There was a report in Bernama today quoting Deputy Minister of International Trade and Industry Datuk Mukhriz Mahathir that the AP systems may be rethinked or abolished altogether.
It appears that this statement was prompted by a request by the Kuala Lumpur and Selangor Car Dealers and Credit Companies Association to open up the AP system to everyone, with maybe a 30% quota for Bumiputras and the rest to anyone by an open auction system.
Details are a little sketchy on whether this 30% quote for Bumis would have to be paid for or not, as in the current system APs are given free.
Don’t hope too much for car importing to be available to anyone at no cost however, as Datuk Mukhriz says abolition was not the only option on the table, and it is likely not to be the path taken as currently consumers are already paying for APs, and simply replacing it with an auction system would give the government extra revenue.
When an auction system was suggested back in 2007, MITI’s response was “auctioning can jeopardize the business of Bumiputra entrepreneurs in the automotive sector as it will be difficult to plan ahead and make long term investments.”