The Edge reports that the government has approved the voluntary car scrapping policy previously suggested by some parties, in hopes that it will help boost the market.
The voluntary scrapping policy covers cars older than 15 years old, and offers up to a RM5,000 subsidy. This means that if your car is worth less than RM5,000 you will not get RM5,000 but instead the value of your car, to be determined based on make, quality and market price. The subsidy of up to a maximum of RM5,000 is also not in cash form, but to be used to subsidize the purchase of a new Proton car.
The policy is expected to be announced by September 7 2007, in time for the next national budget. Nothing wrong with a voluntary policy of course, and those there is now an additional way for interested parties to get rid of their old car.
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as long is not mandatory, it’s ok, if mandatory, it’s not good for rakyat.
so how about school bus, factory bus, NURI, aging army truck, aging bus lenseng, lorryand na other vehicle.
If mandatory, i would like to buy Honda jerung…not proton..hehehe
Yup, why only cars?!? A lot of old lorries from the 70′ 80′ still running around with black smoke! 5k for them also?
hmmm… voluntary.. let see how it goes… really can boost the car market?? finger crossed.. :)
throw the old cars out…
honda accord year 87′ . dah 20 thn. engine still okeh.
agak2 claim bole exceed 5 ribu tak?
Now they start to run this policy….but we should not feel ‘lega’ because it was “VOLUNTARY”…the things will effected from this policy is a 2nd hand car value. And why the subsidies only for buying proton “DECEPTICON” cars???? See that?? if nobody want to run this policy…i believe they will change it to “MANDATORY!!!!!”
boost the car market?? I think what they tryin to do is boost the Proton market. I think a good car can last longer than 15 years if maintain well….
can mantain car for ever, mechanically,
but sometime the old car will just gave up it chassis like unseen internal rusts, which could be worst in time of impact, have u ever see old toyota LE front chassis broken, or the old mazda’s strut tower punched through,
unless its under FULL restoration but who can afford it, or ofcourse certain made might last longer like the old volvo,
anyway im not opposed to this, we have the choise,
I foresee another policy failure.
as i’ve said before, this voluntary scapping policy is not for direcly mean for ppl like us, but for the second-hand dealer lah. they wanna get rid their junk at their showroom, so can get new car, so can get more money to sell new cars. my question is… why this policy not applied too to all zaman-jepun lorries and busses on the road?
Why the rebate only applicable to Proton only, its not fair for other local player like Naza and Perodua. It should be open wide for them as well. Therefore we would not have such limited range, will this scrapping plan effect to other/rakyat which don’t want to switch to Proton as afraid might be second hand dealer accept trade in on lower price for those 15 years old car and above.
i dont think this policy a failure…but give choice to somebody that wanna make ‘money’ from old junk. i hope this policy shd broaden to 70′ 80’s lorries, busses that kacau our traffic and pollutes our air everyday
if this is NOT mandatory then it still acceptable.
But i dont think this policy works well. unless they point their GUNS at my father head and asking him to scrap his old Honda and buy ‘new’ dinosaur era Saga.
If it is voluntary the it’s ok. But is it favour for Proton? Nuri already 40 years, still no scrap policy. Why? It is ‘upgraded’ and ‘well maintain’. So what’s wrong with 15+ cars? If it is well maintain. I agree with stewpid, 2nd hand dealer who push for this policy actually to get rid of their cars.
MAx Rm5K? Who can JUDGE your car value if MAX. RM5K is already set, and HOW? SInce all these OLD cars will be Destroyed soon.
Buy PROTON ONLY? What if PROTON Mark-up RM5k later…….No Meaning at ALL.
If your car is GOOD, you wouldn’t think of SCRAP it, on the other hand if your car is BAD, I don’t think they will OFFER you RM5K. So, what does it means? This BODOH policy is talk only no benefits to consumers at all.
wookie00 said,
July 24, 2007 @ 11:42 am
I foresee another policy failure.
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Quoted for truth. The gahmen hv too much free time to do something as pathetic as this.
auctioncenter2u said,
July 24, 2007 @ 12:18 pm
If your car is GOOD, you wouldn’t think of SCRAP it, on the other hand if your car is BAD, I don’t think they will OFFER you RM5K. So, what does it means? This BODOH policy is talk only no benefits to consumers at all.
