they don't trust it because it's just too darn cheap.(of course, they mainly don't buy it because of the quality).
Well, what do I know. I know nuts about economics.
Who cares proton survives??? I dont give a shit…
RM up = imported cars will be cheaper!!!
Hooray!!!
i have held up from buying a new car. luckily i did not make a stupid purchase of Gen2. and i held up purchasing MYVI too. i can finally own a non-national car. I have been driving a Wira for the past 6 years. Wira is not as bad as people make it out to be. only the power-window and squeeky noise from loose parts.
hehe..
PAUL TAN .. i thing u should really mention is…
Your site income gonna be decrease later.. :P
before this : maybe g00gle paid USD 1000 = RM3800
later maybe.. USD1 = RM 1.80
huhu.. u know what i mean.. :p
Eric : Dont hope so much laa.. mesti ada increase itu, increase ini laaah~
And the petrol price too.. must be higher in the end f this year.. Maybe RM2 per litre.. !! OMG
yes, eric…
RM may get weaker? hahaha… by then, everyone can only afford kancils?!! hahaha…
btw, a car with loose and squeky parts is not bad??? Must be defiance… just think… some bolts and nuts drop loose during your drive…
Anyway, hope RM will strengthen ==> imported cars will be cheaper, proton would suffer, and proton vendors association will grow up and stop breast feeding?!!!
I dunno bout this one from The Star. Can click this link.
TNB, auto and media sectors to benefit from de-peg
Part of the article says", Motor related companies like UMW Holdings and Proton Holdings Bhd are expected to see lower import costs, while the print media companies would gain from lower newsprint expenses…"
Betul ka ini?
mitsu_galant_2000: hehe, yes my site income will decrease but i have a day job so it does not really hurt me that much. i'm doing this site as a hobby not really a 'job'
This has to be the most irrational move Badawi has ever made. Why do you think Dr M kept the ringgit pegged to the US dollar for so many years. Even business analysts have stated that it should at least be kept pegged to the US dollar for at least another 12 months.
Dr Abdullah Badawi is a joke, in one story he visited a foreign country and security at the airport actually asked him to take off his shoes for inspection and frisked him. They don't even respect him! He's a diplomat for God's sakes and should have been granted immunity. Everybody in the Western world feared Dr M. They didn't even dare speculate behind his back.
Malaysia is heading for another economic downfall. Put A and B together. Imported cars will get cheaper because of the drop in the US dollar which means our ringgit will be stronger right?? Obviously they have been blinding you because that means that exported Protons will go up in price and already noone is buying them in the first place.
Second of all is the claim that we can travel overseas more. Think about it folks, if everyone goes overseas for vacation our money will get less and less because we are pumping money in to other countries.
Third is that American businesses like Dell and Western Digital might pull out of Malaysia because of the hike in production costs and the sever of ties with the Americans. What are they thinking?? The biggest reason we are stable now is because of the IT sector!! We are actually shooing away business oppurtunities from these corporate giants.
Dr M must have had a reason why the ringgit was pegged to the dollar the entire time and that reason is to lure American businesses to start their operations here. He spent all the money during the economic slump building KLIA, Sepang F1 circuit and Commonwealth buildings to lure in tourism so it will help the economic sector. This is called "Prime Pumping" Its a process that involves spendng money during a economic crisis to persuade people to spend even if it looks expensive.
I hope this doenst lead to another economic slowdown and I pray Badawi knows what he's doing
There is reason for ringgit peg, and that is a wise move… but its not a long term solution for any countries… it creates a false sense of market stability… there's a huge responsibility after the last pm steps down… shits to clean up by the current pm, give him a break… we'll soon see if he's competent enough… there wont be this AP issue today if the last pm made an enquiry and not bombasting badawi… badawi wouldnt be making anti-corruption his prime agenda now if it wasnt practiced when the last pm was at the helm… there wouldnt be issues like recognizing kia as our national car today if the ex pm didnt excuse himself by saying he didnt know what he was signing… what other lame excuse could he come out with??? selling off our country and saying 'i didnt notice what i signed'… there's still shits left uncovered, wonder how much we're left in the dark…
When anyone is put in charge of a country there isn't any break to be given. One wrong move and we are screwed.
Altough the false sense of market stability will help people spend more, it will only benefit foreign goods because it is now cheaper to buy them!! It is not working to our advantage. It may seem nicer to buy imported things at a cheaper price but it has to be stable as well. I'm all for foreign cars especially since Proton vendors are issuing a ban on cars from foreign countries that is competing with their line of cars.
This matter has to be remedied quickly because clearly we are going to be happy for a while but the consequences must never be covered up. Already Malaysian exports are most indefinitely to fail especially with the rate of sales of Proton cars on foreign countries. Although i don't give a rats as* about the Proton car industry, it will reflect on our economy because it will directly affect our lives.