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You’re talking like this is a mandatory policy la Bro. Relax la. Infact, they haven’t announce it yet. See it, feel it, judge it la. For the time being…nothing to observe, why terus call BODOH?
u think people stupid is it? RM5,000 is not a lot. First, most car over 15 years old exceeds RM5k. If your car change to new car but trade in value less than 5k they give less than 5k according to market value, if your car is RM20K you trade in for scrap still RM5k and get this you have to buy a PROTON. Who the hell wants it? Even if that RM5k regardless of car value, can scrap for any car purchase is unattractive offer, who in the right mind would scrap if only scrapping is MAX RM5K and car value less than RM5k will follow market value and have to buy proton. It is better this policy don’t implement at all. And what? Take your scrap car and sell more than RM5K?
last night while i was watching Buletin Utama, they interviewed a dude in EON (dono who the hell he was), he said that our country should be same as other countries such as JAPAN and SINGAPORE, coz they are successful in this policy… then i suddenly think, “oh come on, JAPAN and SINGAPORE have complete public transport system and they are DEVELOPED COUNTRIES!!! how can we compare ours with other DEVELOPED COUNTRIES??? our public transport system is juz no match with them YET…” i think tat dude should anaylze and think carefully before he runs his mouth…
albagmane said,
July 24, 2007 @ 12:38 pm
last night while i was watching Buletin Utama, they interviewed a dude in EON (dono who the hell he was), he said that our country should be same as other countries such as JAPAN and SINGAPORE, coz they are successful in this policy… then i suddenly think, “oh come on, JAPAN and SINGAPORE have complete public transport system and they are DEVELOPED COUNTRIES!!! how can we compare ours with other DEVELOPED COUNTRIES??? our public transport system is juz no match with them YET…†i think tat dude should anaylze and think carefully before he runs his mouth…
Not to mention Japan cars have very little tax and income to car ratio is small, they don’t even need people to scrap, 3-5 years they change their car!!
First the relaxation of AP rules and now this. While the voluntary part of the policy is a relief, what has me worried is how will this abritrary scrap value of RM5k affect current second hand car values. Will my dad’s 18 year old in pristine condition W124 currently valued at RM30k get knocked down further ? I for one wouldn’t bet against this policy becoming mandatory and I’m sure the market will factor it in. So I guess as far as values are concerned, more downside now.
scrapping the old car and get up to 5k but only can use to buy PROTON…….Lets me wat’s the response. Shd be to all the national car instead of just to one company isnt it….:(
Seriously, how is this relevant to the car sales? I really unable to find any connection in between!
People dunwan buy car because their 2nd hand car value too low to pay deposite for the new car, now you offer them to scrap car with a MUCH lower price of MAXIMUM RM5000, seriously tell me, how do the big heads concluded that this would improve sales? HOW?
And the RM5000 proton subsidy, phathentic oh phathentic. Dont think people will go like “OMFG its a big monster deal I must send in my old car and grab a new proton TOMORROW!”
GOOD,because its voluntary basis,but if its a MUST that its NO for me..
Did u think this policy really will make citizen happy ?? or for G pocket ?? …
how about the mercedes buy it when it 8 year old car … pay another 7 year loan with rm 50k like tat or Wira 97 year ?? after finsih paid the loan the car reach 15year ?? it is rebate 5k ?? for the 50k ?? … can’t enjoy without payment life ?? this policy only make ppl suffer to pay another for the cars ?? u think citizen bloodly money ec to earn ?? …. salary low in malaysia … everything gain price ?? G wanna add this policy it is wanna ppl die or don;t buy car anymore using the bus or train better ?? for the poor ppl or low income they sure wanna keep the old car running & for daily meal , house expense … damn G wanna crap the 15 year old car ?? even the japan still keeping the old car like AE86 ?? S13 ?? the Sunny 120Y ??? wat the xuxk this G thinking ??? G making more rubbish ?? wat they gonna do wif the crap car ?? recycle & build new another P1 ??? #$%$#%$^
WTF!!! why onli proton cars? why not open to all car makes? wanna freaking protect proton again… screw those policies maker…!!!
malaysia boleh!!
volvolover said,
July 24, 2007 @ 12:40 pm
albagmane said,
July 24, 2007 @ 12:38 pm
last night while i was watching Buletin Utama, they interviewed a dude in EON (dono who the hell he was), he said that our country should be same as other countries such as JAPAN and SINGAPORE, coz they are successful in this policy… then i suddenly think, “oh come on, JAPAN and SINGAPORE have complete public transport system and they are DEVELOPED COUNTRIES!!! how can we compare ours with other DEVELOPED COUNTRIES??? our public transport system is juz no match with them YET…†i think tat dude should anaylze and think carefully before he runs his mouth…
Agree with u albagmane ~ Malaysia how to compare with those hightech country ??? even a raod have a damage hole also need almost one year to repair ?? damn how to compare ??? do a little thing also malaysia boleh ?? …….. y a liitle small island singapore malaysia also can’t fight ?? try to think 1st b4 they act ….
Scrap 20 year old saga and buy a new saga, whayathink?
PAUL this today news got from Berita Harian,
Kenderaan lama boleh digunakan
Oleh Zainab Mohd Yatim
Saranan lupus kereta secara sukarela ditolak
KUALA LUMPUR: Kerajaan tidak meluluskan sebarang dasar berhubung pelupusan secara sukarela kenderaan yang melebihi 15 tahun bagi merancakkan pasaran automotif tempatan, kata Menteri Kewangan Kedua, Tan Sri Nor Mohamed Yakcop.
more on here http://www.bharian.com.my/m/BHarian/Tuesday/Nasional/20070724000745/Article/
Confius here……
this is not funny at all, soon you will see the insurance premium coverage for cars older than 15 yrs to go up.. if you have a good restored old car chances is that you will have to pay higher insurance premium for keeping it for they, the insurance company will gonna comes out with a special coverage for over 15 yrs old car.. else, you can have the option to scrap it and buy a proton.. all this will be coming…
‘last night while i was watching Buletin Utama, they interviewed a dude in EON (dono who the hell he was), he said that our country should be same as other countries such as JAPAN and SINGAPORE, coz they are successful in this policy…’
Hey EON dude! you definately cant compare us with Japan or Singapore, look at the public infrastructure we are having now compare to them… and car are freaking cheap in Japan.. if proton can price a new car as competitive like wat they hav in Japan, i dun mind scraping my car every 5 years!!
as i notice early, this is volunteer….Who want yes can scrap…who dont want yes can keep… Like japan and singapore, they are differ…
agree with u cosmohybrid
with this policy, hope it will also give relieve on income tax as well
This is seriously pathetic. For a car 15 yrs old i.e. a eg8 honda civic still sells around 25K 2nd hand. with this policy buyers will ask why shud i pay so much? it only cost 5K only! this is seriously a biased idea.
even though an old car would be priced according to the market, it would spoil the market price at someway. current depreciation may landslide deeper.
this will not only hurt the 2nd hand market, it will affect new cars rolling out of the factories in malaysia: toyota, nissan, honda, suzuki..u name it all will be affected. no one would want to buy new cars anymore as the resale value would so insignificant!.
hmm the Edge is suppose to be reliable news. Seems it has been spewing bs instead lately
about 90% of car buyers traded-in their old cars. if their old cars’ values are less than 5k, not many car traders want to take it especially in the slow car market environment. by providing at most 5k, at least it will make some people to change cars. that’s all to it.
you can definitely choose not to do it. keep your 25 year old cars – fine.
There had to be a catch, always. Subsidy on for purchase of new Proton. Har har har, thanks G, very kind of you. STUPIAK!! I’m gonna hold on to my Xantia even after another 6 years, no way am I killing it for a Proton!
its OPTIONAL
its not that we have to do it,
its not banning of an ageing car running on the road when its still good
Yep..Optional and volunteer…
Mercedes 1992 is around 28k
CIvic, toyota still higher….
So in that case, dont be so stupid laa to scrap it…AIYA ini pon susah kaa mau pikir…
The lowerst car at the moment is PROTON, So who had PRTON SAGA can laa….
If still want keep it..keep laaa
Cheers
Cars older than 15 years? Saga more than 20 years still being sold? Brand new Saga should cost RM5K!
razor_clawzz said,
July 24, 2007 @ 3:40 pm
Cars older than 15 years? Saga more than 20 years still being sold? Brand new Saga should cost RM5K!
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You said brand New rite..So not old rite….APA LAA
I donno why u guys are so “mental block” about this policy, it is volunteer, if u wanna use ure car until it rust and collapse ..go ahead la, but there are many people out there who really wanna get rid of their old car… give this people a chance
this all P1 fault … if close it … G no more to worry or think a lot the stupid policy ….i think 95% of rakyat refuse this policy … don’t make ppl until merdeka day burn the malaysia flag o ~ G don;t think about the rakyat at all ~ becaful someone pushing u down o ~ … sorry out of topic ~.~ ….
Quote from this blog “This means that if your car is worth less than RM5,000 you will not get RM5,000 but instead the value of your car, to be determined based on make, quality and market price.”
Who cares about the market price if it’s going to be scrapped. Maybe should determine by the amount of metal can get to scrap the car.
Another stupid policy from our gov after NAP. Gov think tats they did like japs and singapore, and NO NO…….the car in jap and singapore is demn cheap compared to ours, didnt gov realize bout this matter. Scrap our current NAP, TAX and ROAD TAX first B4 approve scrapping policy
BTW subsidised 4 new proton car…..I rather pay downpayment 4 a new proton rather than scrap my current ‘wife’. Many of malaysian can pay downpayment for proton cars and prefer my way…..what the hell d scrapping policy is doin here
wouldn’t today even without the scraping, you can get up to RM5k discount on Proton?? They’re desperate for sales anyway!
So with the scraping, it probably averages at RM2-3k so still meaningless to scrap it to buy a proton! Might as well sell it where possible and get the cash to buy something else.
And one weird thing, why would make, quality and market value matter for scraping, haaa… it’d be all flat rate… since the end beneficiary is Proton, national service mah!
Anyway, let’s think it’s more environment friendly…
Too many unknown factor here, which department in charge of handling this? Which scrappers can do this? How do they evaluate the scrap value? And use how much subsidy? And subsidy from where???? This is like an entirely new industry, they cant just approve it and its there overnite.
coolguru, forget about environmental friendly when we can buy a 20 years old technology as new car. When gov talk about environmental, I only smell $$$
change 1985 saga to 2007 saga lo…. hahaha…. not even sure whether 1985 saga worth rm5k or not. 1985 saga rust here rust there, engine failure etc..
If it really is implemented, Malaysian Government really is like too naive or what… whether is mandatory or not. just like some of you said, those more advance country has better ratio between salary and car price, even for lower income group and those countries all have better public transport system. In malaysia, can say the policy is designed for rich people who can afford the car loans but rich people don’t even care about it while normal or lower income group can’t accept it cos it’s not easy to pay for car loans even got rm5k subsidy. still cost rm20k to get a saga even if got rm5k subsidy ah… poor malaysians…
thats why its not mandatory
Only to buy proton cars… only proton cars. Can it be more discriminating to other car makes!!! These are the kind of policies that scare foreign car companies away. This government is really unbelievable. SPIT!
Desperate Proton!!!
“The subsidy of up to a maximum of RM5,000 is also not in cash form, but to be used to subsidize the purchase of a new Proton car.”
What I can’t get my money back?! They gonna keep the money “JUST IN CASE” if I ever wanted to buy a Proton?! If people don’t want to buy a Proton, you think anyone want to voluntary give up their car for nothing in return until he/she wanted to buy a Proton?!
This is ridiculous!!!
desprate ,id say under pressure, good thing is that they have to work something out, positively
and if someone looking for non proton make they can sell it privately for other make.
Rather than the car’s age as an excuse to scrap cars, why don’t they enforce something that is not as dumb such as restricting CO2 emissions? Why, cos they can’t enforce it? We probably wont like it but somebody got to accept the fact that we remove pollutants from the streets. Including buses and trucks. We’ll rethink about taking out those cats.
1st. where is the rm5000 coming from? tax payers money? wah, use my money to benefit other people to scrap car which in the end use to buy proton? so benefit the bank, their interest income, and finally benefit proton, while the buyer suffers because the rm5k is given up to take in long loan for a car.
2nd. if this policy becomes hugely successful, where are they going to dump all the old cars??? again use tax money to build a recycling plant? sell besi buruk?
3rd. who will be the one to ascertain the value of the car? the benchmark for setting this will be interesting. should use proxy vehicles in the market. but this is probably scrap value rather than resale value. so it’ll likely be lower than what an owner can get by selling the car unless the car koyak until cannot drive anymore. it’s scrap…..not resale!
4th. but if it is resale, then with all the cars traded in, can someone do some simple touch up and sell the car for more than rm10k each? another money making scheme for somebody?
5th. i think this policy is a step in the right direction. you cannot hope to introduce something like Singapore’s COE overnight as too many problems and it’ll throw the market into chaos.
6th. i’m not entirely convinced it will make a big difference in sales figures for proton in the long run. there may be a small spike.
my 2 sen :)
I think the RM5k is from our tax money from buying our new cars before.. This is fishy, i can give u only RM5k. But if i the Sales Advisor only want to give RM3k, u will mad for sure. A lot of people will bribe to get RM5k for new car? Maybe add RM500, i give u another additional RM2k of discount? This is a way for those irresponsible P1 SA to earn more!
The scrap vehicles may ended up in third world country, ever wonder why Japanese half-cut are everywhere in Malaysia? In Africa n india, a lot of people still using old caburated engine, so selling the scrap engines or half-cuts to there is also a way of earning. I think the G must set something that 50% of the scrap cars must be recycle, or a lot of person will sell it for their own benefits.
http://www.forbes.com/markets/feeds/afx/2007/07/23/afx3940063.html
“KUALA LUMPUR (Thomson Financial) – Malaysia’s Second Finance Minister Nor Mohamed Yakcop said Monday the government has not approved any proposal offering subsidies to car owners who voluntarily scrap their old cars and buy new ones made by national car maker Proton.”
“Citing sources, the Edge Financial Daily reported earlier today that the government will offer a 5,000 ringgit subsidy to car owners who voluntarily scrap their old cars, at least 15 years old or older, and replace them with Proton models.”
DENIED BY GAHMEN!!!
Who said the The subsidy is our money…that is gov money..they earned form taxxes payers…That this as simple…Living here (malaysia) need pay laa…No place is free dude. Even taking a bus need pay..So its up to gov to used their money…Dont this most here pay taxxes…and its only once year depand on salary…So im hoping everyone clear….If dont pay taxxes…so u know what should do rite!!!
Dont hentam sana sini without good reason….
this article not true:P
Aril, everyone need to pay tax money.. income tax, service tax, entertaiment tax, bla bla.. the money u pay tax, they return for u just RM5k for 1 car.. Which u will only can be used for 15 years..
if this policy is on ,then the subsidy should be allowed to use to buy any car from any marque… not limited to Proton.
but bottomline… this will create another unfair distribution of taxpayer money. not that is fair to even exist in the first place.
all of the monies goes to Proton (if purchase of new car is limited to Proton), which then flows into a few ‘cronies’ coffer.
that’s like taking our money and put in the ‘cronies’ bank account, the normal rakyat just the ‘medium’ to allowing the transfer to be done legally.
In return, rakyat get some sweetner that are not worth it at all, as car is essentially a liabilities. Banks via their finance arm will get the windfall (i.e. interest charges for loan.. rm5K not enuff to but a car what).
So does service centre, car seller etc. In the end everybody ‘happy’, eh?
Guess who gonna be the happiest?
Hope more of you will see this grande scheme in its true form..
or else we, the real rakyat, had and have been truly being completely blind and made senile by the real swindler (please stand up!).
paul, you should change your blog from an automotive blog, to a “conspiracy theory” blog. no offense meant, but on somedays, you get to read more about that than cars ;)
BanyakMasukWorkshop: are you referring to my posts or the comments?
Oii proton..you aa..haiya..susah mau cakap la..you susah mau paham kah?tutup kedai saje.VW want terminate all the proton vendors if they joint with proton. Good lesson!
(My 156 is come out soon..yeeehaaaaa)
Another crap reporting by the EDGE………….
Gomen dont approve laaaa…………!!!!!!!!!